Married Couple Tax Credits

godtabh

I am filling out eForm 12 at the moment.

It lists me and my wife on the PAYE any time webpage.

My wife gets a €3300 married person tax credit.

I only get the €1650 single person tax credit.

Is that right? I assume the €3300 should be applied to both?

gerrybbadd

godtabh wrote: »

I am filling out eForm 12 at the moment.

It lists me and my wife on the PAYE any time webpage.

My wife gets a €3300 married person tax credit.

I only get the €1650 single person tax credit.

Is that right? I assume the €3300 should be applied to both?

No.

A married couple does not get any more tax credits than a single person. It's how the tax credits are allocated. Your Personal tax credit of 1650 is transferrable to your wife. Adding to her 1650 = 3300.00

The 1650 you see under yourself is most likely the PAYE Tax credit, which is non transferrable between spouses

godtabh

looking at form 12 it has the following

Personal Tax Credit €3300 for me wife

Personal Tax Credit €1650 for me.

Is that right?

Geuze

No, that's not right.

Personal tax credit is 1650 per person, and is transferable from husband to wife, and vice versa.

It's either:

1650 each
3300 for one, NIL for spouse


But you can't have 3300 + 1650 for personal tax credits.



Are you sure you're not confusing it with the PAYE tax credit, which is coincidentally also 1650?

5star02707

it could be that your wife's tax credit is 1650 (personal) + Paye tax credit 1650 = 3300

Yours is just 1650 personal tax credit.

if you are married and jointly assesed. 2 x personal tax credit (each of your own = 3300

can't be more than that

Wonderue

Hi,

I'm a complete novice when it comes to tax and tax credits. I got married in October 2012 but never contacted the tax office regarding joint assessment. If I do that now am I entitled to a refund?

Also my wife is considering working a 4 day week now. Would it be in my interest to get her credits transferred to mine?

Any advice welcome. Thanks.

screamer

godtabh wrote: »

I am filling out eForm 12 at the moment.

It lists me and my wife on the PAYE any time webpage.

My wife gets a €3300 married person tax credit.

I only get the €1650 single person tax credit.

Is that right? I assume the €3300 should be applied to both?

No it's wrong if you are both employees and both earning you should each get a paye and individual tax credit. These are 1650 each one. so she has 3300 and so should you......unless your tax affairs are not in order. Call the tax office and talk to them.

screamer

Wonderue wrote: »

Hi,

I'm a complete novice when it comes to tax and tax credits. I got married in October 2012 but never contacted the tax office regarding joint assessment. If I do that now am I entitled to a refund?

Also my wife is considering working a 4 day week now. Would it be in my interest to get her credits transferred to mine?

Any advice welcome. Thanks.

It depends if you both earned over the threshold amount in the past few years to pay 40percent tax in some of your earnings it will make no difference whether jointly or separately assessed. I think the thresholds were 31800 roughly so if both of you earned over that gross (before tax) the assessment will be the same. If one of you earned more than 31800 and one less than that then joint assessment should yield a bit of refund.

Transferring tax credits..... again if she is over the threshold amount (I think it's now 33800 you'd need to check) then no benefit transferring tax credits. If she is under the threshold and you are over it then you should transfer threshold amounts between you that would help reduce your tax. Call revenue they'll be better able to help.

HelgaWard

When myself and my husband got married, we notified the tax office of same. They fecked up and gave my husband 3/4 of our combined tax allowance and myself 1/2 of our combined tax allowance. So together we were given 5/4 tax credits (ie too many). We didn't notice for a year and then we had to pay them back. They make absolutely no apologises for the fact that it was them who incorrectly distributed our tax credits, it is each tax payers responsibility to ensure that your tax credits are correct. We got a different story from every person we spoke to and they repeatedly sent us incorrect P21 statements. It was only when we sat down read everything there is to know about PAYE and looked back at out pay slips, P60s that we figured out what had gone wrong.
http://www.revenue.ie/en/personal/paye-employee.html

Best of luck!!

Benny122

Hi there I'm looking for tax advice please possibility from an accountant or someone qualified enough to know the answer.

I am working full time and earning 26k per annum. My partner is drawing JSA through a Scheme of about €208pw.
At the moment we do not live together. And we are not married.

We are thinking of buying an apartment. Sole mortgage and joint ownership.

As I have said my current salary is 26k however this will go up to 29k in the next year or two due to my studies.

If we buy this property - as in both have our names on the deeds and own it together and live in it together - will his JSA be effected with my income?

Another question - if we intend to get married - i would as the same question - would his JSA be effected with my income?

I would appreciate any information on this?

Benny122

Hi there I'm looking for tax advice please possibility from an accountant or someone qualified enough to know the answer.

