Co-habiting tax credits & SW assessment?

magentas

Hi having done quick search am I right in coming to the conclusion that a co-habiting couple are assessed as a married couple for the purpose of social welfare assessments and partners income taken into consideration etc. potentially leaving an unemployed partner with zero entitlements from JB

yet.....

same couple cannot be assessed as married couple for tax credits???


Someone please tell me I have terrible researching skills and I've got it wrong

thenightrider

No you hit the nail on the head

They only see you as a couple when it suits them.

magentas

wow, that sucks:mad:

how very hypocritical of them.

Do you think this will change if/when the civil partnership bill is in place?

thenightrider

It should change if they bring in civil partnership i don't see why not it did in the UK as far as i no but then again its Ireland and our government don't like to do things that make sense.

barneystinson

magentas wrote: »

Hi having done quick search am I right in coming to the conclusion that a co-habiting couple are assessed as a married couple for the purpose of social welfare assessments and partners income taken into consideration etc. potentially leaving an unemployed partner with zero entitlements from JB

yet.....

same couple cannot be assessed as married couple for tax credits???


Someone please tell me I have terrible researching skills and I've got it wrong

My understanding of JB is that it isn't means tested? Not an expert on this area, but I believe that while SW might require your partners income details in determining your eligibility for other allowances / supplements, for the purposes of claiming JB all that is relevant is your PRSI contributions...

thenightrider wrote: »

No you hit the nail on the head

They only see you as a couple when it suits them.

Ummm..... Who exactly are "they"? The Dept of Social Protection - who assess you for Social Welfare payments, and the Revenue Commissioners, who administer the tax system, are not the same entity!

For starters they both operate under different sets of legislation.

Secondly, think about the purpose of the SW assessment - it looks at the total means of the household, and if people are cohabiting as a common law married couple, with their finances pooled, then it is surely common sense to reach a decision as to whether or not there is a need for a payment to supplement the income of that household, based on the means of the household. Otherwise you might be up in arms when you hear tell of the unemployed live-in girlfiend of (for example) a wealthy doctor, who is claiming her €195 of dole a week, despite living in his house and driving around in the Lexus he's paid for...?! I'm presuming that wouldn't make you happy either!

As regards the tax system, the civil partnership legislation is still relatively new, and it would (or should I say WILL) be a major administrative headache, to implement. Given that this is Ireland I envisage a situation quickly developing where there would be widespread abuse of the ability to transfer a portion of your tax credits and SRCOP to pretty much anyone else...