Vol. 544 No. 2
87 Mr. Timmins asked the Minister for Finance the position regarding married non-nationals working here on work permits; if those persons are entitled to a married tax free allowance if their partner is not living here; and if he will make a statement on the matter. [28322/01]
I am informed by the Revenue Commissioners that entitlement to the married persons tax credit and double rate bands is dependent on the residence position of the relevant married couple. Under Irish tax legislation, the residence position of a married couple is determined by examining the residence position of each spouse separately. For each spouse to be regarded as resident in Ireland for tax purposes, each spouse must spend 183 days or more in the State in a tax year, or spend 280 days or more in the State in the tax year and the previous tax year combined. Once an individual's residence position has been established it is then necessary to determine what allowances and reliefs are due in accordance with the Taxes Consolidation Act, 1997.
In the case of individuals who take up employment in Ireland and are deemed resident in Ireland, and where his or her spouse is also resident in Ireland, and where the assessable spouse is assessable and chargeable to tax on the joint incomes of the couple, such individuals are entitled to the married persons tax credit and double rate bands.
In the case of individuals who take up employment in Ireland and are deemed resident in Ireland but whose spouse is not resident in Ireland, and where the resident spouse is not assessable and chargeable in Ireland on the non-resident spouse's income, if any, such individuals are only entitled to the single person's tax credit and single rate bands.
However, in practice, the Revenue Commissioners grant concessional treatment where the inspector is satisfied that the non-resident spouse has no income, and the earnings of the spouse working in Ireland are the couple's only source of income.
