Underpayment of tax for PAYE only taxpayers
Reasons for an underpayment of tax for PAYE only taxpayers
There are a number of reasons why this can occur. These include:
- Your employer or pension provider may not have used the most up-to-date Revenue Payroll Notification (RPN). This may have resulted in incorrect tax credits or standard rate cut off point being applied to your income.
- Reduction or removal of a tax credit and the additional tax due was not fully collected during the tax year.
- A change in your pay frequency. For example, a change from being paid weekly to fortnightly.
- A change in your employment during the year which has resulted in you receiving more than 52 weeks tax credits or rate band against your income.
- The death of a spouse or partner, separation or divorce was not advised to Revenue. This would mean an adjustment to your tax credits or rate band was required.
- If your Illness Benefit payment(s) were not fully taxed during the tax year.
- Receiving Pension or Benefit payments from the Department of Employment Affairs and Social Protection (DEASP) and the DEASP income not accounted for or were increased during the tax year;
Any queries on the above give me a call on 091 763817 or email me at oliver@taxreturnhelp.ie