Hi Old Money,
Can I ask you (or anyone else who has experience) a few opinions on Trans border workers relief.
My wife & I also live in Donegal. I work in NI and my wife works in Donegal. I've been working in NI since 2012. I never heard of this relief until I read your post back in Jun. I got my act together and made contact with Revenue in July. They asked that I send all my P60s into their office, which I did.
They responded last week and said I have to complete Form 11 before Oct 31 each year from now (2017) on. That's fine I can do that (I hope its straight forward).
The questions I have relate to the P21's I received the next day stating we have underpayments of PAYE for the years 2014, 2015 & 2016.
I've been reading up on calculating Trans border relief all weekend and believe their calculations are right. I am disappointed and surprised about these underpayments. Have you or anyone any experience of this?
I believe the tax was under paid as my wife salary is small (PT work/Illness benefit/Maternity pay) and as such paid no tax in these years at source - would this be correct? And that it is not a tax on my NI income which is taxed etc there at source?
Am I right to assume that if all our income was earned in the South I would have had to pay this tax anyway? And it only annoys me now because it seems like I'm being charged extra whereas in reality I'm not? Looking at my calcs the Trans Border Relief is saving us money in tax each year (that's good).
Can anyone confirm that if my wife stops work that no Irish tax will be due as all our income will be earned and taxed in NI?
I've attached a file showing my sample calculation, anyone care to comment? Are my figures right/wrong?
Thanks for reading,
WM