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JanuaryJones

Registered User
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I'm self employed with income of €25k. Husband is employed with income of €50k
I tried to see what we would come out with for 2015, just for my information.
Assuming that neither of us has made a pension contribution, use car for work etc, just usual credits, could anyone tell me what the figures look like. I used the Deloitte tax calculator but must have got it wrong cos in one scenario we end up a lot better off.
Would appreciate if anyone could help
 
Thank you.
When I used this online calculator
broadsheet.ie/budget-2015
I got different results, depending on if I put my details or my husband's details in first....
Could I bother you to tell me what the figures should be? And would it make sense for my husband to take my tax credits so that we get the benefit immediately, rather than waiting until I file?
 
OK well taking each example as they come and using the calculator on taxcalc.ie:

1. Joint assessment with your income first I get a take-home pay of €56,730 for 2015. I think this should be €56,930 as the tax band for a married couple with 2 incomes is €67,600 and not €66,600 as per the calculator

2. Joint assessment with your husband's income first I get a take-home pay of €58,380 for 2015. This is actually incorrect as the self-employed spouse has been granted the PAYE credit in error. The correct figure is again €56,930

3. Separate assessment (effectively taxed as 2 single people)
You will come out with €19,755
Husband comes out with €35,415
Household income total of €55,170

So the difference between the joint income of €56,930 and the separate income of €55,170 is €1,760 which is how much better off you would be by being taxed jointly.

This would agree with the logic of you transferring the remainder of your 20% band to your husband and this band now being taxed at 20% instead of 40%:

€33,800 - €25,000 = €8,800 @ 20% saving = €1,760

My original calc of €1,848 is incorrect as I was using a 21% difference instead of a 20% difference (€8,800 @ 21% saving = €1,848)

Lot of figures there but that should be OK for you
 
Hi DB74
My wife works part time paying no tax,usc or prsi(maximum per year is about 6.5k while I earn 62k)
We are assessed seperately for tax credits as advised by the Revenue Commissioners some years back.
Is there anything to be gained from us being assessed jointly?
 
Link here about separate assessment: Revenue website

Essentially, separate assessment and joint assessment come to the same thing.

However, with separate assessment, you have to wait until the end of the calendar year to seek a review of your tax liability and get any unused standard rate band and credits reallocated to you. Under joint assessment, they can be allocated to you at the start of the year so you 'get the benefit' more immediately. Hence, there's a 'time value of money' benefit in going as jointly assessed but the actual tax liability will be the same whether taxed separately or jointly.
 
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