What is a P21 balancing statement ?
A P21 balancing statement is a final statement of your income tax liability for a tax year. It is issued by Revenue when your income tax liability has been reviewed and it shows:
- your total income from all sources
- tax reliefs and credits claimed
- amounts of income tax and USC paid.
You can request a PAYE Balancing Statement at the end of the income tax year if:
- you have overpaid income tax or USC during the year (e.g. you were not granted the correct tax credits or were on emergency basis or week–one basis).
- you wish to claim additional tax credits, allowances or reliefs (e.g. Health/Medical expenses)
- you are required to submit the Statement to a Financial Institution or Local Authority in support of an application for a loan/grant.
The PAYE Balancing Statement will state if you have paid the correct amount of tax in the tax year under review. If you overpaid tax, a refund will issue to you and/or your spouse or civil partner. If you have underpaid tax, you will be advised on the PAYE Balancing Statement of how this undercharge will be collected.
The quickest and easiest way to get a PAYE Balancing Statement is to request it online using PAYE Anytime which is accessible from myAccount.
Any queries on same give me a call on 091 763817 or email me at oliver@taxreturnhelp.ie