PRSI - Help needed.

PB1982

Hi,

As a director of a company I returned my Income Tax return for for 2010 in October 2011. I recently received a notice of assessment for €565, this is the exact amount I had paid for EE PRSI and included it on my P35 for the year 2010. When calculating my income tax I included this amount along with PAYE and Income Levy as tax already paid. After contacting Revenue I was informed that I don't get a credit for the PRSI already paid and must pay the €565 along with interest & penalties.

My queries are as follows, i) is this correct, I feel like I'm paying this PRSI twice? ii) how can I avoid this in the future? Don't pay PRSI during the year?

Any responses would be much appreciated as interest & penalties are accruing!

Kind regards.

Citizenpain

where in the return did you put in your gross paye income?

sawilson2003

They are correct, you entered €565 in with TAX already paid, it should not have been entered there, PRSI does not play any part in your Income Tax Return. You are not double paying you effectively told them you paid an extra €565 in PAYE when you didnt.