Tax Clearance Cert - joint assessment

[LDFerguson]

I'd be grateful for any suggestions regarding the following situation which affects a personal connection of mine.

Married couple, jointly assessed. Both self-employed, sole traders, unrelated businesses. A's business recently folded and there is a debt to Revenue as a result. Working their way towards an agreement with Revenue.

Family now relying on B's income. About 25% of B's work is for a State body and the State body has now requested a Tax Clearance Certificate before any more money can be paid. (Some money currently owed to B for work already done.)

As they are jointly assessed, B can't get a Tax Clearance Certificate as there is money owing. Will take some years to clear off.

Can this be fixed by simply opting for separate assessment with immediate effect?

Any other suggestions?

 

[Tomorrow]

Revenue will usually issue a tax clearance cert if a formal installment arrangement has been agreed.

But maybe this is not the case here?

Revenue have recently issued ebrief 09/12 on applying for Separate Assessment which seems to indicate you have to apply for 31/03/2012 for the 2012 tax year.
So this may work for you - but I have never tried it.

www.accountantonline.ie

 

[LDFerguson]

Revenue will usually issue a tax clearance cert if a formal installment arrangement has been agreed.

But maybe this is not the case here?

Haven't got that far yet, but the plan is to agree a formal instalment arrangement in due course.

Thanks for the reply.

 

[trg]

Relevant to the thread title it not the thread content!

Can a wife who has a trade but is not the assessable spouse under joint assessment with her husband apply for a tax clearance cert in her own right?

She has a trade and a P60

Thanks