Vol. 544 No. 3
277 Mr. R. Bruton asked the Minister for Finance when it is intended to issue the certificate of tax free allowance for the tax year 2002; and the way in which he will treat the fact that by the time of issue, an arrears of tax refunds will have accumulated which will not be shown by issuing the weekly value of the full years tax credits. [29066/01]
The position is that certificates of tax free allowances have been replaced by certificates of tax credits and standard rate cut-off point. I am informed by the Revenue Commissioners that they began issuing interim certificates of tax credits for the tax year 2002 on 13 November 2001. As budget details will not be available until 5 December 2001, the interim certificates are based, with some exceptions, on the tax credits that taxpayers currently hold for the short tax year 2001.
Where the personal circumstances of an individual taxpayer change, for example, if the taxpayer marries or becomes widowed, the taxpayer should notify his/her inspector of taxes who will amend the taxpayer's tax credits accordingly.
The exceptions referred to in the first paragraph above are mainly tax relief for mortgage interest payments and premiums paid to medical insurance companies. With effect from 1 January 2002, income tax relief for these payments will be given at source by, respectively, the relevant lending institutions and medical insurance companies. Consequently, tax relief for these payments will not appear on the certificates of tax credits and standard rate cut-off point.
Amended certificates reflecting relevant budget changes will issue in February/March 2002. These certificates will be effective retrospectively from 1 January 2002. Where refunds of tax arise, these will be made directly by employers to employees. An information leaflet accompanies each certificate.
