Every year, thousands of teachers across Ireland miss out on hundreds of euro simply because they don’t claim tax refunds that they are entitled to. So, to help put more money back in your pocket before the summer hits, let’s take a look at 5 refunds that teachers miss out on.
1. Claim the correct teacher work expenses.
Whether you work part time or full-time, there is a teacher-specific work expense that you can claim. You could be due back €608 to €279 per year, depending on your teaching position. To claim this expense, just submit a tax return for each of the last 4 years, back to 2011 (more on that below!).
In addition, all teachers registered with the Teaching Council can claim a tax credit for the registration fee each year.
2. Claim an Income Protection tax deduction.
A large number of teachers ask us about claiming tax relief on an income protection policy. Income protection insurance pays out a regular cash payment that replaces part of your lost income if you can’t work due to a medium to long-term illness or disability. It can also be called ‘permanent health insurance’ (PHI). You can get tax relief on your premiums at your marginal rate of tax (41% in 2014) so if you pay €1000 a year, you would be due a refund of €410.
3. Got married? – check the ‘Year Of Marriage’ tax credit.
If you got married between 2011 to 2014, check to see if the Year of Marriage tax credit can provide you with a refund.
Here’s how it works:
In the year you married, both you and your partner continued to be taxed the same way as you were before your marriage i.e. single people. However, if the tax you both paid as single people in that year was greater than the tax paid if you had been taxed as a married couple, a refund of the difference can be claimed. This could amount to hundreds of euro, so it’s definitely worth checking!
4. Claim those medical or dental expenses.
This is one area that is always under-claimed. Any time in the past four years, if you visited a GP or had non-routine dental work done, you can get 20% of the cost back. You can get an annual print-out from both to ensure you get a refund for all visits.
If you are diabetic or coeliac, expenditure on food items specific to both conditions can also be claimed. Other expenses include the use of Speech and Language therapists for children and for any would be “adventure” racers, physiotherapy payments and orthopaedic insoles can be claimed too.
5. Deduct those third level education expenses.
If you have children in college, then you know how costly third level education has become. However, you can claim tax relief on tuition fees paid for approved undergraduate and postgraduate courses, as well as certain IT’s and language courses.
You can claim a tax refund as long as you have actually paid the fees, either on your own behalf or on behalf of another. The relief does not cover examination or administration fees, nor any part of the tuition fees which have been covered directly or indirectly by a grant, by an employer or scholarship. If you are not sure on the amount to claim, ask the admissions office for a receipt.
How do I sort it out?
To check if you’re entitled to a tax refund, you can just use TaxHug.com, which works like an interview by asking you simple questions about your year. It then shows you exactly how much you are due. All you need is your P60 for the given year. TaxHug is free-to-use, simple and online. If you are due money back, it can also complete your tax form, that you can send off to Irish Revenue to claim your hard-earned money back.