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
Hi all! We have been experiencing an issue on site where threads have been missing the latest postings. The platform host Vanilla are working on this issue. A workaround that has been used by some is to navigate back from 1 to 10+ pages to re-sync the thread and this will then show the latest posts. Thanks, Mike.
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

Married, Single Income Tax, Personal Tax Credit allocation

  • 13-12-2018 11:35am
    #1
    padraig.od
    Registered Users, Registered Users 2 Posts: 779 ✭✭✭


    I have received my Tax Credit Certificate from Revenue for 2019. My wife is not currently working and does not plan on working in 2019.

    They have allocated our credits as below, where the value allocated to me is first.

    Personal Tax Credit -> 0, 3,300
    Employee Tax Credit -> 1,650, 144
    Home Carers Tax Credit -> 0, 1,500

    I don't understand why they have allocated all of the Personal Tax Credit to my wife given that she will not be working. My thinking is it would be best to allocate it all to me as that would reduce the amount of tax I pay month-to-month. Is that correct?


Comments

  • #2
    relax carry on
    Registered Users, Registered Users 2 Posts: 4,085 ✭✭✭relax carry on


    padraig.od wrote: »
    I have received my Tax Credit Certificate from Revenue for 2019. My wife is not currently working and does not plan on working in 2019.

    They have allocated our credits as below, where the value allocated to me is first.

    Personal Tax Credit -> 0, 3,300
    Employee Tax Credit -> 1,650, 144
    Home Carers Tax Credit -> 0, 1,500

    I don't understand why they have allocated all of the Personal Tax Credit to my wife given that she will not be working. My thinking is it would be best to allocate it all to me as that would reduce the amount of tax I pay month-to-month. Is that correct?

    From what you've posted they have given you her personal tax credit of 1650. It was added to your own 1650 personal credit to give the 3300 figure. 9000 of her unused rate and will also have been allocated to you.


  • #3
    Squatter
    Closed Accounts Posts: 1,841 ✭✭✭Squatter


    relax carry on wrote: »
    From what you've posted they have given you her personal tax credit of 1650. It was added to your own 1650 personal credit to give the 3300 figure. 9000 of her unused rate and will also have been allocated to you.


    Not so! He wrote that his credits come first, so he is getting:

    Personal Tax Credit -> 0
    Employee Tax Credit -> 1,650
    Home Carers Tax Credit -> 0 :confused:

    OP you are correct in saying that you should seek to have as much as possible of your joint tax credits allocated to you, as you are the only member of the couple paying PAYE!


  • #4
    padraig.od
    Registered Users, Registered Users 2 Posts: 779 ✭✭✭padraig.od


    Squatter wrote: »
    Not so! He wrote that his credits come first, so he is getting:

    Personal Tax Credit -> 0
    Employee Tax Credit -> 1,650
    Home Carers Tax Credit -> 0 :confused:

    OP you are correct in saying that you should seek to have as much as possible of your joint tax credits allocated to you, as you are the only member of the couple paying PAYE!

    Yes that is what I thought. She will not work so why does she have all of the credits?

    The only reason I can come up with is that if she does work she won't be super heavily taxed. If we were to let the tax credits to her and she didn't use them, would that result in a bumper refund in 2020 if I submitted a P21?


  • #5
    relax carry on
    Registered Users, Registered Users 2 Posts: 4,085 ✭✭✭relax carry on


    Squatter wrote: »
    Not so! He wrote that his credits come first, so he is getting:

    Personal Tax Credit -> 0
    Employee Tax Credit -> 1,650
    Home Carers Tax Credit -> 0 :confused:

    OP you are correct in saying that you should seek to have as much as possible of your joint tax credits allocated to you, as you are the only member of the couple paying PAYE!

    Apologies, read the OP wrong.

    In order for credits to be allocated as they are there would have to be an active employment on file for his wife. If she's no longer employed the employment should be ceased. The credits and rate band should then be allocated to him.


  • #6
    padraig.od
    Registered Users, Registered Users 2 Posts: 779 ✭✭✭padraig.od


    relax carry on wrote: »
    Apologies, read the OP wrong.

    In order for credits to be allocated as they are there would have to be an active employment on file for his wife. If she's no longer employed the employment should be ceased. The credits and rate band should then be allocated to him.

    When you say should who is the active party? Will revenue do this or should I?


  • Advertisement
  • #7
    relax carry on
    Registered Users, Registered Users 2 Posts: 4,085 ✭✭✭relax carry on


    padraig.od wrote: »
    When you say should who is the active party? Will revenue do this or should I?

    You'll need to do this as Revenue won't know to update the record until you tell them.


  • #8
    The Diddakoi
    Registered Users, Registered Users 2 Posts: 488 ✭✭The Diddakoi


    Are you registered online with myAccount ?

    If you are, go to the Jobs and Pensions section, and you will be able to see if your wife’s employment is still active. If it is she should request a P45 from her ex employer, and send it in through myEnquiries. Revenue will then cease that employment, and all credits will then be moved to your employment.

    If you aren’t registered for myAccount you can give the PAYE helpline a call, and they will sort it for you.


  • #9
    Squatter
    Closed Accounts Posts: 1,841 ✭✭✭Squatter


    padraig.od wrote: »

    The only reason I can come up with is that if she does work she won't be super heavily taxed. If we were to let the tax credits to her and she didn't use them, would that result in a bumper refund in 2020 if I submitted a P21?

    Yep, assuming that you have opted to be jointly assessed.

    (Note however that you don't 'submit' a P21 - you ask Revenue for one!)


  • #10
    padraig.od
    Registered Users, Registered Users 2 Posts: 779 ✭✭✭padraig.od


    Squatter wrote: »
    Yep, assuming that you have opted to be jointly assessed.

    (Note however that you don't 'submit' a P21 - you ask Revenue for one!)

    Yeah, I suppose I submit a request for a P21. Thanks for your reply.


Advertisement