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Marriage and civil partnerships

How your partner's residence affects your tax

If you are resident in Ireland, and your spouse or civil partner is not, you will be taxed as a single person. You can claim the:

Note

If you and your partner are both non-resident, but if you are a cross border worker, you must pay Irish tax on your Irish income. Your income will be taxed as if only you are resident. You may be able to claim full, or a portion of, tax credits, depending on the rules for Tax credits for non-residents. 

Relief available to resident spouse or civil partner

If your non-resident spouse or civil partner has no income, you can claim:

This is known as ‘aggregation relief’. You can claim aggregation relief after the end of the tax year. You make the claim by filing a return of income which includes a declaration about your spouse’s or civil partner’s income. 

Non-resident spouse or civil partner has an income

You may be able to claim a portion of this relief if your non-resident spouse or civil partner has an income.

The tax you are due to pay as an individual, might be greater than if you were taxed under joint assessment. If it is, you may claim relief.

The portion of relief you receive is based on the proportion your Irish income is of your total income.

  • Example

    In 2024, Peter has income of €52,200 from an Irish employment. Peter’s husband, Tom, is non-resident and has foreign investment income of €13,200.

    As a single person, Peter has a standard rate band of €42,000.

    Peter’s 2024 Tax Credits
    CreditsAmount
    Single Person Tax Credit €1,875
    Employee PAYE Tax Credit €1,875
    Total €3,750
    Peter’s 2024 Income Tax liability as a single person
     Description ValuesAmount
    Total income   €52,200
    Income taxed @ 20% €42,000 €8,400
    Income taxed @ 40% €10,200 €4,080
    Total Income Tax  

    €12,480
    Deduct credits   €3,750
    Tax payable   €8,730

    After 31 December, Peter decides to review his affairs. He checks how much Income Tax he might be due to pay if he was taxed under joint assessment in Ireland.

    As the assessable spouse, Peter has the married couple's standard rate band of €51,000. As both Peter and Tom have taxable income, they are due the increased rate band. As Tom's income does not exceed the maximum transferable amount for 2024 of €33,000, the standard rate band is increased by Tom's income of €13,200, to €64,200.

    Peter and Tom's 2024 Tax Credits
    CreditsAmount
    Married Person or Civil Partner Tax Credit €3,750
    Employee PAYE Tax Credit €1,875
    Total €5,625
    Peter and Tom's 2024 Income Tax liability
     Description ValuesAmounts
    Total income   €65,400
    Income taxed @ 20% €64,200 €12,840
    Income taxed @ 40% €1,200 €480
    Total Income Tax  

    €13,320
    Deduct credits   €5,625
    Tax payable   €7,695

    Peter is due to pay more Income Tax when taxed as a single person (€8,730), than if he were taxed under joint assessment (€7,695).

    Peter can make a claim for aggregation relief. He will receive a portion of the relief because his husband has an income. He will receive a portion of 80% as the proportion of Irish income earned is 80% of the total income (€52,200 of €65,400 = 80%).

    Calculation of relief
     Description CalculationAmount
    Tax payable if jointly assessed   €7,695
    Proportional relief (79%) €7,695 x 0.80

    €6,156
    Relief due

    €8,730 - €6,156

    		 €2,574

    Peter is due a tax refund of €2,574 under aggregation relief.

    He must make the claim for aggregation relief by filing an Income Tax Return (Form 12), which must include a declaration about Tom’s foreign income.

Next: Effect on credits, reliefs and thresholds

Published: 09 January 2025 Print this page

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