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10 things to know about Tax & Marriage

10 things to know about Tax & Marriage

Written by John O' Connor on September 29, 2010

wedding bellsCONGRATULATIONS, YOU’RE MARRIED!

Now get your tax right and save up to €4,620 per year

Savings like that are sure to lead to marital bliss.  And the example of €4,620 is a very realistic saving on getting married for a High Tax payer with a stay at home partner.  While in other cases it may make no difference to the amount of your pay that is taxed.

Top 10 things you should know about Tax & getting married.

  1. Nothing changes immediately …  In the world of tax, the Tax man treats you as a single person until Jan 1 of the following year.  Maybe treat it as another wedding anniversary date and celebrate it!
  2. There are 3 different ways (called basis of tax assessment) of being taxed as a married couple – make sure you choose the right one – choose the wrong basis and it could cost you that €4,620 a year in tax, with no come back.
  3. Just Married?  While the tax man will not treat you as married straight away, you may get a  tax refund through a “Year of Marriage” review.
  4. Some Tax Credits are transferable between spouses – that’s part of what can make a big difference to how you are taxed.
  5. You can also transfer tax bands between spouses.  What this means is that you may reduce the amount of tax paid at the higher rate, now 41%
  6. Stay at home parent?  If you earn less than €5,000 a year and have dependent children, then your partner can get extra tax credits.
  7. Dads!  Guys miss this one a lot as many dads see “Stay at home parent” and read “Housewife”.  But if you are out of work and earned less than €5,000 in the year, then make sure your wife gets that tax credit for her work.  Could be worth €900 a year.
  8. Got Married and your home was in only one person’s name?  You could double your mortgage interest relief now you are married.
  9. Some Tax Credits are worth double now you are married, some will stay the same.  Make sure you get the most back.
  10. Lastly, Just maybe the tax man has a romantic streak – it pays to be married!  Every week we review taxes for co-habiting couples that will have paid more than €10,000 more in tax over 4 years than they would have if they had been married.  Now, there’s an excuse to get married – and a reason to splash out on an even bigger Diamond 😉

Posted Under: Random posts

79 replies to “10 things to know about Tax & Marriage”

  1. Shane brilly

    I am married over two years and still treated as single, had a baby 11 weeks ago, do I get tax relief for havin a child, who can i ring or talk too about my best options ?

    Reply ↓

    1. Nerilie Watson

      Hi Joe
      Thanks for your message.
      It is quite likely you could be due a tax refund, but we wouldn’t be able to tell for certain without reviewing your personal circumstances.
      I have send you an email with further details of how to apply.
      Regards
      Nerilie

      Reply ↓

  3. John

    hi i am married a year on feburary 14th 2016. i am just wondering would i be entitled to tax refund for the year of 2015 as when we rang last year we were told we had to be married a year and if so how do i go about applying.

    Reply ↓

    1. Administrator

      Hi John,
      In the Year of Marriage, you are still ‘set up’ by Revenue as Single, but at the end of the year, we can review your taxes and make a “Year of Marriage” Claim. Basically, this compares your tax charge as married against your tax charge as single, and you will will get the difference back, proportionate to the amount of the year you were married.

      From the start of the following year, you can be set up as Married. Sometimes being set up as Married can save you a lot in tax, sometimes it makes no difference – it depends on your wage levels.

      Hope that helps John.

      Regards,
      John

      ps trying to remember, is there something on the 14th Feb??? 😉

      Reply ↓

  4. Kate

    Hi John,

    We got married in Oct 2015 and we now need to apply for married couple tax. Trouble is, we are not sure which Tax Option to opt for to maximise our bring home income.

    We are both employed professionals being taxed through PAYE.

    Reply ↓

    1. Administrator

      Hi Kate,
      Generally joint assessment is best when both are paye employees, but we’ll check your individual taxes before making any such adjustment.
      Cheers,
      John

      Reply ↓

  5. Jon

    Hi, my wife and myself were married in 2009 but only notified revenue recently. I was made redundant in 2014 and would like to transfer any/all my tax credits to her. Would you know how I could go about transferring any/all my credits to her? Thank you in advance

    Reply ↓

  6. Alex

    I got married in October 2015, I only notified tax office January 2016. So my tax credit will be changed only from 1st of January 2017?

