Dominic Coyle answers your queries

Bonus safe despite working abroad

In April 2002 I started my SSIA account and have been making monthly contributions from then until now. In January 2004 I left Ireland to work in another EU country for two years. During this time I continued to make contributions to my account, though I paid income tax and social contributions in the EU state where I was working.

Since January 2006 I have returned to Ireland and am now resident and working here.

My SSIA will mature in 2007. Can you advise me whether I am still entitled to receive the 25 per cent government bonus?

Mr M.M., Dublin

You are still eligible to hold a Special Savings Incentive Account (SSIA) and should have no trouble filling out the necessary form to confirm that when the time comes.

You were away for two years but you remain ordinarily resident for three full tax years after the year in which you left. As long as you are ordinarily resident in the Republic, you are entitled to hold the SSIA.

That you paid tax and social insurance contributions in the other EU state is of no importance as ordinary residence excludes the obligation to pay tax in Ireland on income earned wholly abroad.Your 25 per cent Government bonus is safe.

My husband opened an SSIA in November 2001. Since then he has developed Alzheimer's disease and is unable to sign any forms. What will happen when his SSIA matures in November?

Ms Y.K., e-mail

The purpose of signing the forms is to confirm that the holder of the Special Savings Incentive Account (SSIA) is still eligible to hold such an account and benefit from the once-off generosity of a Government that, back in 2001, was trying to promote the savings habit in an economy that looked like it was experiencing a heady bout of "irrational exuberance".

There is no intention to deprive people in the unfortunate position such as the one that your husband finds himself.

If you or some other member of your family has power of attorney over your husband's affairs, clearly they can sign the form.

Otherwise, I imagine that a signature by yourself accompanied by an explanatory note from your husband's GP would more than cover his position.

One way or the other, your husband will not lose out.

Please send your queries to Dominic Coyle, Q&A, The Irish Times, D'Olier Street, Dublin 2 or e-mail to dcoyle@irish-times.ie. This column is a reader service and is not intended to replace professional advice. Due to the volume of mail, there may be a delay in answering queries. All suitable queries will be answered through the columns of the newspaper. No personal correspondence will be entered into.