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PAYE and single person tax

  • 04-12-2016 12:59pm
    #1
    Registered Users, Registered Users 2 Posts: 10


    So I read this on revenues home page but im not sure I understand it correctly

    Who can Claim?
    You can claim the Employee tax credit if you are earning an income which is taxable under the PAYE system. This includes wages, salary, benefit-in kind, occupational pensions, Department of Social Protection pensions, Irish resident individuals in receipt of a social security pension received from another EU Member State, and Irish residents who work abroad and pay tax under a PAYE type system.
    Conditions
    The current amount of the Employee tax credit is €1,650. This is calculated as follows: €8,250 (gross) @ 20% = €1,650.
    If you earn less than €8,250, the Employee tax credit will be restricted to 20% of your PAYE income (as the Employee tax credit cannot exceed this amount).

    Correct me if I'm wrong but do they state that you can claim back the 1650 euro?

    Is there a single person tax? And how much can you claim for that?

    Another question is: I was for 6 month unemployed and got some thankful help from the revenue with 188 weekly payment.
    Before that I was employed in Ireland for 2 years paying my taxes. Now I noticed that on the salary I get monthly of 2250 before tax they take 50 euro a month and they told me its because I was on the dole. My question is shouldn't my taxes that I paid for during the 2 years cover that up already? Why am I paying 50 euro a month extra to the revenue? Is this correct?

    Thank you for all advice!


Comments

  • Registered Users, Registered Users 2 Posts: 14,599 ✭✭✭✭CIARAN_BOYLE


    Lotta misinformation here.

    You probably got the benefit of your tax credit each and every pay period.

    There is no extra taxes because you were on the dole but job seekers (either allowance or benefit I always mix the two up) counts as taxable income. You may be on less monthly tax because you were on the dole. IE your tax bands credits and cut off points are spread through the year. You dont have huge pay so are benefiting each month from more tax credits and cut off points than a normal person because you were on the dole.

    If you post or pm your payslip (with personal details blacked out if you wish) I will give you further feedback.


  • Registered Users, Registered Users 2 Posts: 26,359 ✭✭✭✭Mrs OBumble


    It's jobseekers benefit which is taxable. Unlike work, they don't tax it when they pay it to you, so you end up paying the tax on it when you do get back to work.


  • Registered Users, Registered Users 2 Posts: 10 Pancakesand


    Lotta misinformation here.

    You probably got the benefit of your tax credit each and every pay period.

    There is no extra taxes because you were on the dole but job seekers (either allowance or benefit I always mix the two up) counts as taxable income. You may be on less monthly tax because you were on the dole. IE your tax bands credits and cut off points are spread through the year. You dont have huge pay so are benefiting each month from more tax credits and cut off points than a normal person because you were on the dole.

    If you post or pm your payslip (with personal details blacked out if you wish) I will give you further feedback.


    PM sent!


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