Not paying any PAYE?

McStuffins

Registered User
Messages
38
Hi all,
Hoping someone can give me some advice.
I'm a full time PAYE employee. I have been in the same circumstances for many years in terms of taxation and have always paid PAYE tax on my income.
I am a single parent so get tax credits for this but aside from it, I've no other tax credits that I am aware of.
I have an ongoing illness and was off work last year (2012) and on illness benefit for a number of weeks. I received a PAYE refund when I returned to work. I was also on illness benefit for a couple of weeks at the start of 2013.

So far in 2013 I have paid no PAYE at all. According to my P60, I only paid €80 PAYE last year (after getting the refund).

I called revenue and they looked at my tax credit statement and said that it seemed to be correct and that I wasn't due to pay any PAYE. I've looked at my payslips from 2011 and I was paying a small amount of PAYE (about 15euro per week). I'm earning slightly more now though.

Just wondering how being on illness benefit has effected my tax credits as I don't really understand how it works? The person in revenue did mention that I was on illness benefit at the start of this year.

I'm just worried I'll end up owing them money. I know it wouldn't be a lot in the grand scheme of things but I'd rather not have to come up with a few hundred in one go.

Thanks
 
Everybody gets the basic Personal tax credit = 1650 for a single person.

All PAYE workers get the PAYE tax credit = 1650

Lone parents get an extra tax credit = 1650

Total tax credits = 4950

This means you can earn (4950 * 5) = 24,750 tax free.

(Ireland is a low tax economy, especially for low earners)

So if you earn around 25-30k you won't pay much tax.
 
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