    Reply ↓

    1. Administrator

      Hi Alex, you should see that change pushed through in 2016. Sometimes, it wont affect your wages, if you and your spouse earn at a similar level
      John

      Reply ↓

      1. Alex

        My wife doesn’t work at the moment, she is on maternity leave, so I took all the tax credits on me, so I should see some changes?

        Reply ↓

        1. John

          Hi Alex, be careful with that, as Maternity leave is now taxable and you have to make sure some tax credits are left with her to cover the tax liability for the Maternity Benefit.
          But if you did take tax credits, you should see changes in your pay, how long it takes to implement depends on the payroll department!
          John

          Reply ↓

  7. Prakasha Raman

    Hi John, I got married in March 21st 2015. I was taxed as a single for the year 2015. Since submitting the IT2 form, i am not getting my Mrs’ tax credit as well. My wife is not currently employed. I was hoping if you could please advise me on the following :-
    1. Can I claim the tax back for April – December 2015? If so, how do i proceed?
    2. We just had a son. 🙂 Please can you advise how can i proceed to get the correct tax rating for us now?

    Looking forward to hearing from you on these and Thanks in advance.

    Prakasha

    Reply ↓

    1. Administrator

      Hi Prakasha, Sorry for the delay.
      Congrats on the child! You should be fully set up as married for 2016 and receiving your Wife’s tax credits. In 2015 you are still assessed as single, but may be eligible for a review at the end of the year which will give you some of the tax benefits of being married. Should be straightforward if your Wife lived in Ireland for the whole period, but the refund depends on your wife’s employment history.
      John

      Reply ↓

  8. john

    Hi, my wife and I reside in the north but I work in the south. We married in 2014 – I sent in the form but am unsure as to how I allocate or reallocate tax credits etc

    Reply ↓

  9. James Irvine

    I earn €36,500.00 per year & my wife is starting a job on €24,000.00 per year next week.
    At present I claim both our tax credits. Should I change this once my wife starts working or leave as is? We have 2 children in full-time education also.

    Reply ↓

    1. Administrator

      Hi James,
      It shouldn’t make a big difference, you can leave it as the same – it’s more down to personal preference in terms of who is seen to be paying more tax. Regardless at the end of the year, you can get this reviewed and any overpaid tax refunded quite easily.
      John

      Reply ↓

  10. Eric

    Hi John,
    We recently got married. I earn 36k and my wife 31k. We now have to complete the Assessable Spouse Election Form, Could you please advise what do you think would be the bet for us?
    Thankd and kind regards,
    Eric

    Reply ↓

    1. Administrator

      Hi Stefano,
      In your situation, getting setup as married will improve your annual situation by about 240e. If you are a client get in touch with us to help get this set up for you.

      Kind Regards,
      John

      Reply ↓

    1. Administrator

      Hi Cathal,
      You will be due extra tax credits from 2016, but also in 2015 there is a year of marriage tax review that would likely get you a refund. All depends on whether you are paying income tax.

      best wishes,
      John

      Reply ↓

  12. Adrian

    Hi i just got married and we are wondering about allocating tax credits or what to do from here. My wife earns 50000 a year plus bonuses of 25000.
    I earn 24900 what would be the best way to go with our tax credits. Thanks

    Reply ↓

    1. Administrator

      Hi Adrian,
      Congrats on getting married!
      You wont be set up as married on Revenue systems until next year. You can look at how you want to allocate your tax credits and tax bands at that stage. You can keep your tax credits split as when you were single, but you could give some of your standard rate tax band to your wife and reduce her tax charge each month without affecting your tax bill.

      Regards,
      John

      Reply ↓

  13. Varun

    I am from India and married there and she not moved in Ireland. Only me. I submitted tax credit certificate which says 33800 20% nd above 40%. How can i get like 42800 as 40% tax. Anyway to make it up. How to avoid that since my wife is not with me but married..

    Reply ↓

    1. Ray Byrne

      Hi Varun,

      Thanks for your question. You can be set up as married under what is called aggregation relief basis where one spouse is not resident in the country. There are different factors like your wife’s income, date of marriage, etc. that would need to be taken into account in determining if it can be applied to you. If you need any help to check this for you let me know.

      All the best,
      Ray

      Reply ↓

  14. Philip Nolan

    Hi John,
    My wife and I got married in March this year 20167. She hasnt worked since 2015 but can I expect a repayment in the new year or whats my next step?

    Thanks,
    Phil

    Reply ↓

    1. Ray Byrne

      Hi Phil,

      Thanks for getting in touch. As you were married this year you can be set up as married fully from 2017 on as you are still assessed as a single person in the year of marriage. From next year then, as your wife is not working, you should get the benefit of her personal tax credit and you can also earn more at the lower rate of tax too. For this year, you can have what’s called a Year of Marriage review carried out in January once set up as married. This means that if the tax you paid as a single person is greater than the tax you would have paid as a married couple from the date of marriage to year end, then you can get that as a refund too. You may also be entitled to the Home Carers Tax Credit as well from next year on.

      If you need any help you can let us know.

      All the best,
      Ray

      Reply ↓

  15. Fran Boumaza

    Hi There, I was married in September 2016. I earn 53000 p/a and my husband on minimum wage part time so I suspect he earns about 13,000 p/a. I informed revenue that I would become the assessable person as I earn so much more. They said that’ll take affect this year and when we get our P60 to submit for review. Does this sound like the right option for us?

    Reply ↓

    1. Ray Byrne

      Hi Fran,

      Thanks for getting in touch. Yes if Revenue have set you up as married then you will be assessed as a married couple from the start of this year, you are assessed singly in the year of marriage. Your tax credit certificate should reflect this (you and your employer should receive this shortly) and your employers will adjust your 2017 taxes based on that.

      If you would like us to review your 2013 to 2016 taxes we can do this for you as well as you may be due a Year of Marriage refund for 2016 depending on your income.

      All the best,
      Ray

      Reply ↓

    1. Ray Byrne

      Hi Ann,

      Thanks for getting in touch. In relation to any Social Welfare income, his entitlement to that you would need to check with Social Welfare if his circumstances have changed. Tax wise you would get the benefit of his personal tax credit from this year on if set up as married but his Social Welfare income, depending on the type of welfare income what he is receiving, would be a taxable source of income and would need to be taken in to account as well.

      All the best,
      Ray

      Reply ↓

    1. Ray Byrne

      Hi Paul,

      Thanks for getting in touch. Yes if your wife is no longer working then your taxable income for the year is going to be less. Normally your tax credits are split evenly but you can contact Revenue to update this if it is in the current year but if she will be working again at any stage of the remaining year it may be best to leave them as is.

      All the best,
      Ray

      Reply ↓

  18. Jack

    Hi guys,

    I got married in November 2015 and i registered myself and my wife as a Joint Assessment only in May 2016.

    I’ve got already a refund (November and December 2015) so my question is: will I get a refund of taxes for the period January/May 2016?

    Many thanks

    Reply ↓

    1. Ray Byrne

      Hi Jack,

      Thanks for getting in touch. If you registered as married during 2016 then Revenue would have issued an amended tax credit certificate to you and your employers as well and your taxes should have adjusted then. It depends on your income if there will be any change to your taxes. You will be assessed as married then from 2016 on and your 2015 refund should be from a year of marriage review then.

      All the best,
      Ray

      Reply ↓

  19. artur

    Hello. We had a wedding in 2016. We both work full time. 30k and 19k. How will our tax credit look like in 2017. As a single person I had 64 euro a week just like my wife as well. I know a person who has 110 euro tax credit a week and he has a wife. Please help.

    Reply ↓

    1. Ray Byrne

      Hi Artur,

      Thanks for getting in touch. Have you have already been set up as married then Revenue, they should have issued a new tax credit certificate based on this if you have. It can depend on how the credits are split so it is best not to compare with the taxes of someone else as everyone’s taxes are different. If you would like us to review your taxes and to see if there is any benefit to being set up as married then let us know and we can help better then.

