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uturnin6weeks

Hi all,

I am a new sole trader and I haven't got a clue about how much tax of have to pay. I am set up for an Events Company and I won't turn over much at all within a given year. I am not VAT reg.

If I turnover €6,000 PA how much tax would I have to pay?


Thanks,

leitrim lad

hello im also self employed sole trader and limited companies, if you earn under the standard rate per year you do not have to pay any taxes, however if the sole trader is like a second job and you already have a steady income, your taxes will be based on your turn over and your primary income, and your marrital situation, including children and so on.

www.revenue.ie
www.cro.ie

you may get some pointers on the figures from the above pages

uturnin6weeks

I work full-time myself but its crap money hence me setting up this events company part-time.

Thanks for the info, if anyone else can offer advise I would love to hear it

Thanks a mill

Dixie Chick

OP, can you clarify, are you a sole trader or a ltd. company?

uturnin6weeks

I am a Sole Trader..

Dixie Chick

OK, so as a sole trader you are registered for income tax. You will have to fill out a form 11 every year and send to the tax office. On this you will put your PAYE income from your P60 and your net profit from your sole trade.

So basically if you had a turnover of 6000 in the year, form this you can deduct any expenses that you had for carrying out the work, ie. motor expenses and phone and any materials you bought for it. So say these all come to 2k, then your net is 4k and this goes into the income form trade or professions part of the Form 11

Does this help, PM me if you need more info

Dixie Chick

So next step is the tax part. If you earn less that 36,400 in teh year form the combined incomes then your tax will be at 20%. So basically 4000 x 20% is 800 plus a bit of PRSI on top of this

uturnin6weeks

Thank so much for your help.

Would you like a job?

Dixie Chick

no problem, sure Id love a job!! ha ha!!

mark renton

Dixie Chick wrote: »

OK, so as a sole trader you are registered for income tax. You will have to fill out a form 11 every year and send to the tax office. On this you will put your PAYE income from your P60 and your net profit from your sole trade.

So basically if you had a turnover of 6000 in the year, form this you can deduct any expenses that you had for carrying out the work, ie. motor expenses and phone and any materials you bought for it. So say these all come to 2k, then your net is 4k and this goes into the income form trade or professions part of the Form 11

Does this help, PM me if you need more info

Where would I get a list of expensible expenses for a sole trader

Dixie Chick

Have a look around www.revenue.ie it might have something you are looking for. If its incurred totally for the running of the business then its usually allowable.

mark renton

How possible is it for a sole trader (first year) to claim expenditure without receipts - newbie mistake

Dixie Chick

Oh dear, well you cant really. Revenue are doing more and more audits, they select people randomly and come and inspect you books of accounts at your business premises.