Am I entitled to full PAYE credit 1830?

[m.sunny]

Hi everyone

In 2010, I worked as both PAYE employee & self employed.

However, I only worked 3 months in PAYE, Jan -March 2010, and only grossed €4300, from which I was deducted €240 tax... (so I wouldnt have used up all my 1830 PAYE credit).

My question is - can I offset the whole 1830 PAYE credit (as well as my personal tax credit of 1830) off my combined taxable income for 2010, when working out my tax liability?

Or will revenue only allow me the credit given me while in that 3 month PAYE employment?

thank you

 

[Gervan]

Your Paye tax credit can only be used against employee income, so you don't have full benefit of the 1830 in 2010.

 

[m.sunny]

Your Paye tax credit can only be used against employee income, so you don't have full benefit of the 1830 in 2010.

Thank you Gervan

So, in essence, I only deduct my Personal Tax Credit 1830 from my gross tax liability (due on combined income) or should I omit the PAYE income altogether from my Self Assessment and consider it already dealt with by revenue?

Sorry about this, just a tad confused!

thank you

Thank you

 

[mandelbrot]

Thank you Gervan

So, in essence, I only deduct my Personal Tax Credit 1830 from my gross tax liability (due on combined income) or should I omit the PAYE income altogether from my Self Assessment and consider it already dealt with by revenue?

Sorry about this, just a tad confused!

thank you

Thank you

No, you include ALL of your income and claim ALL of your credits on the Form 11, as well as the €240 of tax deducted under PAYE.

When raising your Income Tax Assessment, Revenue will only allow the PAYE credit to the extent that it is due (in your case €860 [€4,300 x 20%]).

 

[m.sunny]

No, you include ALL of your income and claim ALL of your credits on the Form 11, as well as the €240 of tax deducted under PAYE.

When raising your Income Tax Assessment, Revenue will only allow the PAYE credit to the extent that it is due (in your case €860 [€4,300 x 20%]).

Thank you Mandlebrot, this clears it up for me...

m.sunny