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Tax while partner is on maternity leave

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  • 04-05-2021 12:11pm
    #1
    Registered Users Posts: 55 ✭✭


    Hello,
    Looking for some advice and thought that here would be a good place to start. My wife is going on maternity leave in July, her company do not pay her while she is on leave so she will be claiming the state maternity benefit.
    We have not yet registered as married through revenue so are still assessed individually. Both gross incomes are €60k.

    What should my next steps be? I am assuming that if we update our status to married and are assessed jointly while she is on maternity leave I pay less tax?
    And I suppose the broader question is will we be any better off assessed jointly going forward once she goes back to full time employment?

    Hope this is clear, TIA for any advice :)


Comments

  • Registered Users Posts: 55 ✭✭relevanc


    1. Notify revenue. Then request a balancing statement after the year end to recover any excess deductions for the tax year. You could consider also adjusting tax credits/band during mat leave. Just to note that maternity benefit is taxable income.

    2. Going forward there is no benefit post leave to be jointly assessed as both earning good salaries.


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