TAX BREAKS ‘A ROMANTIC BENEFIT’
An Irish financial body believes that the glow left after a romantic Valentine’s Day could be the perfect time to pop the question.
Tax refund specialists at Taxback.com are pointing out to those old romantics and indeed anyone who has recently said “I do”, that as a financial cherry on top, there are some practical tax benefits to taking the plunge also.
Marian Ryan, Consumer Tax Manager, said the pandemic has put paid to a lot of hopes for some newlyweds ‘but not all’.
“There were couples who opted to have their “micro big-day” in 2020, with whatever numbers the restrictions at the time allowed. Others still, perhaps realising how uncertain the future can be, might have decided that 2021 is the year they make the ‘ultimate commitment’ to their other half.
“While people may not be able to honeymoon in Mauritius this year, a healthy tax refund for newlyweds may fund a staycation in one of Ireland’s many luxury hotels, and even trigger a second refund from the Stay and Spend initiative,” Ms Ryan said.
Taxback advised couples to get their tax affairs in order so that marriage budget bliss could follow.
Marian said there are three main areas of financial savings for married couples, around the year of marriage relief, joint tax assessment and inheritance tax.
“CSO data indicates that 63,000 people married in Ireland between the years 2017 and 2019, and while the figures for 2020 (not yet released) will have plummeted, even if just 10% of those who wed between 2017 and 2020 failed to notify Revenue of their union, there would be at least 6,300 couples out there could be due this valuable refund.
“As a nation we are getting married at an older age than ever before, meaning that our income in the ‘year of marriage’ is probably much higher than it was for previous generations. So, the tax savings would also potentially be greater. It’s definitely worth checking out,” she added.