Tax on tiny profit - degiro

diyeys

Hi all,

I wanted to get familiar with degiro and to invest so I bought blackberry stocks for 50€. The thing is I made a tiny profit of 4 euros and I would like to know how do I go about filling taxes for this? Do I even have to do it?

Any help will be appreciated.

Thanks

topper_harley2

diyeys wrote: »

Hi all,

I wanted to get familiar with degiro and to invest so I bought blackberry stocks for 50€. The thing is I made a tiny profit of 4 euros and I would like to know how do I go about filling taxes for this? Do I even have to do it?

Any help will be appreciated.

Thanks

Have you actually sold the stocks? No CGT is due on profit until sale, and even at that you have E1270 threshold before tax is due. If you received dividends throughout the year you would need to pay tax on them.

Google revenue site for more information

Nemeses2050

topper_harley2 wrote: »

Have you actually sold the stocks? No CGT is due on profit until sale, and even at that you have E1270 threshold before tax is due. If you received dividends throughout the year you would need to pay tax on them.

Google revenue site for more information

If an Irish Resident Co. pays you dividend, It deducts the tax at standard rate and only pays you net amount. So you don't have to do anything.

diyeys

topper_harley2 wrote: »

Have you actually sold the stocks? No CGT is due on profit until sale, and even at that you have E1270 threshold before tax is due. If you received dividends throughout the year you would need to pay tax on them.

Google revenue site for more information

Thanks for that. Yes I sold the stocks and I didn't receive dividends. I will have a look at revenue site.

ACADasltiv

Nemeses2050 wrote: »

If an Irish Resident Co. pays you dividend, It deducts the tax at standard rate and only pays you net amount. So you don't have to do anything.

The Company deducts a withholding tax. You must still pay tax on your dividend income, however you will be allowed a credit for the 20% already paid.

Blacktie.

It's 4 euro. You won't go to jail for it.

topper_harley2

Yes its E4 and obviously its a moot point but its handy to get it right with small amounts first, rather than fretting when OP has larger amounts - the principle is the same.

topper_harley2

Nemeses2050 wrote: »

If an Irish Resident Co. pays you dividend, It deducts the tax at standard rate and only pays you net amount. So you don't have to do anything.

No, this is not correct.

ACADasltiv wrote: »

The Company deducts a withholding tax. You must still pay tax on your dividend income, however you will be allowed a credit for the 20% already paid.

Exactly. See here for clarification https://www.gillenmarkets.com/featured_articles/tax-issues-for-irish-residents.cfm, note the section below:

Dividends on Irish Shares
There is a 20% with-holding tax on the dividend income from Irish shares. 100% of the dividend is assessable for income tax purposes and the 20% with-holding tax is deemed as tax already paid and for those with a marginal tax rate above 20% only the balance of tax in then due.

You end up paying high % tax on dividends, hence why the "Gross Roll Up" scheme of UCIT funds is attractive from one point of view (but awful from tax point of view)

Coinsguy

topper_harley2 wrote: »

Yes its E4 and obviously its a moot point but its handy to get it right with small amounts first, rather than fretting when OP has larger amounts - the principle is the same.

4 euro. People spend more on a coffee 😂

scheister

diyeys wrote: »

Hi all,

I wanted to get familiar with degiro and to invest so I bought blackberry stocks for 50€. The thing is I made a tiny profit of 4 euros and I would like to know how do I go about filling taxes for this? Do I even have to do it?

Any help will be appreciated.

Thanks

good to see you getting the concepts right at the start.

This section from Revenue website should point you in right direction https://www.revenue.ie/en/gains-gifts-and-inheritance/transfering-an-asset/how-do-you-pay-and-file-cgt.aspx

daheff

good news is you made a profit (i hope you included trading costs too)


Form CG1 is what (i believe) you are looking for.

no harm to send them a spreadsheet of trades as well.

Bubbaclaus

Nemeses2050 wrote: »

If an Irish Resident Co. pays you dividend, It deducts the tax at standard rate and only pays you net amount. So you don't have to do anything.

This is horribly incorrect advice. Should probably be deleted don't some poor soul read it and take it as advice.