The taxation benefits of married couples might be extended to cohabiting partners according to the latest report of the Department of Finance’s Tax Strategy Group.

The September 2020 document notes that married couples enjoy the same rate bands as two single persons. They also retained the ability to transfer some tax credits, something that is not available to non-married couples as the Constitutional protection of Article 41.3.1° does not extend to non-married couples.

“Due to changes in societal norms in Ireland, for example, non-traditional family structures becoming more common and a slightly decreasing trend in marriage rates,” the authors write, “it is worth considering the issues around extending the tax treatment currently only available to married couples to co-habiting couples”.

“In the event that the tax treatment of married couples was to be extended to cohabiting couples, consideration would need to be given to the practicalities that would arise for Revenue if they were to administer such a system.”

“Married couples and civil partners have an independent, verifiable and legally binding confirmation of their marital status, including the dates of commencement and cessation of same. In order to administer a credit for cohabiting couples, Revenue would require a similar standard of verification of their status”.