credit card government tax

P

podgeandrodge

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Hi

I've read all about IFSRA's survey's and money saving advice, but has anyone ever heard them publicly slamming the Government about the annual Eur 40 tax - surely this is one way of saving everyone some dosh and at the same time allowing more competition in the sector?
 
Haven't heard IFSRA raise it but it has been raised here on AAM several times, most recently in the .
 
Is it 31st December or 31st March each year that is the cutoff for this credit card tax? I want to convert my existing MBNA card to a Ryanair card. Should I cancel my current card just before December 31st or March 31st?

Slim 8)
 
The pay time is 1st of April so you need to cancel the card before this and get the new one after this.
 
Don't worry about the date. Close the account now and you'll have to pay €40 tax. You'll get a letter (if you ask) from them and you can forward this onto the new card company. You WILL NOT have to pay tax next April then. This was a change brought in in the last Budget.


Rang BOI about this yesterday and girl said I was wrong. When I asked her to check with a manager she said I was right. In other words don't take no for an answer from any Card company!
 
Ryanair and MBNA are the same credit card, the only difference is the picture on the card. You will only be charged the once.
 
Stamp duty is charged on the account and not the card. If you have multiple cards on one account you are only charged once. If you have multiple cards on different accounts then you will be charged multiple times. It is quite feasible to have two of the same cards/accounts (e.g. two VISAs or MCs from different financial institutions or CC providers) and thus be liable for SD multiple times.
 
Swallows said:
Ryanair and MBNA are the same credit card, the only difference is the picture on the card. You will only be charged the once.
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Swallows is right, but be careful that MBNA upgrade (or cross-grade?) your account from the MBNA Gold to the RyanAir or Pigsback.com or whichever affiliate card and do not create a new account. If they create a new account, you could end up paying on the double.

MBNA may tell you that they can't change the account type but this is not true - they can if you insist.
 
MonsieurBond said:
Swallows is right
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Are you 100% sure? Surely you could have two MBNA cards from different providers that are on different MBNA accounts albeit in the same individual's name in which case the stamp duty would be charged on each account?
 
Paddy909 said:
Don't worry about the date. Close the account now and you'll have to pay €40 tax. You'll get a letter (if you ask) from them and you can forward this onto the new card company. You WILL NOT have to pay tax next April then. This was a change brought in in the last Budget.


Rang BOI about this yesterday and girl said I was wrong. When I asked her to check with a manager she said I was right. In other words don't take no for an answer from any Card company!
Click to expand...

So once you've paid your stamp duty for the year you can change companies as many times as you like in the year and only pay stamp duty once? Once you receive this letter from the bank or card company saying so that is I mean?
 
I think ClubMan is correct. You are charged stamp duty on each account held.

So once you've paid your stamp duty for the year you can change companies as many times as you like in the year and only pay stamp duty once?
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In essence yes - assuming that the CC companies take you on as customer and that you only have one card in operation at any one time. When you switch you would have to close the original a/c to avoid the double stamp duty.

Marion
 
Has anyone successfully received a letter from their old credit card provider stating that stamp duty for the account has been paid?
 
Yes I received the letter from BOI. But as someone mentioned above I had to get the girl on the phone to check again after she said I'd have to double pay. I just had to be blunt with her and say "can you please check with someone else there because I know what you are telling me is incorrect." She came back all apologetic and I got the letter a few weeks later!
 
I was on the phone to tesco and they said I'd have to pay the €40 govt. tax with them if I switched to them. I am currently with BOI visa and don't want to have to pay twice. What is the simplest way to avoid double paying, is the 1st April thing still good to do?
 
maura said:
I was on the phone to tesco and they said I'd have to pay the €40 govt. tax with them if I switched to them.
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As long as you have a letter from your old credit card provider stating that you have paid stamp duty on closing of the account, this is not true.

See the post from Galway99 above-demand to speak to someone who knows what they are talking about-don't take their word for it.
 
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