Married tax credits

crazy_kenny

Hi all,

Myself (31) and my partner (29) are planning on getting married to avail of the marrried tax credit and because we love eachother too of course.... I searched the online revenue to see what tax credits I am currently getting. They are paye tax credit 1650, personal tax credit 1650, rent tax credit 1000. So when we get married what changes can we avail of?

1 income paye worker gross pay €60000
1 child ages 2
€680 rent per month
Pension contribution €56 per week


Thanks,
BK

namenotavailablE

Your personal credit will increase by an additional €1650 and if your spouse stays at home to mind the child you will also receive the €810 'stay-at-home-spouse' credit.
Additionally, your standard rate cut-off point should increase from €32800 to €41800

crazy_kenny

Thanks for the quick reply

UDP

I am in a similar position with similiar amounts and am just wondering if my spouse takes up part time work will she just lose 40-50% of her income straight away in tax as all the tax credits are transferred to me?
I am trying to determine if there is any advantage to her earning parttime income vs me working overtime financially with regards deductions for tax, usc etc? As in does she still keep any sort of cut-off point for paye, usc etc?
Hope that makes sense.

Thanks.

allthedoyles

UDP wrote: »

I am in a similar position with similiar amounts and am just wondering if my spouse takes up part time work will she just lose 40-50% of her income straight away in tax as all the tax credits are transferred to me?
I am trying to determine if there is any advantage to her earning parttime income vs me working overtime financially with regards deductions for tax, usc etc? As in does she still keep any sort of cut-off point for paye, usc etc?
Hope that makes sense.

Thanks.

Your spouse will have her own PAYE tax credit , of €1650 per annum which allows her earn €8,250 tax free in a year .

Plus she will have cut-off of €23,800 @ 20 %

UDP

allthedoyles wrote: »

Your spouse will have her own PAYE tax credit , of €1650 per annum which allows her earn €8,250 tax free in a year .

Plus she will have cut-off of €23,800 @ 20 %

Thanks for that.

Just so I understand correctly this is the case even when one spouse is given all the credits that can be transferred?

jobeenfitz

UDP wrote: »

Thanks for that.

Just so I understand correctly this is the case even when one spouse is given all the credits that can be transferred?

Yes as your wife will get her PAYE credit which is not transferable to you. As for her cut-off of 23800 she will only get this if you are not receiving home carers credit. If you are getting home carers credit of 810 your spouse gets no cut off.

Nicky30

If i'm staying at home and looking after our baby and i have no income other than child benefit, can my husband claim the home care tax credits?

relax carry on

Nicky30 wrote: »

If i'm staying at home and looking after our baby and i have no income other than child benefit, can my husband claim the home care tax credits?

Yes so long as you are jointly assessed.

http://www.revenue.ie/en/tax/it/leaflets/it66.html