Dominic Hannigan (Meath East, Labour)
Link to this: Individually | In context

Question 34: To ask the Minister for Finance further to Parliamentary Question No. 94 of 6 June 2012, if it is correct that a couple may claim tax relief at a higher rate on a tax saver commuter ticket if they are jointly assessed; the process they have to go through to avail of the higher rate; and if he will make a statement on the matter. [30082/12]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context

I am informed by the Revenue Commissioners that in the case of a couple who are jointly assessed to tax the rate of tax relief under the travel pass scheme is their marginal rate of tax; (that is, the rate of tax they pay on every extra euro of income earned). The tax relief under the travel pass scheme is given automatically at source by the employer and does not have to be claimed. If the couple's marginal rate of tax is 41%, then they get tax relief at that rate. If their marginal rate of tax is 20%, then they get relief at that rate. I am further informed by the Revenue Commissioners that where a couple are jointly assessed to tax, tax is due at the higher rate on income in excess of €41,800 where only one of the couple is earning. Where the other individual is also earning, the higher rate applies where their joint earnings exceed €65,600. If a couple are not currently jointly assessed but wish to elect to be so, they should contact their local tax office.