      All the best,
      Ray

      Reply ↓

  20. Andy

    Hi there
    Quick question for u,
    I got married on Dec 10th last, my income is 41k, my wife 22k
    I asked revenue to jointly asses us and transfer credits from my wife. My wife never paid tax as her income was below threshold , today she got hit for €118!!!! She’s ripping mad!!!!!
    Can I tell revenue to change my wife’s credits so she won’t have to pay tax and I can get her remaining credits? Not sure if I make sense!!!!!
    Thanks Andy

    Reply ↓

    1. Ray Byrne

      Hi Andy,

      Thanks for getting in touch. Did Revenue issue an amended tax credit cert to you, this should have issued after you elected to be assessed as a married. If you log in to your ‘myaccount’ on the Revenue website you should be able to see what way they have the personal tax credit split and also the rate bands as well for 2017. You can ring them either and they should be able to advise what way they are split. On an income of €22k a single person would have to pay PAYE tax on that so I’m not sure if she was on a lower income before this that she wasn’t paying PAYE tax on.

      All the best,
      Ray

      Reply ↓

  21. Gerry's

    Hi , are we legally required to advise the revenue of our Marraige ? Both of us are in the higher tax bracket and have no tax credits to share , we married in 2014 and are both taxed as single .

    Reply ↓

    1. Ray Byrne

      Hi Gerry,

      Thanks for getting in touch. No you don’t have to elect to be jointly assessed, you can remain to be singly assessed if you wish.

      All the best,
      Ray

      Reply ↓

  22. Lily

    Hi, I am married just starting working full time my husband is on carer allowance can I get tax relief because of him or what is best for us. I didn’t registered yet as is my first week

    Reply ↓

    1. Ray Byrne

      Hi Lily,

      Thanks for getting in touch. You can be assessed as a married couple from the year after you are married. In the year of marriage you can have what’s called a Year of Marriage review carried out. If you are going to get set up as married just make sure your employer is aware of the welfare income that your husband is receiving so the tax they deduct is correct for your total income.

      All the best,
      Ray

      Reply ↓

  23. Natasha

    Hi
    My husband and I have been resident in Ireland since April 2015, but married before we entered the country, so Revenue’s records have had us as married since we got here. I wasn’t working up until recently, but my husband’s been in full time employment since we became resident. Now that we’re both in full time employment, we’re trying to see what would be best for our tax credits (he earns about 25k and I earn 35k). The marriage tax credit is supposed to be 3300, but it shows on our records as shared, so we’re each getting 1650. Is that correct? We always thought it’s 3300 per person, not per couple. Not really sure of the difference then in being single or married (as far as tax credits go), as it’s 1650 per person either way. Please could you clarify. Thanks so much!

    Reply ↓

    1. Ray Byrne

      Hi Natasha,

      Thanks for getting in touch. The personal tax credit for a married couple is €3,300, which is both of your personal credits combined. There are 2 main benefits to being set up as married.

      Firstly you can earn more at the lower rate of tax. With the incomes given this should help reduce the tax that you pay as all of your income will now be at 20% whereas if you were to be taxed as a single person you would be paying €1,200 at the 40% rate. The tax band for a single person is €33,800 whereas for a married couple with both spouses working it is €67,600. So overall you are roughly €240 better off for being set up as married with the incomes given

      Secondly if one spouse is not using their full personal credit, for example if they lose their job or start working less hours, then the other spouse can use their unused personal tax credit.

      All the best,
      Ray

      Reply ↓

  24. Lucia

    Hi,

    I need an advise please,I got married in september last year and now want to be taxed as married couple with my husband but keep the credits and standard rate band as at present, which is our best option please? The joint assessment? I’m on 33k and my husband 48k a year.
    I’m really confused, don’t know what’s the best for us.
    Thank you!

    Lucia

    Reply ↓

    1. Ray Byrne

      Hi Lucia,

      Thanks for getting in touch. Yes you would be better off as jointly assessed and you can earn more at the lower rate of tax based on your incomes. You will be assessed jointly from 2017 on and you can have what’s called a year of marriage review completed for 2016 as well.

      All the best,
      Ray

      Reply ↓

  25. Aisling

    Hello,
    My husband and I married in 2014. I earn 42000 p/a and he earns approx 35000. Would it be worth out while being jointly assessed for taxation?
    Regards,
    Aisling

    Reply ↓

    1. Ray Byrne

      Hi Aisling,

      Thanks for getting in touch. Based on the figures you have provided there would be no difference as you both are already in the higher tax bracket. Generally you are never worse off for being set up as married and if one of you were to become unemployed or to be on a reduced income it would be of benefit to you then.

      All the best,
      Ray

      Reply ↓

  26. Brian

    This is a great place for questions on this topic! Thanks!

    I earn €60k pa and my wife €34k pa so I understand that there is no will be no change when being jointly assessed as we are both above the €33,800 band. Is that right? I am planning on submitting the Assessable Spouse Election Form but with the tax credits and standard rate band equally divided. In the previous years she was earning less so I should be due a refund from previous un-used tax credits right?

    Thanks
    Brian

    Reply ↓

    1. Ray Byrne

      Hi Brian,

      Thanks for getting in touch. Yes that would be correct. Depending on your incomes in the previous years you may be due a refund, it will be detailed on the P21 balancing statement once the credits have been updated.

      All the best,
      Ray

      Reply ↓

  27. Luke

    Hi,

    This is great work and a great service you are doing! My question is about delayed registering of marriage with tax offices. I got married in August 2015 and recently only became aware of it being advantageous to inform the tax offices of our marriage. Should I expect a tax rebate aswell? My wife earns around 33k and myself 34k.

    Thanks for your time!

    Reply ↓

    1. Ray Byrne

      Hi Luke,

      Thanks for getting in touch. Based on those figures you would marginally benefit from being set up as married, roughly in the region of €200. You can still update to being set up as married from 2016 so it can be back dated as you can apply for credits back as far as 2013 at the moment.

      All the best,
      Ray

      Reply ↓

  28. Darren McIlroy

    Hi

    I wondered / hoped you could give me a steer in the right direction with this question. We have been married for 7 years and jointly assessed, my wife has been self employed for the last three years with a very low income return, two years being a loss one breaking even. I have a PAYE salary, 51 K taxable. We decided this year to change to separate assessment so she can file her own return but it seems to have considerably affected my take home. Do you think this was the right decision, firstly, and secondly how would be go about making sure we are both claiming the appropriate credits.

    Thanks for your help in advance

    Darren

    Reply ↓

    1. Ray Byrne

      Hi Darren,

      Thanks for getting in touch. It sounds like you may have elected to change to separate treatment as opposed to separate assessment, as you should still have to complete an annual return together under separate assessment due to your wife’s income tax registration. Depending on her income in those previous years, you were probably receiving her personal tax credit and also you may have been able to earn more at the lower rate band as well. As you are now taxed as a single individual effectively you cannot share these credits anymore. You can contact Revenue to change it back for next year if it suits to complete an annual return through your wife’s accountant.

      All the best,
      Ray

      Reply ↓

  29. Anne Marie Cahillane

    Hi,
    I have been married since 2011 and have two children. We have never opted for joint assessment as we earn similar enough wages(48k/55k) both paye employees. would it be of benefit to us to be jointly assessed and if so could we be looking at a refund of any sorts?
    thank you

    Reply ↓

    1. Ray Byrne

      Hi Anne Marie,

      Thanks for getting in touch. Based on the figures you have given there would be no difference as both of you are already in the higher tax band. You can still elect to be assessed jointly, it won’t have a negative impact on how your taxes are calculated, if either of your situations change the other spouse can use their credits then if not being used fully.

      All the best,
      Ray

      Reply ↓

  30. Janaina

    Hi, thanks for the very helpful post!

