Marriage and tax arrangements

eurasian

Hi all and thanks for paying attention to the topic.
We got married this years and need to sort this out. Basically I'm a PAYE employee and all my taxation is done by my employer. My spouse is unemployed.

I read on the revenue's website that we need to fill out an Assessable Spouse Election Form and send it to them (I presume before the year ends).
At the moment we are taxed individually and happy with the way things are and don't want to change anything in our taxation.

The form has a field "We request that our tax credits and standard rate band be allocated as follows:" to fill out OR one of the following options to choose from:

1) If you are already being taxed as a married couple and wish to have your tax credits and standard rate band allocated as at present, please tick this box

2) If you wish to have your tax credits and standard rate band divided equally between you, please tick this box

3) If you wish to have transferable tax credits and standard rate band allocated to the assessable spouse, please tick this box


I know it's something very simple, but I'm afraid of making a stupid mistake with this one-page form. Could anyone help on how to fill this out if we want to keep our taxation as it is (separately taxed) or which of the options to choose.

I highly appreciate your suggestions.
Many thanks and Happy Christmas!

XsApollo

If your spouse is unemployed why would you want to be taxed as individuals?

If your spouse isn’t working you can take their tax credits and have more take home pay for yourself.

Also you can change the way the credits are used between ye whenever ye like.

eurasian

XsApollo wrote: »

If your spouse is unemployed why would you want to be taxed as individuals?
If your spouse isn’t working you can take their tax credits and have more take home pay for yourself.
Also you can change the way the credits are used between ye whenever ye like.

Because we have no idea how to calculate things, and if my spouse is entitled to any tax credit as an unemployed. Another reason is that he could become self-employed next year and the whole thing could become a bit complicated, i really want to avoid any potential mess or dealing with revenue everytime something happens.
Do you think there's a great chance of getting more take-home pay if I'm on minimum wage?

killanena

I'm on 10 an hour and I recently got my OH who is currently unemployed tax credits to apply to my take home pay. Working 40 hours a week I'm coming out with an extra 15 euro a week. Some weeks I do over time and the take home pay I get for that is much more then it used to be so in my opinion it was worth it. Though my OH has no plans of becoming employed or self employed any time soon as she stays home with our 1 and 2 year old.

eurasian

killanena wrote: »

I'm on 10 an hour and I recently got my OH who is currently unemployed tax credits to apply to my take home pay. Working 40 hours a week I'm coming out with an extra 15 euro a week. Some weeks I do over time and the take home pay I get for that is much more then it used to be so in my opinion it was worth it. Though my OH has no plans of becoming employed or self employed any time soon as she stays home with our 1 and 2 year old.

Thanks, Kilanena, 15 a week isn't bad, but it's almost certain he'll become self employed and that will result in changes in our taxation and I'm not sure if it's for good or for bad. He'll earn way more than i do at the moment.

server down

eurasian wrote: »

Thanks, Kilanena, 15 a week isn't bad, but it's almost certain he'll become self employed and that will result in changes in our taxation and I'm not sure if it's for good or for bad. He'll earn way more than i do at the moment.

At the moment you are leaving money to the government. When his situation changes you can change it again.

XsApollo

How long has he been unemployed?
How long have ye been taxed like this.
Depending on the answer there could be a good bit of cash to come back to ye.

Mrs OBumble

If you still want to be taxed as individuals, then you don't need to do anything.

eurasian

server down wrote: »

At the moment you are leaving money to the government. When his situation changes you can change it again.

Great. Then how do we fill out the form if we wish to get a joint assesment?
There are questions on both the form and the revenue website that aren't clear to me. For example one of the questions on the form:

"We request that our tax credits and standard rate band be allocated as follows:
Tax Credits / Standard Rate Band
Assessable Spouse: ? (no idea what to write down here)
Spouse? (no idea)

Standard Rate Band
Assessable Spouse: ? (no idea what to write down here)
Spouse? (no idea)

Another question says "Estimated income for the current tax year".
Not clear is this is gross figure or after tax.

XsApollo wrote: »

How long has he been unemployed?
How long have ye been taxed like this.
Depending on the answer there could be a good bit of cash to come back to ye.

Thing are like this for over a year now.

Sorry for questions that might seem stupid, but I'm confused.

eurasian

Mrs OBumble wrote: »

If you still want to be taxed as individuals, then you don't need to do anything.

many thanks! Is that the case if I already informed them verbally that we are married now?