I am a self employed sole trader and approaching 60 in July. .
My spouse,55, has done unpaid paperwork , adminstration and phone calling for me in the background for the last six years without payment.
My query is I have a very decent private ARF from a directorship I previously held which I am obliged to draw from from my 60th birthday otherwise I pay full tax on notional drawings.
If I draw this and add to my wages , I will pay tax based on single person tax credits
Say €40k salary plus €42k mandatory withdrawal = €82k per anum.
My question is : as a sole trader , going forward , could I pay my spouse or go in to partnership with her to allocate some tax credits and allowances and thresholds to her to reduce our tax liability going forward.?
How do you think Revenue would view this and what kind of tax savings are possible?
Thanks in advance for any advice,
My spouse,55, has done unpaid paperwork , adminstration and phone calling for me in the background for the last six years without payment.
My query is I have a very decent private ARF from a directorship I previously held which I am obliged to draw from from my 60th birthday otherwise I pay full tax on notional drawings.
If I draw this and add to my wages , I will pay tax based on single person tax credits
Say €40k salary plus €42k mandatory withdrawal = €82k per anum.
My question is : as a sole trader , going forward , could I pay my spouse or go in to partnership with her to allocate some tax credits and allowances and thresholds to her to reduce our tax liability going forward.?
How do you think Revenue would view this and what kind of tax savings are possible?
Thanks in advance for any advice,
Last edited: