Married Couples - Income Tax

March 13, 2022

This is a consistent question that comes up time and time again,

As a married couple, How should we be assessed and what reliefs are we entitled to?

While this is quite a broad question, here are some key considerations:
You can decide to be assessed as a single person or you can be separately or jointly assessed. More often than not joint assessment makes the most sense. 
The married couple tax credit = €3,300 p.a.

So, the amount which a married couple can earn and pay tax @ 20% is €70,600 (where both are earning €35k+ this rate band is typically split 50:50).
Where one spouse is at home (e.g. minding children) then their tax credits and rate band should be be organised in a tax efficient manner.  

Residence, Ordinary Residence and Domicile of each individual also requires careful consideration.
Domicile is a complicated concept and with some careful consideration there may be tax planning opportunities. For example, it may be possible for an individual with non-Irish domicile to effectively park capital outside the state and only remit what is required to cover ones cost of living.