Tax Appeals Commission determination 95TACD2022 regarding PAYE & USC, 2022

• Administrative Decision Number: 95TACD2022
• Year: 2022
• Date: 03 June 2022
• Subject Matter: PAYE & USC
• Respondent: THE REVENUE COMMISSIONERS

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95TACD2022

Between:

Appellant

and

THE REVENUE COMMISSIONERS

Respondent

_________________________________________________

Determination

_________________________________________________

Introduction

1. This matter comes before the Tax Appeal Commission (hereinafter the “Commission”) as

an appeal against PAYE / USC End of Year Statements (hereinafter “P21 Balancing

Statements”) issued by the Revenue Commissioners (hereinafter the “Respondent”).

2. The oral hearing of the appeal was heard on 24th May 2022.

Background

3. (hereinafter the “Appellant”) is a married man with four children three of

whom have attended third level education during the tax years the subject of the within

appeal.

4. The within appeal relates to the disallowance of relief for tuition fees claimed by the

Appellant for the years 2014 – 2019.

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5. The history of the Respondent’s interaction with the Appellant is extensive and for

completeness is set out at paragraphs 6 to 18 below.

6. The Appellant’s Personal Public Service Number (hereinafter “PPSN”) is . The

Appellant’s wife at all material times had her own PPSN which is . The

Appellant married his wife in 1995 and registered with the Respondent as a married

person in 2003. At that time pursuant to section 1017 of the Taxes Consolidation Act

1997 (hereinafter the “TCA1997”) and in the absence of an election otherwise, the

Appellant and his wife were deemed to be jointly assessed and the Appellant was deemed

to be the assessable person in respect of the income of both spouses.

7. In addition to this the Appellant’s wife retained a single person’s Employee Tax Credit and

standard rate band under her own PPSN. The Appellant’s wife remained in employment

between 2004 and 2015 and during these tax years utilised the Employee Tax Credit and

standard rate band which had been applied to her PPSN as a single person.

8. On 16th April 2018, prompted by a submission for an electronic return by the Appellant,

the Respondent issued P21 Balancing Statements to the Appellant’s wife for the years

2004, 2005, 2006 and from 2008 to 2017 inclusive. The said P21 Balancing Statements

were joint assessments for the Appellant and his wife as a married couple and assessed

the Appellant’s wife as being the assessable person. The P21 Balancing Statements

removed the Single Person’s Employee Tax Credit and standard rate band which the

Appellant’s wife had received under her PPSN and notified the Appellant’s wife of

underpayments. The following underpayments totalling €6,393.80 were reflected in the

P21 Balancing Statements issued by the Respondent to the Appellant’s wife on 16th April

2018:

Tax Year

Underpayment Amount €

2004

942.84

2005

280.40

2006

324.50