I am working full time and earning 26k per annum. My partner is drawing JSA through a Scheme of about €208pw.
At the moment we do not live together. And we are not married.

We are thinking of buying an apartment. Sole mortgage and joint ownership.

As I have said my current salary is 26k however this will go up to 29k in the next year or two due to my studies.

If we buy this property - as in both have our names on the deeds and own it together and live in it together - will his JSA be effected with my income?

Another question - if we intend to get married - i would as the same question - would his JSA be effected with my income?

I would appreciate any information on this?

phormium

If you partner's payment is a means tested one then yes it will be affected once you cohabit or get married. Your local Citizens Info office will work out by how much if you call to them or phone.

As to the mortgage make sure a lender is happy with sole mortgage and joint owners, I doubt too many will be. There is no problem with the other way around as in joint mortgage/sole owner but you are looking to mortgage a property where you will not be the only owner but the other owner is not on the mortgage. Bank may not be too happy with that and may insist that other owner goes on mortgage and I presume you are intending leaving them off it so as to avoid having them assessed as dependent and reducing the amount you can borrow.

Benny122

Yes that is correct by leaving them on the application my NDI is failing as their classes as a dependant of mine.

Sur how will the bank know if the property will be in joint names? Isn't that to do with the solicitor?

Or can't I get the deeds changed at a later date?

phormium

Your solicitor is going to have to give an undertaking to the bank to complete the mortgage and register the bank's charge on the property. Solicitor would have to advise the bank is there were to be that big a change to the registration as sticking another person on it.

Ask your solicitor's advice on this one as I imagine you will need the bank's permission to add on a person to the deeds at a later stage too. The mortgage is registered against the property so it matters to the bank who the property is registered to.

Look at it this way, you are trying to get a loan to buy a house, you want the bank to give you the money based on you giving them a hold over the house until the money is paid back but you are trying to avoid telling them that actually you don't really own the house yourself, there is another owner as well that has not agreed to the mortgage, bank no like and may say no deal.

Jacovs

Somewhat related, didn't want to start a new thread.
Got married last year, 1 october 2015. Sent in appropriate form to receive wife's credits for 2016. Received the 1650 credits on my 2016 credit form.
How much of her credits am I entitled to claim for 2015? Would it be 3 months worth?
1650/12*3=412,5 more or less?

relax carry on

Jacovs wrote: »

Somewhat related, didn't want to start a new thread.
Got married last year, 1 october 2015. Sent in appropriate form to receive wife's credits for 2016. Received the 1650 credits on my 2016 credit form.
How much of her credits am I entitled to claim for 2015? Would it be 3 months worth?
1650/12*3=412,5 more or less?

That's it. You would also be entitled to three twelfths of the transferable rate band of 9000 euro for 2015 if it would have been beneficial to you.

Jacovs

relax carry on wrote: »

That's it. You would also be entitled to three twelfths of the transferable rate band of 9000 euro for 2015 if it would have been beneficial to you.

Thank you for confirming.
A bit odd that revenue only rewarded me with 108 credits for year of marriage and not the full 400+. Have appealed anyways.
They also stated I underpaid by 28 euro and it will NOT be collected at this time. If they apply the correct credits they will owe me 250+. But if I really did owe them 28, how come they aren't collecting it?

relax carry on

Jacovs wrote: »

Thank you for confirming.
A bit odd that revenue only rewarded me with 108 credits for year of marriage and not the full 400+. Have appealed anyways.
They also stated I underpaid by 28 euro and it will NOT be collected at this time. If they apply the correct credits they will owe me 250+. But if I really did owe them 28, how come they aren't collecting it?

The full three twelfths of the credit and rate band are available to you if they weren't already use up by your spouse on her taxable income in 2015. Did your spouse have taxable income in 2015 which might have used up the credit?

Jacovs

relax carry on wrote: »

The full three twelfths of the credit and rate band are available to you if they weren't already use up by your spouse on her taxable income in 2015. Did your spouse have taxable income in 2015 which might have used up the credit?

She did not, been at home looking after our little boy the last 3-4 years. Glad to know I'm in the right, so just have to wait till they get back to me.
The first p21 they sent me without any of her credits I formally appealed by sending in a letter.
The second wrong p21 I've only lodged an enquiry on the revenue site. Should I formally appeal again or would an enquiry suffice?

relax carry on

Jacovs wrote: »

She did not, been at home looking after our little boy the last 3-4 years. Glad to know I'm in the right, so just have to wait till they get back to me.
The first p21 they sent me without any of her credits I formally appealed by sending in a letter.
The second wrong p21 I've only lodged an enquiry on the revenue site. Should I formally appeal again or would an enquiry suffice?

