# Repayment of overpaid income levy



## steviel (15 Aug 2009)

I left my job in May to return to college, and completed the 'tax repayment during unemployment' claim form, given that I will receive no further income this year.  I am sure that this year there are many people making the same claim, unfortunately in many cases not voluntarily.

Working only until May, I had obviously paid significantly more income tax than I should, and with fairness to the Revenue Commission, an amount representing the overpayment was returned to me withing 2 or 3 weeks of completing the form, and was calculated correctly.

I did not however receive any repayment of my income levy.  I am not sure how this is calculated (weekly or annualised), but all i know is that when i add it up the total income levy I have paid from January to May 2009 is around 2% of my gross salary over the same period!  

My total income levy payments are not on my P45, nor are they on the balancing statement from the revenue (which I received with my refund cheque).  It is just a line deducted from your payslip, and you get no record of it from the Revenue Commission!  It just disappears!  had I not manually done the sums by going back over my 5 payslips this year, I doubt I would have ever seen it again!  SO I guess that is a lesson for anyone claiming tax back this year.

I am going to write to the revenue commissioner, but in the meantime, is anyone aware of any reason why the income levy shouldnt be returned to me in the same was as the income tax? It should be a simple enough calculation - the charge should simply be 1% of what I have earned to May and 2% for May (income is well below the 75k threshold incidentally!)

Any input would be much appreciated.  It is clearly a completely different system of recording the payments that income tax, and it may be that I have to wait until the year end to claim.


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## daxve (16 Aug 2009)

The Income Levy can only be refunded after the tax year has ended so Revenue will not refund it until January 2010 at the earliest,

From the Income Levy FAQ

*2.23 What if I have overpaid the income levy? How can I claim a refund? *​[FONT=Times New Roman,Times New Roman][FONT=Times New Roman,Times New Roman]The income levy is calculated on a pay period by pay period basis. Where the income levy has been applied for particular pay period(s) throughout the year but you are ultimately liable at either a lower rate or are exempt because you have not exceeded the thresholds at the end of the year, you will have overpaid the income levy. In this situation you will be due a refund of some or all of any income levy paid. Where you have been in continuous employment with an employer throughout the year in question (for the full 52 weeks/12 months), your employer may refund any overpayment of income levy deducted at the end of the year. Where you have not been in continuous employment with an employer throughout the year in question, Revenue, rather than the employer, will deal with any refund of income levy due at the end of the year. [/FONT]

[FONT=Times New Roman,Times New Roman]The Income Levy does not appear on a P45 or Balancing statement your employer should have issued you with an Income Levy Certificate along with your P45.[/FONT]

[FONT=Times New Roman,Times New Roman]*4.13 Income Levy Certificate on cessation of employment *[/FONT]​
[FONT=Times New Roman,Times New Roman][FONT=Times New Roman,Times New Roman][FONT=Times New Roman,Times New Roman]When an employee ceases employment the employer should issue an Income Levy Certificate to the employee together with form P45. It is not necessary to send a copy of this certificate to Revenue. It is for the employee’s own records. The information detailed on this certificate will be for ‘this employment only’. Where an individual had more than one period of employment with the same employer in the year the certificate will state the income levy information in respect of the latest period of employment only. The individual will be given an income levy certificate each time they cease employment. This will mean, for example, that where an individual commenced and ceased employment three times with the same employer in 2009 they will receive three income levy certificates from this employer in 2009. Employers should note that details of the income levy should [/FONT][/FONT]*not *[FONT=Times New Roman,Times New Roman][FONT=Times New Roman,Times New Roman]be included on forms P45. [/FONT][/FONT]

[FONT=Times New Roman,Times New Roman][FONT=Times New Roman,Times New Roman]The FAQ is available here http://www.revenue.ie/en/spotlights/income-levy.html[/FONT]
[/FONT][/FONT][/FONT]


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