Tax

Here you will find some links to relevant pages on taxation both local, European and global. If you require some specific advice in respect of a tax matter we at Burke & Associates would be delighted to help,  because sometimes  you can’t find your answer on Google.!

For Ireland in 2013 and 2014  here is some current information in respect of rates of tax and tax credits

MAIN PERSONAL TAX CREDITS
2013 EURO 2014 EURO
Personal Tax Credit
Single Person 1,650 1,650
Married or in Civil Partnership 3,300 3,300
PAYE Credit 1,650 1,650
widowed Person or Surviving civil Partner (without dependant children) 2,190 2,190
One Parent Family 1,650 Abolished
Single Person Child Carer - 1,650
Incapacitated Child Credit Max 3,300 3,300
Blind Tax Credit:Single Person married or in Civil Partnership – One Spouse or Civil Partner Blind married or in Civil Partnership – Both Spouses or Civil Partners Blind 1,6501,650
3,300
1,6501,650
3,300
Widowed Parent Bereaved, Bereaved in 20132012201120102009

2008

-

3,600

3,150

2,700

2,250

1,800

3,600

3,150

2,700

2,250

1,800

-

Age Credit
Single or Widowed or Surviving Civil Person 245 245
Married or in a Civil Partnership 490 490
Other credits
Home Carer’s Credit (max) 810 810
Dependent Relative (max) 70 70
INCOME TAX RATES
2013 EURO 2014 EURO
Single or widowed or Surviving civil Partner, without                   Dependant Children
20% on first 32,800 32,800
Balance 41% 41%
Single or Widowed or Surviving Civil Partner, qualifying for One Parent Family Tax Credit
20% on first 36,800 36,800
Balance 41% 41%
Married or in a Civil Partnership, one Spouse or Civil Partner with Income
20% on first 41,800 41,800
Balance 41% 41%
Married or in a Civil Partnership, both Spouses or Civil Partners with Income
20% on first 41,800 with increase of 23,800 max 41,800 with increase of 23,800 max
Balance 41% 41%
Tax Allowance
Cost of employing carer for incapacitated individual allowed at marginal rate of tax 50,000 50,000
Rent-a-Room Relief (private residence) 10,000 10,000
UNIVERSAL SOCIAL CHARGE (USC)
The USC is a tax payable on gross income, including notional pay, after   any relief for certain capital allowances, but before pension   contributions. The USC is effective from 1 January 2011 and will be   on a cumulative basis from 1 January 2012.
USC Thresholds (Aged Under 70years) 2013 2014
Income up to  €10,036 2% 2%
Income  €10,036.01 to €16,016 4% 4%
Income above €16,016 7% 7%
USC Thresholds (Aged 70years or over) 2012 Individuals aged 70 years or over. Individuals who hold a full medical card (regardless of age) 2013 Individuals aged 70 years or over whose aggregate income for the year is €60,000 or less.
Individuals (aged under 70) who hold a full medical card whose aggregate income for the year is €60,000 or less.
Income up to €10,036 2% 2%
Income above €10,036 4% 4%
Exempt Categories

  • Where   an individual’s total income for a year does not exceed €10,035 in 2013 and 2014
  • All Dept of Social Protection payments
  • Income already subjected to DIRT

Aggregate” income for USC purposes does not include payments from the Dept of Social Protection. A “GP only” card is not considered a full medical card

MORTAGE INTEREST – TAX RELIEF
Interest paid on qualifying home loans taken out on or after 1 January   2004 and on or before 31 December 2012 will (subject to the exception   below) qualify for tax relief up to the end of 2017 at the following   general rates and thresholds.
First-Time Buyers –   The tax relief on interest paid   on qualifying home loans is 25% for years 1 and 2; 22.5% for years 3, 4   & 5 and 20% for years 6 and 7. The upper thresholds in respect of   the amount of interest paid qualifying for tax relief are €20,000 for   individuals who are married, in a civil partnership or widowed and   €10,000 for individuals who are unmarried and not in a civil   partnership. After year 7, the rates and thresholds for relief are as   for non-first time buyers.
Non-first time buyers – The tax relief on interest paid   on qualifying home loans is 15%. The upper thresholds in respect of the   amount of interest paid qualifying for tax relief are €6,000 for   individuals who are married, in a civil partnership or widowed and   €3,000 for individuals who are unmarried and not in a civil partnership.
Exception - However, notwithstanding the rates of tax   relief mentioned above, for individuals who purchased their first   principal private residence on or after 1 January 2004 and on or before   31 December 2008, the rate of tax relief on the interest paid on the   loan to purchase that property will, for the tax years 2012 to 2017, be   30%.
The relief will be abolished completely by the end of 2017.
RENT TAX RELIEF
Relief for rent credit will be withdrawn on a phased basis over the next 7 years by reducing the amount of rent that can be relieved at the standard rate of income tax as indicated in the following table.
Tax Year Single Under 55 Single Over 55 Widowed/ Married under 55 Widowed/ Married over 55
2010 2,000 4,000 4,000 8,000
2011 1,600 3,200 3,200 6,400
2012 1,200 2,400 2,400 4,800
2013 1,000 2,000 2,000 3,600
2014 800 1,600 1,600 3,200
2015 600 1,200 1,200 2,400
2016 400 800 800 1,600
2017 200 400 400 800
2018 0 0 0 0
Claimants who were not renting at 7 December 2010 and who subsequently enter into a rental agreement will not be able to claim relief.
EXEMPTION LIMITS
Personal circumstances 2013 EURO 2014 EURO
Single or Widowed or a Surviving Civil Partner, 65 years of age and over 18,000 18,000
Married or in a Civil Partnership, 65 years of age & over 36,000 36,000
Marginal Relief Tax Rate 40%* 40%*
* The Marginal Relief Tax Rate only applies to persons 65 years of age or over. Marginal Relief may apply, subject to an income limit of twice the relevant exemption limit. The above exemption limits are increased by ?575 for each of the first two dependent children and by ?830 for the third and subsequent children.

Other useful links which may be of interest

Republic of Ireland
The Revenue Commissioners – www.revenue.ie
The Department of Finance – www.finance.gov.ie
Office of the Appeal Commissioners – www.appealcommissioners.ie
The Irish Taxation Institute – www.taxireland.com
TaxWorld Ltd. – www.taxworld.ie
Vat Recovery Services – www.vatrecovery.ie
Non Principal Private Residence – Online Payment System – www.nppr.ie
United Kingdom
HM Revenue & Customs – www.hmrc.gov.uk/
The Chartered Institute of Taxation – www.tax.org.uk
Gray’s Inn Tax Chamber – www.taxbar.com
Association of Taxation Technicians – www.att.org.uk
Institute of Indirect Taxation – www.theiit.org.uk
Tax Café UK Ltd – www.taxcafe.co.uk
TaxationWeb Ltd – www.taxationweb.co.uk
Worldwide
Taxation Institute of Australia – www.taxinstitute.com.au/
Federation of Tax Administrators (US) – www.taxadmin.org
Bundessteuerberaterkammer (Germany) – www.bstbk.de
Worldwide Tax – www.worldwide-tax.com
AuditNet – www.auditnet.org
Tax Sites Directory – www.taxsites.com

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