Taxation jointly assessed

The_Honeybadger

Hello, quick query. I'm a paye worker and my wife is self employed. I earn 42k and her taxable income will likely be about 16k. If I do some private contract work can I use her remaining rate band? I think I could probably earn a further 8-10k easily doing private work and my employer is fine with this but if I'll be on the marginal rate then it's a lot less attractive.

Dublinmuppet

If u are jointly assessed u can take up to €9000 of her unused rateband if u are separately assesses when u file tax return claim it

The_Honeybadger

Dublinmuppet wrote: »

If u are jointly assessed u can take up to €9000 of her unused rateband if u are separately assesses when u file tax return claim it

I have already transferred 9k to me. I am right at the threshold for the higher rate of paye, so was wondering if I do additional work as a sole trader could I use what she has left of her rate band (she will only use 16k of her 20k+ allowance). I am guessing the answer is no.

Dublinmuppet

The rest is non transferable

stejk11

Dublinmuppet wrote: »

The rest is non transferable

if there jointly assessed can they not claim up to 65,600 at the marginal rate on their combined income?
Does it not increase by the lower of the second income or balance of 23,800 remaining tax credits up to a max 65,600?

namenotavailablE

OP can claim €41800 SRCOP and his spouse can claim €16000 based on the values provided.

The_Honeybadger

namenotavailabl wrote: »

OP can claim €41800 SRCOP and his spouse can claim €16000 based on the values provided.

Yes, that is where we are now. My question was regarding a situation where I was earning an additional 10k as a sole trader, I.e. my total income personally would be over 50k. Given that my wife has not used all of her 23k rate band can I use what is left?

relax carry on

mickeyk wrote: »

Yes, that is where we are now. My question was regarding a situation where I was earning an additional 10k as a sole trader, I.e. my total income personally would be over 50k. Given that my wife has not used all of her 23k rate band can I use what is left?

No

clarkey1980

mickeyk wrote: »

Yes, that is where we are now. My question was regarding a situation where I was earning an additional 10k as a sole trader, I.e. my total income personally would be over 50k. Given that my wife has not used all of her 23k rate band can I use what is left?

The only way the additional band can be utilised is income in your wife's name

sofireland

Kind of a similar question for me here.

My earnings for 2013 were appx 40k my spouse maybe around 25k.
We are currently jointly assessed.
She has gone over the 23800 cut off are we able to use the extra allowance on mine to reduce the tax for last year?

namenotavailablE

Yes- your wife can take a SRCOP of €25000 and you can take €40000. Between the two of you there's another €600 available (if you can use that).
There's a SRCOP allocation spreadsheet downloadable from the link in my signature.

sofireland

Can that be done retrospectively eg for 2013?
Also would this be calculated normally when requesting a P21? They check to see what you've used of the SRCOP?

namenotavailablE

Yes- it can be done retrospectively.

The easiest thing to do is request the P21 for 2013- the tax office will automatically grant the correct SRCOP based on your individual incomes.