Capital Gains Tax and Form11

HurlingBoy

Hi,
I am a PAYE worker. I submitted a Med1 form some months ago and recently received a letter from revenue that I need to submit a Form 11 for the last 4 years. I sold stock options in 2012 and paid the capital gains tax on these are these at the time. Since then I have sold shares but the gain has been less than the CGT tax exemption of €1270 each year. Possible for 1 or 2 year sit may have been slightly over this but the tax liability would have been very low. Do I still need to complete the Form 11 even if the tax liability is under the exemption? I read somewhere that Form 11 is only required if gains are greater than 5K so possibly I need to complete Form12. Should I contact revenue of this?
I purposely kept my CGT for each year under the exemption to avoid paying tax and having the hassle of the administration so its frustrating to be required to complete Form11.

SRASE

If you received stock options then it is likely you had an income tax liability rather than a capital gains tax liability. You are required to pay income tax on stock options within 30 days of exercising the option. This also makes you a chargeable person for income tax purposes and you are required to submit a Form 11.

HurlingBoy

I exercised stock options in 2012 and paid the tax on these. Since then I have sold shares. These were stock awards rather than stock options. The stock award had the tax taken at source i.e 100 stock awards but only received 70 so I believe I am only liable to pay CGT on the gain. Am I a chargeable person in that scenario?

tk123

HurlingBoy wrote: »

I exercised stock options in 2012 and paid the tax on these. Since then I have sold shares. These were stock awards rather than stock options. The stock award had the tax taken at source i.e 100 stock awards but only received 70 so I believe I am only liable to pay CGT on the gain. Am I a chargeable person in that scenario?

ZZZZzz same here - filing it in 3 years. I chanced my arm and de-registered on ROS because I only have the RSU now so no income tax concern. A few others in the office have escaped form 11 and only have to submit form 12!

You're right - when you sell the RSU/awards ones the income tax is paid at source so it's just CGT on the gain... Mine have never had a gain! :rolleyes:

HurlingBoy

Can I just contact revenue and tell them that I have not sold share in the years since? Do you still need to file a return if the Capital Gain on stock awards is less than the exemption?

SRASE

The amount of a capital gain does not impact on whether or not you have to file a Form 11. If you are a not required to file a Form 11 and you make a capital gain you return this in the Form 12 or a CG1.

The threshold of €5,000 only applies to income and not capital.

You must be registered for income tax for some other reason. You can file a TRCN1 form to de-register from income tax.

HurlingBoy

I presume I am registered for Income Tax since 2012 because I sold stock options back then. I only have stock awards now and have sold some since and will only be selling these going forward. Do I still need to submit Form 11 for years 2013,2014,2015 & 2016 which have been requested from revenue or can I just file the TRCN1 form?