Leaving the Country half way through the year- how to claim unused credits

Mr. Incognito

Okay,

To avoid repeating this a couple of thousand times:

If you leave halfway through the year you are entitled to allocate any unused credits against your PAYE taxed income. This may generate a refund if you paid PAYE

This is done in two ways.

The Tax year is Jan-Dec. If you request a balancing statement (P21) for the previous tax year Revenue will automatically allocate any unused credits against your PAYE Tax and issue the refund. If you are set up with Revenue online service and have registered a bank account (see seperate sticky on how to register to claim credits you may be entitled to) then the refund will hit your account in a few working days. If you do not have a bank account it will take a few weeks for the cheque to issue from Ennis.

If you are impatient you can send a letter to your local Revnue district outlining that you are leaving with the intention that you will not be resident the following year and you wish to apply the provisions of S 822 TCA to apply split year relief from the date you are leaving. This means that you are leaving and you wish to be assessed as non resident from the date of departure. As such they can allocate the credits for the rest of the year to your account on receipt of this letter.

Hope that helps. If you come back the following year it does not affect the application of S 822 as you have left with the intention of being non resident the following year- whether you are subsequently or not does not affect the application of the relief.

Stickied.

EDIT I have deleted a lot of peoples responses looking for personalised tax advice.

Read the charter. No.

Thread locked as a result - General advice only.

drrkpd

Thanks for clear statement on this. Presume if you leave before July 2nd (day 183) you are also non-resident for that year for tax purposes. If so am I right you dont have an irish tax liability for any worldwide income even if you are domiciled and ordinary resident???

Legend100

You must look at the pror year also as if you are in ireland for 280 days over the two years, you will be resident this year

So if you spent the whole year here last year, you will be resident in ireland for 2011 also (provided you spent at least 30 days in the country for 2011)

Mr. Incognito

Legend100 wrote: »

You must look at the pror year also as if you are in ireland for 280 days over the two years, you will be resident this year

So if you spent the whole year here last year, you will be resident in ireland for 2011 also (provided you spent at least 30 days in the country for 2011)

This is not applicable for the purposes of S 822 TCA.

Once you invoke S 822 you are deemed non resident from the date of departure regardless of the days rules.

You could leave Jan 2nd and be non resident for the rest of the year or equally leave December 2nd and be non resident for the rest of the month.