    I`m married since 2012 and I`m here in Ireland since the beggining of this year.
    Both me and my husband started to work few time ago and I received the Assessable Spouse Election Form to be filled. For this year both me and my husband will be lower than the rate band since we have more 6 months to earn salary only, but for next years I`ll be above the rate and my husband will be below the rate.
    I would like to know what is the most advantageous way to allocate the tax credits and standard rate band. By value, dividing equally between us or transfer all to who will earn more?

    Thanks,
    Janaina

    Reply ↓

    1. Ray Byrne

      Hi Janaina,

      Thanks for getting in touch. If you are completing an assessable spouse form you can leave the income section blank and Revenue will allocate credits based on your income. This will be detailed on your tax credit certificate then. Generally, it is best to split the credits evenly if you are both on similar incomes. If you will be on a higher income you can elect to be the assessable spouse then as well.

      All the best,
      Ray

      Reply ↓

  31. Vladani

    Hi,
    we got married few months ago. Only I am working, my wife is still searching for the job. I got Assessable spouse form to fill and I am puzzled what to choose from:

    (b) We request that our tax credits and standard rate band be allocated as follows:
    or
    If you are already being taxed as a married couple and wish to have your tax credits and standard rate band allocated as at present, please tick this box
    or
    If you wish to have your tax credits and standard rate band divided equally between you, please tick this box
    or
    If you wish to have transferable tax credits and standard rate band allocated to the assessable spouse, please tick this box .

    Can you please advise us what to choose. I just want to pay less taxes now when I am married.

    Reply ↓

    1. Ray Byrne

      Hi Vladani,

      Thanks for getting in touch. Generally, it is best to split the credits evenly as if your wife will be working next year she may need he credits then. If she will not be working next year then you can elect for the bottom option. As you were married this year then you will be assessed jointly from 2018 on as you are still treated as single in the year of marriage. So it will only come in to effect from 2018 and how your credits are divided will show on your 2018 tax credit cert that you will receive at the end of this year. You can have a year of marriage review carried out at the end of the year then as well for 2017.

      All the best,
      Ray

      Reply ↓

  32. Claire Mc

    Hi. My husband and I have been married since 2012. We both earn around the same each year (50,000 approx.). I work in the public sector and my husband in the private sector. I only realised when I went to claim tax back for medical expenses this week that I am still registered as single. Should we both have changed our martial status back in 2012? Do we now owe the revenue money due to the fact that we never declared that we are married?
    Many thanks, Claire

    Reply ↓

    1. Ray Byrne

      Hi Claire,

      Thanks for getting in touch. Based on those incomes there would be no difference to your taxes between being assessed separately or together. You wouldn’t owe tax either as generally you are never worse off for being assessed together. You do not have to elect to be assessed as married you can stay being assessed separately going forward.

      All the best,
      Ray

      Reply ↓

  33. Jose Santos

    Hi there,

    We got married in 2016 but we haven’t informed the revenue yet.
    I’m completely confused about changing it or keep both of us on the single tax payer. I earn 32.5k and my wife 21k. We have no idea what to do, I heard from friends we should register as a Joint Assessment but I’m not sure after reading some comments here. Choosing it would actually help us to pay less? or would just increase more her tax? What would be the benefits for us? Please I would be really grateful for your advice

    José

    Reply ↓

    1. Ray Byrne

      Hi Jose,

      Thanks for getting in touch. Based on those incomes there would be no change to your taxes to be assessed together as a married couple. You are still treated as a single person in the year of marriage but so you can elect to be assessed together from 2017 on. You are generally never worse off for being assessed together but based on those incomes there would be no difference as you both are on the lower rate of tax anyway.

      All the best,
      Ray

      Reply ↓

  34. Asma

    Hi,
    i have a full-time job but my husband ( student) is doing a part time job . we have a 4-year old son. Do we need to apply for joint assessment? I am not sure which option to choose as I find it difficult to understand the TAX system here.

    Reply ↓

    1. Ray Byrne

      Hi Asma,

      Thanks for getting in touch. You don’t have to elect to be assessed together and it depends on your income if it will be beneficial but generally you are never worse off for being assessed together. If your husband is only working part time then it may benefit you if he is not using his full credits and also you may be able to claim the Home Carers Tax Credit for your son as well depending on your income.