An enquiry should be enough pointing out the date of marriage and the fact your spouse had no taxable source of income for 2015.

allthedoyles

Jacovs wrote: »

She did not, been at home looking after our little boy the last 3-4 years. Glad to know I'm in the right, so just have to wait till they get back to me.
The first p21 they sent me without any of her credits I formally appealed by sending in a letter.
The second wrong p21 I've only lodged an enquiry on the revenue site. Should I formally appeal again or would an enquiry suffice?

Go back to them again and claim home carer tax credit as your wife was at home looking after your little boy last year

Jacovs

Just got word back from them.

"The year of marriage relief is based on the liability of taxes paid if you were single vs taxes paid if you were married and it is then apportioned for the number of month that you were married in that year. In this case the single Liability was 443 and 3/12 of the is 108 and that is your year of marrriage credit."

So you dont get the full 3/12 credits for your spouse for the year of marriage, just get credit for 3/12 of the tax you paid in that year?

willowthewisp

When it says "contact revenue" to notify them of marriage. Is that simply done by phoning them?

jjjd

willowthewisp wrote: »

When it says "contact revenue" to notify them of marriage. Is that simply done by phoning them?

No, you would need to produce evidence, eg the marriage certificate, and call in person into your nearest Revenue office.

Baby01032012

jjjd wrote: »

No, you would need to produce evidence, eg the marriage certificate, and call in person into your nearest Revenue office.

Not true. You can simply email your local revenue office. Giving you and your wife's PPS numbers, names and date of marriage, and advise them that you wish to be jointly assessed and how you want your tax credits allocated between you if not equally. Revenue have all the information they need once the marriage is registered. That worked for me anyway.

carleigh

You need to fill out and submit an accessible spouse election form with all the details as mentioned above by a previous poster.

Blingy

Jumping in here hope it's ok. Is it better for a married couple to be jointly assessed even if they are on similar salaries?

PCros

Whats the best way to split tax credits if I'm on 36k and the wife is on 31k?

Thanks in advance!

gerrybbadd

Blingy wrote: »

Jumping in here hope it's ok. Is it better for a married couple to be jointly assessed even if they are on similar salaries?

Yes

gerrybbadd

PCros wrote: »

Whats the best way to split tax credits if I'm on 36k and the wife is on 31k?

Thanks in advance!

Joint assessed.

Your wife will have some Rate Band she doesn't need that can be allocated to you, meaning you will pay tax at 20 instead of 40% on whatever is transferred.

You are both going to use all of your tax credits, so no benefit to transferring anything here.

Katie1_14

Hi,

Any advice would be appreciated. I got married in August 2016, I earn 48k pa and my husband earns 22k pa. Which option (joint or separate assessment) would be most beneficial, given that I currently fall into the 40% tax bracket and my husband doesn't? Or is the only difference that in one we decide who gets which proportion of tax credits up front and in the second, is it all balanced at the end of the tax year and any refund due is paid?

campo

Got married on new years day and trying to figure out would we benefit from being jointly assessed

I'm on 25K per annum and wife is on 16k pa
Neither of us has any other tax credits like health etc

Doctorsamuel

Hi guys,

I got married in November 2015 and i registered myself and my wife as a Joint Assessment only in May 2016.

I've got already a refund of November and December 2015 so my question is: will I get a refund of taxes for the period January/May 2016 through a P21?

Many thanks

CIARAN_BOYLE

Doctorsamuel wrote: »

Hi guys,

I got married in November 2015 and i registered myself and my wife as a Joint Assessment only in May 2016.

I've got already a refund of November and December 2015 so my question is: will I get a refund of taxes for the period January/May 2016 through a P21?

Many thanks

Maybe, or maybe you got the benefit through tax credits during the year.

Maybe you were under taxed during the year and owe revenue money.

The information you supplied is not sufficient for me to say either way.

YSpanopoulos

Hi, a little advice would be appreciated.

My wife and I moved back to Ireland last year. We both work, both earning approx €11,000 each per year.

The Revenue have said that they do not have any record of our marriage, and that we need to complete certain forms to register as a married couple.

This is my question: as we both work the same amount, and earn practically the same, is there any advantage to registering our marriage with the revenue? Would our tax free allowance increase? Is there any other reason to, other than sharing the allowance (which doesn’t seem to make any sense to me based on our earnings)?

Thanks for the help

HelgaWard

You need to notify Revenue that you are married and ask them to separately assess you. IE Treat you like you are not married.

YSpanopoulos

HelgaWard wrote: »

You need to notify Revenue that you are married and ask them to separately assess you. IE Treat you like you are not married.

Thanks Helga

What is the advantage of notifying the Revenue that we are married? Does our allowances change or is it just for the records?

