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Fulltime Job + Website Developer under €5000 - Form 11 or 12?

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  • 24-10-2017 2:05am
    #1
    active
    Registered Users Posts: 8 ✭


    Hi,
    my full time job is within 20% standard tax rate. I've developed a website last year (2016), earned slightly over €1000. When starting the project I've called Revenue to find out if I would need to pay taxes for it and if I'm chargeable person now. They said not to worry, if there was any tax, that'd be tiny, advised me to just fill in Form 11 until 31st of October 2017. Alright.
    To get access to Form 11 I had to register for Income Tax with Revenue. Did that, filled in Form 11.
    The income of the website project went into the higher 40% rate. Now, after the computation my final payable liability is €470! That's almost half of what I've earned with the website project. I got quite surprised, dug through the forums and discover existence of Form 12...

    Of course I'll call Revenue to find out if I really had to register for Income tax, do Form 11 and owe that much of tax.
    Since I've registered for Income Tax for 2016, it would not allow me to fill in Form 12 for that year.

    Question: what do you think about it? Just pay €470 or cancel Income Tax and fill in Form 12 instead?

    Should I 1 vote

    Pay the tax owed according to Form 11
    0%
    Cancel Income Tax and fill in Form 12 instead
    100%
    L.Jenkins 1 vote
    Tagged:


Comments

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    #2
    gerrybbadd
    Registered Users Posts: 10,301 ✭✭✭✭gerrybbadd


    If your liability is €470, it will be the same regardless of the form you complete.

    But if the income is less than €5000, cancel the IT registration and do the Form 12 in future. saves you from having to pay preliminary tax etc


  • Options
    #3
    active
    Registered Users Posts: 8 ✭active


    Thanks @gerrybbadd. I've called Revenue, they said pretty much what you wrote, except they told me just to send the form since I've filled it in already, leaving the preliminary tax box blank, and then to cancel the Income Tax in January 2018 and deal with Form 12 in the future.
    gerrybbadd wrote: »
    If your liability is €470, it will be the same regardless of the form you complete.

    But if the income is less than €5000, cancel the IT registration and do the Form 12 in future. saves you from having to pay preliminary tax etc


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