PAYE allowance for 2005

I'm finishing my tax return for 2005 (late, for reasons already discussed)

My wife is a PAYE employee, with reasonby high earnings.

I had a total of 1923 Euro of PAYe Earnings in 2005 (on which I paid tax as I had no tax free allowance cert)

Am I entitled to the full PAYE tax credit (1270 for 2005) ?


Also, where is the preliminary tax paid last year taken into account ?

Thanks

AJC said:

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I had a total of 1923 Euro of PAYe Earnings in 2005 (on which I paid tax as I had no tax free allowance cert)

Am I entitled to the full PAYE tax credit (1270 for 2005) ?

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No, the maximum paye credit you would be entitled to is 384.60, as this is the limit of 20% of your earnings.. the full credit of 1,270 for 2005 is only available if paye earnings exceed 6,350.

Hi AJC,

Are you saying that you paid PAYE of €1923 or you earned €1923 in 2005? Preliminary Tax paid last year won't come up on your actual return, this will be picked up by the Revenue on receipt of your return and will be included on your assessment when you receive it.

Regards,

Jockey

AJC said:

Also, where is the preliminary tax paid last year taken into account ?

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Whenever you work out your final tax liability, you should then subtract any preliminary tax paid last year.

Thanks, I get the picture re the PAYE allowance.

re the preliminary tax, when I use the calculate function, it shows I'm owed a refund of (say 2000) If I paid (say 1500) in prelim tax last year, does this mean I will get a check back for 3500 ?

Yes, providing the revenue agree with your figures.