HelgaWard

YSpanopoulos wrote: »

What is the advantage of notifying the Revenue that we are married? Does our allowances change or is it just for the records?

Just for records, I think you are supposed to let them know, but could be wrong on that. Keep an eye on both of your payslips after you tell them so you can notice if anything has changed, ie if they have redistributed your credits.

CIARAN_BOYLE

YSpanopoulos wrote: »

Thanks Helga

What is the advantage of notifying the Revenue that we are married? Does our allowances change or is it just for the records?

So that if one of you lose a job in the future you are able to change allowances instantly. Revenue get ackward about changing allowances if they changed your record part way through the year.

YSpanopoulos

CIARAN_BOYLE wrote: »

So that if one of you lose a job in the future you are able to change allowances instantly. Revenue get ackward about changing allowances if they changed your record part way through the year.

Go raibh maith agat Ciaran agus Helga, very helpful information.

So when filling out the ‘Assessable Spouse Election Form’ form for Revenue I tick the box “If you wish to have your tax credits and standard rate band divided equally between you, please tick this box”?

The one thing which seemed confusing to me was the table on Revenue’s website: ‘Tax rates, bands and reliefs’ which seemed to indicate that a married individual has a higher tax free allowance than a single person...

relax carry on

YSpanopoulos wrote: »

Go raibh maith agat Ciaran agus Helga, very helpful information.

So when filling out the ‘Assessable Spouse Election Form’ form for Revenue I tick the box “If you wish to have your tax credits and standard rate band divided equally between you, please tick this box”?

The one thing which seemed confusing to me was the table on Revenue’s website: ‘Tax rates, bands and reliefs’ which seemed to indicate that a married individual has a higher tax free allowance than a single person...

That relates to the transferable portion of the standard rate cut off bands in jointly assessed cases. Only beneficial if one of the partners isn't using up all of the standard rate band.

shawty

If you got married in December can you claim the tax credit retrospectively for that year?

relax carry on

shawty wrote: »

If you got married in December can you claim the tax credit retrospectively for that year?

No. It only applies from the date of marriage.

bizebee

Hi All,

Have a question in relation to marriage & notification to revenue that someone might be able to answer for me.

Does both people need to be registered at the same address ( share the same address ) when notifying revenue of marriage?

Thanks in advance!

2013Lara

Hi! Also have a question RE marriage and tax. We got married in August. I've stopped working since we had our third child and am home with the kids. I assume my husband can have my personal tax credit? How do we go about notifying revenue? Should this have been done at the start of the year or can we do it at any point through the year?

2013Lara

OSI wrote: »

You notify Revenue that you are married and wish to be jointly assessed. You can't be joint assessed for the year in which you were married so any gains you might have made for 2017 are not claimable, but from 2018 onwards you can ask for all of your tax credits to be allocated to your husband, although this is usually done automatically if they see it is more beneficial.

Thanks for that! We were hoping we'd be able to claim back for August to December, ahhh well 😂

Dermo

2013Lara wrote: »

Thanks for that! We were hoping we'd be able to claim back for August to December, ahhh well ��

We got married in October 2016 and let revenue know in November but they didn't actually record it correctly so it wasn't reflected in our P12 balancing statements at the end of the year. When I noticed this I sent them a message & they updated the records & issued a new P12. I was told in these instances they have to wait until the end of the year and automatically calculate the taxes for year of marriage so that you save the most/get the most back.

relax carry on

2013Lara wrote: »

Thanks for that! We were hoping we'd be able to claim back for August to December, ahhh well 😂

You can get that credit if any is due. When notifying Revenue that you want to be jointly assessed ask for a year of marriage review to be carried out too.

Gadge

Hi guys.

If a married couple have a child and the mother stays home as a carer for the bay and does not have a paying job, how much tax credit per year is the father (in full-time employment) entitled to?

I've been getting conflicting information on this, I'd appreciate the clarification.

Regards,

Garret.

relax carry on

Gadge wrote: »

Hi guys.

If a married couple have a child and the mother stays home as a carer for the bay and does not have a paying job, how much tax credit per year is the father (in full-time employment) entitled to?

I've been getting conflicting information on this, I'd appreciate the clarification.

Regards,

Garret.

The home carer tax credit is €1,200 for 2018.

https://www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/health-and-age/home-carer-credit/home-carer-tax-credit-rates.aspx

If you are jointly assessed you can transfer your spouse's personal tax credit of €1,650 as well.

You can also transfer up to €9,000 of your spouse's rate band to yourself if you are already earning over your own rate band of €34,500.

namenotavailablE

Total tax credits would be as follows for a married couple, one income, spouse stays at home to mind children:

Married credit: 3300
Employee credit: 1650
Home carer credit: 1200

Total: 6150