      All the best,
      Ray

      Reply ↓

  35. Pavlo

    Hey,
    Ill get married pretty soon, we are living together and my gilfriend is not working and she wasnt working before so she didnt pay any taxes. I would like to know if I will be able to claim her tax credit if she never worked before or there is anything else I/we can claim.
    Thank you.

    Reply ↓

    1. Ray Byrne

      Hi Pavlo,

      Thanks for getting in touch. If you are getting married this year you can elect to be assessed together from 2018 on. So if she will not be working next year as well yes you can claim her personal tax credit. You may also be entitled to the Home Carers Tax Credit as well if you have children.

      All the best,
      Ray

      Reply ↓

  36. Margaret

    Hey

    We just got married in August 2017 but we haven’t informed the revenue yet.
    I’m completely confused about changing it or keep both of us on the single tax payer. I earn 42kand my husband earns 21k. We have no idea what to do, I heard from friends we should register as a Joint Assessment but I’m not sure. Choosing it would actually help us to pay less? What would be the benefits for us? Please I would be really grateful for your advice

    Reply ↓

    1. Ray Byrne

      Hi Margaret,

      Thanks for getting in touch. The first thing is you don’t have to inform Revenue that you are married, you can still elect to have your taxes assessed separately. Based on the incomes that you have provided it would be more beneficial to be assessed together as you should be taxed at the lower tax rate on al of your income compared to currently where some of your income will be at the higher rate. You can be set up as married from 2018 on as you are still assessed as a single person in the year of marriage. At the end of the year then you can have what’s called a year of marriage review carried out from the date of marriage to the end of the year.

      All the best,
      Ray

      Reply ↓

  37. Megan Rey

    Hi,

    I got married in Sept 2016, but have been claiming single parent child care carer credit since 2015. If I notify revenue that I am now married will I owe tax? I have only recently started working again since Jan 2017 and earn 24k. My husband is self employed and earns 70k.

    Thanks

    Megan

    Reply ↓

    1. Ray Byrne

      Hi Megan,

      Thanks for getting in touch. If you are now living together you would no longer be entitled to the Single Person Child carer credit and you would need to notify Revenue of this. If you elect to be jointly assessed your details would be included with your husbands when his accountant does his annual return. Some people prefer to keep things separate where one spouse is self employed.

      All the best,
      Ray

      Reply ↓

  38. Nicola

    Hi. I just got married. My husband earns 40k and I earn 27300k. Under joint assessment can I keep my wages how they are now but give my husband the extra 6500 of my standard rate band I am not using against his wages. Would this be as beneficial as giving him all my tax credits and rate band? Which way would we pay the least tax?

    Reply ↓

    1. Ray Byrne

      Hi Nicola,

      Thanks for getting in touch. Based on the salaries provided you would benefit from being assessed jointly. You would both keep your taxes credits as they are but you would benefit from the increased taxed band where all of your combined income would be taxed at the lower rate of tax of 20%. At the moment your husband is paying 40% on everything above €33,800, so the benefit would be that €6,200 now being taxed at 20% instead, so a reduction of €1,240. You can be assessed jointly from 2018 on if you got married this year but you can also have a year of marriage review carried out for 2017 for the remainder of the year from the date you got married.

      All the best,
      Ray

      Reply ↓

  39. Adam

    Hi

    I recently got married in August 2016. My wife earns 62K and I earn 34K. Is it worth out while being jointly assessed? Can we claim a refund if any due back in 2016?

    Reply ↓

    1. Ray Byrne

      Hi Adam,

      Thanks for getting in touch. Based on those salaries there would be no benefit tax wise as you are both already on the higher rate of tax. You can still elect to be assessed as married from 2017 on. If it were the case going forward then where one of you did not work a full year, for whatever reason i.e. career break, unemployed, maternity leave, the other spouse could use their credits if not used fully.

      All the best,
      Ray

      Reply ↓

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