p50 question

coldpaw

Hello all,

I am seriously considering leaving the country next summer to go work/travel abroad for a year or so. I am lucky enough to still be employed, as i understand it I can apply for a p50 tax relief where my unused tax credits are assessed my tax already paid for the year (say I am leaving in august). is this correct?

What are the implications if i come back to Ireland in autumn 2011- I don't intend to be working in anything major, but will this mess up my credits tehn and will i end up getting screwed for tax?

Cheers for the help

Ticktactoe

coldpaw wrote: »

Hello all,

I am seriously considering leaving the country next summer to go work/travel abroad for a year or so. I am lucky enough to still be employed, as i understand it I can apply for a p50 tax relief where my unused tax credits are assessed my tax already paid for the year (say I am leaving in august). is this correct?

What are the implications if i come back to Ireland in autumn 2011- I don't intend to be working in anything major, but will this mess up my credits tehn and will i end up getting screwed for tax?

Cheers for the help

Nope, you will received your tax back over a four weekly period and these weeks have to be past. Therefore the money you get back is money that due back. If you come back and take up employment you will be taxed as normal.

coldpaw

Ticktactoe, thanks for the response what do mean by the following
"Nope, you will received your tax back over a four weekly period and these weeks have to be past."

If I finish work in july at send forms in for August i will get the money over 4 weeks and this will be soem of my unused tax credits?

Ticktactoe

coldpaw wrote: »

Ticktactoe, thanks for the response what do mean by the following
"Nope, you will received your tax back over a four weekly period and these weeks have to be past."

If I finish work in july at send forms in for August i will get the money over 4 weeks and this will be soem of my unused tax credits?

If you finish work in july you must wait four week before submitting in your claim. Therefore your first claim will be August and if you are still due more tax back you next claim will september and so forth. Revenue will issue a letter for you to complete ever four weeks after your first claim if you are due tax back.

coldpaw

thanks tictactoe

gerrybbadd

coldpaw wrote: »

Hello all,

I am seriously considering leaving the country next summer to go work/travel abroad for a year or so. I am lucky enough to still be employed, as i understand it I can apply for a p50 tax relief where my unused tax credits are assessed my tax already paid for the year (say I am leaving in august). is this correct?

What are the implications if i come back to Ireland in autumn 2011- I don't intend to be working in anything major, but will this mess up my credits tehn and will i end up getting screwed for tax?

Cheers for the help

This can be messy as you'd be deemed to be ordinarily resident in Ireland for tax purposes, (as you'll return within a year or so) and Revenue may ask you for details of worldwide income for 2010 also (may be wrong here, open to correction)

Ticktactoe

gerrybbadd wrote: »

This can be messy as you'd be deemed to be ordinarily resident in Ireland for tax purposes, (as you'll return within a year or so) and Revenue may ask you for details of worldwide income for 2010 also (may be wrong here, open to correction)

Both years will be considered as split tax years. When completing the P50 (for 2010) there is a question regarding if you leave the country do you intend on working. If you answer yes then you cannot receive tax back until the year is past and you declare your worldwide income. If you answer no you will receive tax back. When you return 2011 and take up employment you can declare to revenue any income you earned from 2011 to date you commence employment. Your credits will be apportioned towards your foreign income. If your foreign income is 'not major' then you will not suffer with your tax credits towards your new employment.