For many taxpayers, a tax refund is a welcome surprise that can provide much-needed financial relief. However, a recent report has highlighted that thousands of workers could be missing out on a crucial tax refund worth almost €2,000. The refund in question relates to overpaid PRSI (Pay Related Social Insurance) contributions, and while it’s not a new development, the fact that so many people are still unaware of it is a cause for concern. In this article, we’ll explore what this tax refund is, why people are missing out, and how you can check if you’re owed money.
A tax refund worth up to €2,000 is available to workers, but many can find the process of claiming back money overwhelming. The average amount claimed is now over €1,880 per person, and in 2021 almost 500,000 people collectively overpaid €300 million in income tax. To apply for a tax refund, individuals need to keep copies of their expenses and bills to prove expenditure, and the best time to apply is during January and February. The application process involves signing into the myAccount on Revenue.ie and completing an income tax return, which can include claiming additional expenses, tax credits, and other reliefs. Refunds are typically issued within three working days of the application being submitted. A step-by-step guide to claiming a tax refund is available via the PAYE Services label on the Revenue.ie website.
In conclusion, it is essential for workers to be aware of their entitlements and ensure they are claiming all the tax refunds they are eligible for. The potentially significant refund of almost €2,000 that many may be missing out on is not an insignificant amount and could make a real difference to household finances. By taking a little time to review their tax returns and claiming back any overpayments, workers can ensure they are not leaving any money on the table. It is important to remember that tax refunds are earned income and can be used to pay bills, save or invest in the future. Don’t miss out on what is rightfully yours, check your tax returns today.
