Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

Joint assessment question

  • 23-11-2024 01:10AM
    #1
    Ted Kel
    Registered Users, Registered Users 2 Posts: 2 ✭


    Hi,

    I'm self employed and my missus is paye. She's job sharing the past couple of years so her income has dropped to around €35,000.

    We're jointly assessed and Im using her tax credits. I'm assuming that as I'm getting some of her credits she's not getting a refund which she probably technically would if we were being assessed separately. If I wanted to give that back to her what would that be roughly or how would I go about figuring it out.

    Thanks Ted



Comments

  • #2
    SureYWouldntYa
    Registered Users, Registered Users 2 Posts: 7,842 ✭✭✭SureYWouldntYa


    You'll want to look at your last tax credit cert for a given year

    You'll want to subtract her total salary of €35,000 from the standard rate cut off applied to her, presumably €33,000 in 2024 if fully transferred. This would mean she would have paid an additional €2,000 in tax at 20% (ie the difference between standard 20% and 40% higher rate), so you would owe her €400 for the cut off. If not €33,000 then subtract whatever her total cutoff is

    If you have her full personal tax credit at source and she is only left with the PAYE credit, this was €1,875 in 2024

    This would leave you owing her a total of €2,275 for 2024

    For 2025 you may wish to divide the tax credits evenly rather than going to this hassle post year end. Then when you're making a joint return in due course any unused benefit from your spouse would go to you anyway



  • #3
    Ted Kel
    Registered Users, Registered Users 2 Posts: 2 ✭Ted Kel


    Thanks a million for this. Yea I really meant to transfer that last year, but I also meant to file my tax returns in January!!! Both of which never happened. Thanks for your clear reply

    Ted



Advertisement