Form 11/12 and cheapest option to get someone to complete it

Says Aron

Hi,

Seeking some advice.. I own half a rental property and need to file the income for it for 2011-2016... no PAYE (non resident) and net income after allowable deductions is less than EUR3,000 per year (in fact it's net investment loss each year). Which form do I need to complete? And should I attempt myself or get an accountant? I don't need the rolls Royce service of advice on what I can claim, I've done that research already and complied all the figures year by year. So if I do need some help by an accountant, it's really just to fill the forms in. What are my options?

Thanks.

Geuze

First of all, have you registered with Revenue?

http://www.revenue.ie/en/self-assessment-and-self-employment/guide-to-self-assessment/who-should-register-for-self-assessment.aspx

Who should register for self-assessment?
You should register for self-assessment if you:

• are self-employed
• receive income from non-Pay As You Earn (PAYE) sources, for example:
• rental income
• investment income
• foreign income including foreign pensions
• maintenance payments
• fees that are exempt from PAYE
• have profited from share options or share incentives.

You can register for self-assessment by using the eRegistration service or by completing Form TR1.

You do not need to register for self-assessment if:

you only have PAYE income
your taxable non-PAYE income does not exceed €5,000 and is taken into account in calculating your tax credits and standard rate cut-off point for PAYE purposes. It may also be taxed at source, providing the gross non-PAYE income does not exceed €30,000. In this case you must submit a Form 12 online through PAYE Services in myAccount.

Geuze

http://www.revenue.ie/en/property/rental-income/irish-rental-income/how-do-you-declare-your-rental-income.aspx


How do you declare your rental income?

You must declare your rental income on your annual tax return.

If your net rental income is less than €5,000, use myAccount to declare it through your Form 12.

If your net rental income is over €5,000 you will have to register for self assessment. Use Revenue Online Service (ROS) to declare your rental income in your Form 11.

If you have rental income from a property outside Ireland see the foreign rental income section for more information.

If you sell one of your rental properties you may have to pay Capital Gains Tax (CGT). See the Transferring an Asset (Capital Gains Tax - CGT) section for more information.

If you are a non resident landlord you are entitled to a credit for the tax deducted by your tenant. You must submit a Form R185 with your tax return to claim this. You may choose to use the services of a tax collection agent. They will be an Irish resident who collects the rent and files your income tax on your behalf.

relax carry on

Form 11 as you are non resident. You will have surcharges for late filing and interest on any liability you have for each year 2011 to 2015. Have a collection agent appointed?

http://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-45/45-01-04.pdf

Geuze

So if your net rental profit is less than 5k, then you use the simpler Form 12.

If you've done all the work, then I personally would not pay an expensive accountant.

But others like to use an accountant for maybe just the first year.

Says Aron

Made a loss each year so there is no net income - will I still be charged for late filing?
I think form 11 is right for non resident? I've read this before. Is it viable I can just pay someone to do one year and then follow their methodology to complete the rest?

relax carry on

Says Aron wrote: »

Made a loss each year so there is no net income - will I still be charged for late filing?
I think form 11 is right for non resident? I've read this before. Is it viable I can just pay someone to do one year and then follow their methodology to complete the rest?

The form 11 is correct for non residents as you have no Irish PAYE income. How are you computing the loss? Remember, is 75% for most of the years then 80% of the interest only portion of your mortgage that's an allowable deduction from your gross rental income. That's dependant on the tenancies being registered with the prtb.

Says Aron

Yes, using 75% interest, and they are registered. Thanks