Case study Do I leave my tax credits as they are?

MidlandsBase

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180
Hello,

I'm an SNA with the following income:

10 years services : €34,538 per annum salary
Homework study group supervision : €3,300 per annum
Exam Supervision €450 per annum

Total : €38,188

Tax credits : €3,300 per annum

All tax credits are applied to the SNA job.

As I am taxed at 40% above €35,300 is there any point is me requesting Revenue to re-allocate tax credits to the homework study group supervision job?

Any advice would be great appreciated.
 

vandriver

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1,751
Tax credits,no.But is some of your standard rate band allocated to the homework job?
 

MidlandsBase

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180
Hi Vandiver,
Thanks for taking the time to reply. No. No allocations have been applied to the homework job.

I'd welcome any advice you may have on what I should request revenue do based on the figures above.
 

David1234

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203
Are these incomes through different employers?

If so, it would make sense to allocate the balance of €762 at the lower rate to the homework group. If you do nothing you will probably end up paying the higher 40% rate on this €762 but there will be a refund due at the end of the year
 

MidlandsBase

Frequent Poster
Messages
180
Hi David,

Thanks for your reply. They are different employers alright. So I should request that €762 of my tax band should be applied to the homework supervision job?
 

MidlandsBase

Frequent Poster
Messages
180
Hello All,

Thanks for the replies which have helped alot. It would now seem because I'm going into an additional years of service that my SNA salary will now be €35,621 this year.

10 years services : €35,621 per annum salary
Homework study group supervision : €3,300 per annum
Exam Supervision €450 per annum

Total : €39,371

Tax credits : €3,300 per annum

All tax credits are applied to the SNA job.

I presume given my increased salary there is no advantage in me moving bands around. I should just leave them as is for the coming year?

Many thanks.
 

David1234

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203
It makes sense and is easier if you just leave them all with your main job.

The homework group and exam supervision will be taxed at the higher rate so it's a personal decision to see if they are worth it as you will be taxed at roughly 50% on this income
 

Ciru75

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Messages
66
I presume given my increased salary there is no advantage in me moving bands around. I should just leave them as is for the coming year?

Many thanks.
Not for your tax bands but it would be worth moving some of your USC bands to your other employments to pay 4.5% USC on them rather than 8%.
 

elcato

Moderator
Messages
3,087
You should request a P21 balancing statement in Jan or Feb for the previous year in case you are overpaying. You can do so on ROS if you're registered or by phone.
 

MidlandsBase

Frequent Poster
Messages
180
Many thanks for the last two contributions. As soon as my P60s are made available I will request a P21.

Good to know about the USC split. I would never have thought of that. What split would you recommend based on my figures?
 

Ciru75

Frequent Poster
Messages
66
Many thanks for the last two contributions. As soon as my P60s are made available I will request a P21.

Good to know about the USC split. I would never have thought of that. What split would you recommend based on my figures?
I'd move enough of your 4.5% band to cover the full income you expect from these employments. You shouldn't pay 8% USC unless you're earning over 70k in the year.
 
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