query on USC tax

jimj292 · 06-12-2019 1:04pm #1

Hi there,

I am currently on a Christmas part time contract until January. I recently got my pay slip. I get that I need to pay the PAYE tax (20%), and the employer pays the PRSI.

But why do I need to pay USC tax, as that was deducted from my gross pay.

Does anyone know? Thanks.

relax carry on · 06-12-2019 1:28pm

jimj292 wrote: »

Hi there,

I am currently on a Christmas part time contract until January. I recently got my pay slip. I get that I need to pay the PAYE tax (20%), and the employer pays the PRSI.

But why do I need to pay USC tax, as that was deducted from my gross pay.

Does anyone know? Thanks.

There's not enough information in your post to help you.

Is this your only job this year? Did you have nay other taxable income in the year. Can you see your employment registered when you login to your Revenue account?

jimj292 · 06-12-2019 1:37pm

relax carry on wrote: »

There's not enough information in your post to help you.

Is this your only job this year? Did you have nay other taxable income in the year. Can you see your employment registered when you login to your Revenue account?

Hello, yes this is my first job this year, so no other taxes incurred in other jobs. I don't have a revenue account.

relax carry on · 06-12-2019 1:42pm

jimj292 wrote: »

Hello, yes this is my first job this year, so no other taxes incurred in other jobs. I don't have a revenue account.

If it's your first job this year and you've had no other taxable source of income then unless you are on some massive wage you shouldn't be paying PAYE or USC. If you had your Revenue account activated you'd be able to log in and see if the job was registered. Did you provide your pps number to your new employer? If you did you'll have to ask them did they register the employment and get an RPN for you to tax you correctly.

jimj292 · 06-12-2019 3:13pm

relax carry on wrote: »

If it's your first job this year and you've had no other taxable source of income then unless you are on some massive wage you shouldn't be paying PAYE or USC. If you had your Revenue account activated you'd be able to log in and see if the job was registered. Did you provide your pps number to your new employer? If you did you'll have to ask them did they register the employment and get an RPN for you to tax you correctly.

Yes, I did provide my pps number to my employer. I guess I'll clarify everything with them when I go into work again. I also created a revenue account just now, waiting for them to post me further details.

However, I'm a non-Irish resident, on a Stamp 1G. Does that affect anything?

relax carry on · 06-12-2019 4:03pm

jimj292 wrote: »

Yes, I did provide my pps number to my employer. I guess I'll clarify everything with them when I go into work again. I also created a revenue account just now, waiting for them to post me further details.

However, I'm a non-Irish resident, on a Stamp 1G. Does that affect anything?

Are you planning on staying in Ireland next year? If so then you should be resident for tax purposes which means normal rules should apply.

namenotavailablE · 06-12-2019 4:31pm

It's possible that you've been put on a 'Week 1/ Month 1' basis. The impact of this is that you don't get taxed on year-to-date values- each pay period is taxed in isolation- so you're missing out on the benefit of cumulative tax credits/ thresholds etc.

You'll be able to recover any overpaid tax/ USC after the 31 December. If you're working in Ireland for next year, you should be taxed using the normal 'cumulative' basis.

query on USC tax

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