Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

Shutterstock/pathdoc
good news

2015 was a 'tax leap year' - meaning you could be due more tax back than usual

If you’re a government minister who has foregone a pay increase listen up – this could make your day.

DON’T WRITE OFF 2015 as a dud-year yet – because last year could be putting more money in your pocket.

There are 52 weeks and one day in a normal 365-day year, so the extra day each year accumulates and every five to six years, this creates a ‘week 53’ scenario, where 53 weekly payments occur within a year.

Last year, 31 December fell on a Thursday, making 2015 a kind of ‘tax leap year’. This means that employees who were weekly, fortnightly or four-weekly paid will have had an additional weekly/ fortnightly/ four-weekly payment.

Meaning you could be owed an extra week’s worth of tax back for 2015.

There is a caveat though – the amount of tax you’re owed is dependent on your particular circumstances, and can sometimes result in you owing the Revenue tax.

How to claim your tax back

This extra week’s worth of tax is included in the tax you claim back for the year - and can be claimed by requesting a PAYE balancing statement, or a P21 statement, at the end of each year.

A P21 is a review of income tax and USC liability for the year. It contains details of total income from all sources and gives a breakdown of tax credits, income tax and Universal Social Charge (USC) paid.

You can claim your P21 up to four years back – meaning you can claim tax back from four years ago, and if you haven’t claimed tax back before, you’re in for a minor windfall.

The quickest and easiest way to request a P21 is by using PAYE Anytime or completing the eForm 12 which is accessible through Revenue’s online tool myAccount. Taxpayers can register for myAccount here.

Once you register, requesting your form is as simple as clicking on a year, then a button that says ‘request P21 form’.

If you do request the form online, your form will usually arrive in the post within five working days – with the amount of tax you’re due back attached in cheque form.

More information is available here on Revenue’s website.

Read: “Our view is that it has done the job it was asked to do” – JobBridge to be wound down from Friday

Read: Know your ARFs from your PRSAs? Our guide to when to start a pension

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Your Voice
Readers Comments
10
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.
    JournalTv
    News in 60 seconds