Working part of the year

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farmer

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Do you still get your whole year's tax credits if you're only working part of the year? E.g if I work from January to March and then give up work do I get back 1500 euro? Or isn't there a certain threshold where you don't pay any tax? Like if I only earn 10k for that whole year do I have to pay tax on it?
Thanks
 
See [broken link removed] for details of the annual income tax exemption limits. If you work part of the year but then stop (e.g. become unemployed) and your tax credits have been set out pro-rata for the year then you can file a [broken link removed] to get a refund of tax as and when your unused tax credits accumulate to cancel out tax that you have already paid.
 
Thanks for the reply clubman. So for a single person you can earn 5210 without paying tax and then the next 29400 is taxed at 20%? but where does the tax credit fit in then? Do you add that to teh 5210 to get the true amount you can earn without paying tax?
 
€5,210 is not a tax credit or a 0% tax band - it's a tax exemption earnings threshold. If you earn more than this in a year then you pay 20% on any amount up to €29,400 (20% of the full €29,400 if your earnings are greater than or equal to €29,400) and then 42% on any amount above this. Once you come up with a gross tax figure you subtract your tax credits (as stated on your annual statement of tax credits - common tax credits are listed [broken link removed]) to get a net tax figure which is the amount that you actually pay in tax. Don't forget that you also pay PRSI (4%) and health levy (2%) on most of your income - see [broken link removed]. PRSI/health levy are not refundable through a P50 claim. [broken link removed] is useful for figuring this stuff out but it seems to have been exhibiting problems with the display of calculations recently and, unfortunately, Karl has not yet responded to bug reports on this. Does that make more sense to you? Perhaps if you post your own figures (e.g. how much you have earned and how much of the year you will not be working) then somebody can crunch the numbers for you (assuming Karl's calculator is still not working properly)?
 
here is an other online tax calculator if you want to cross reference the figures. [broken link removed]
 
ANC said:
Clubman,

This link for the Tax calculator works http://www.esatclear.ie/~grabe/TaxCalc/TaxCalc.html
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Yeah - it's not the link that I was talking about but the Java calculator applet itself which has been having problems displaying the results lately. It was not working for me and a few others yesterday but seems to be OK again today. Perhaps Karl has been maintaining it and uploaded a few broken versions but has now corrected things? Anyway, the other link posted above is always an alternative.
 
well i saved the link you had mentioned on my favourites a few weeks ago and the link always brings me to the Java Tax Calculator for Ireland Budget 2005 but it never does a calculation. this is still not working..

but the link i just posted which is slightly different does work.
 
Oh right I get ya now. I thought working only a few months in a year and then jet-setting off would reap me a tax-back windfall. Oh well, thanks for all your time.
 
farmer said:
Oh right I get ya now. I thought working only a few months in a year and then jet-setting off would reap me a tax-back windfall.
Click to expand...
It could do as I said in my first response above. However if you are working abroad then double taxation agreements and tax treatment of earnings here and abroad could be an issue. A few years back I was made redundant early in the year and was drawing Unemployment Benefit for a few months and as my weekly/monthly tax credits remained unused and accumulated to compensate for tax already paid my P50 yielded refunds of tax paid in stages which was a welcome revenue stream.
 
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