Dáil Éireann debate -
Wednesday, 5 Jun 1991

Vol. 409 No. 4

Written Answers. - Income Tax Liability.

Liam Fitzgerald

Question:

68 Mr. L. Fitzgerald asked the Minister for Finance if his attention has been drawn to the fact that a person (details supplied) in Dublin 5 who is a primary teacher and resumed teaching on 4 March 1991 is still on emergency tax because the person who would normally deal with her file is on a career break; and if any action can be taken to have the person's tax liabilities for the year regularised particularly in view of the fact that she is trying to save a deposit to purchase a home.

Minister for Finance (Mr. A. Reynolds)

I have been advised by the Revenue Commissioners that a certificate of tax-free allowances was issued to the taxpayer on 22 May 1991 granting her a net tax free allowance of £965 per annum with tax deductable at table R (29 per cent). The balance of the allowances due i.e. £4,903 has been allocated to the taxpayer's husband. The inspector has confirmed with her employer, that the certificate which issued will be put into operation when she is next paid i.e. 17 June 1991.

Liam Fitzgerald

Question:

69 Mr. L. Fitzgerald asked the Minister for Finance the reason the tax free allowance of a person (details supplied) in Dublin 5 is so low; and if he will give a breakdown of tax liabilities of the person concerned.

Minister for Finance (Mr. A. Reynolds)

I have been advised by the Revenue Commissioners that based on the taxpayer's income for the year ended 5 April 1991 he is correctly liable to tax at table S (48 per cent) for the year 1991/92 with a table (S) allowance of £5,306.

An amended certificate of tax free allowances granting him a total allowance of £11,337 (i.e. £218.01 weekly) will be issued to the taxpayer within the next ten days. However, if he thinks his income for 1991/92 will not be approximately £21,000 he should advise the inspector of taxes as he would not be liable to tax at 48 per cent and therefore would not be due the table allowance of £5,306.

For the year 1990/91 the taxpayer was taxed at table R (30 per cent) but was not due any table allowance so the net tax free allowances were much lower. A review of his liability for that year is currently being carried out and the inspector will advise him of the position within the next ten days.