Tax credits for 2nd job

[anfeardearg]

Hi. My 17 year old son works for a farmer at weekends and gets paid each month. He has a PPS number and is set up on Revenue.ie. However he has been working for a silage contractor recently and the contractor has told him to change his tax credits over to him or he can't pay him? The contractor is a gruff individual who doesn't take kindly to questions of any sort... My son looked up his revenue account and it appears he has to drop the other employer to do this? It's very confusing. Any advice appreciated.
Thanks in advance

 

[Marsupial]

My son looked up his revenue account and it appears he has to drop the other employer to do this?

No he doesn't! See here: https://www.revenue.ie/en/jobs-and-...le-jobs/splitting-tax-credits-rate-bands.aspx

 

[Protocol]

Let me guess: the contractor promised a net wage, rather than quoting a gross wage?

So to reduce the gross labour cost, the contractor wants the tax credits allocated to that job?

 

[Marsha25]

Surely your son can allocate his tax credits as he wishes. He can have them all allocated to one employer, split them evenly or split them otherwise depending on who pays more. As an employer I would never dictate to my employees how they manage their tax credits. He doesn't have to drop any job. If he allocates all his tax credits to the gruff contractor, he will just end up paying more tax on his salary from the other job. Either way if he has overpaid any tax by the end of the year he can claim it back in January.