Author: haydon

Year of Marriage:

For tax purposes, both partners continue to be treated as two single persons in the year of marriage. However, if the tax you pay as two single persons in that year is greater than the tax which would be payable if you had been taxed as a couple in a marriage or civil partnership, a refund of the difference can be claimed. Any refund due is only from the date of marriage or registration of civil partnership and will be calculated at the end of that tax year.

All other years:

The following options are available:

• Joint Assessment
• Separate Assessment
• Separate Treatment (Assessed as Single Individual).

Joint Assessment

This is normally the option used by married couples.

If only one spouse is working then all tax credits and the standard band are given to him

Credits €3,300 married person and if applies €1,650 PAYE tax credit

Standard tax band will be €42,800

If both spouses are working they can decide how these credits and banks are split between them.

Credits will be €3,300 married credit and if applies €1,650 PAYE credit each (PAYE credit cannot be transferred)

Standard tax band is €42,800 plus the earning of the lower paid spouse to a total of €67,600

Joint assessment is the default option for a married couple unless Revenue are notified otherwise.

Separate Assessment

Under Separate Assessment your tax affairs are independent of those of your spouse or civil partner.

The following tax credits are divided equally between you:

• Married or Civil Partner’s Personal Tax Credit
• Age Tax Credit
• Blind Person’s Tax Credit
• Incapacitated Child Tax Credit.

 

The balance of the tax credits are given to each of you in proportion to the cost borne by you. The PAYE tax credit and employment expenses, if any, are allocated to the appropriate spouse or civil partner. Any tax credits, etc., other than the PAYE tax credit and employment expenses, which are unused by one spouse or civil partner may be claimed by the other spouse or civil partner. The tax credits may not generally be adjusted until after the end of the tax year. The couple can sent in separate or joint forms under this option.

How to elect for Separate Assessment

A claim for separate assessment of income tax before April 1^st in the year of assessment in the case of recently married couples before April 1^st in the year following the marriage.

Separate treatment:

This applies the single person rules as if you were single and no credits or reliefs can be transferred between the spouses.

How to elect for Separate treatment

This can be done by either partner and revenue must be informed by the end of the tax year in question. It will be changed when the person who made the original request for special treatment wishes to alter it.

*All the above rules that apply to marriage apply in the same way to civil partnerships*

 

Revenue have confirmed the filing deadline for 2016 income tax returns is Tuesday the 14th November 2017 where both the payment and return are filed through Revenue’s Online System (ROS)