Asked for a form 12

MuddyDog

Letter arrived today asking me to complete a form 12 online for 2018. Only thing I can think of is that I sold a bunch of my old sporting equipment online late that year and took in like 3k for the lot into my revolut from my paypal. Sold them on ebay and then transfered the money into my revolut and spent it from there over time.

Any reason why I'd get asked to fill it in? I was randomly selected for tax year 2016 before and had to prove all my medical and dental claims that year were legit which I did. How would revenue even know about money in my revolut as I don't ever transfer from my Irish bank account into it?

The Diddakoi

There was a bulk issue of around 30,000 Form 12’s sent to a random selection of taxpayers. It is done every year.

Tow

Revenue get eBay to sent them details of their highest sellers, would not be surprised PayPal etc are required to do the same.

I received one of them as well. Kind of wondering why as well or what is the reason for it. Never received before.

Is there a reason why I received it or is it a random selection?

Didn't even know what it was.

relax carry on

Exactly wrote: »

I received one of them as well. Kind of wondering why as well or what is the reason for it. Never received before.

Is there a reason why I received it or is it a random selection?

Didn't even know what it was.

Random selection. It helps proves the PAYE system is working correctly and allows people to declare their non PAYE income if they have any. Without it we'd all have to fill in a tax return each year.

MuddyDog

What happens if I ignore it and dont return it. My accountant friend advised me not to return it and I'd only be contacted again if they really had solid info about my 3k worth of 2nd hand sales.

allthedoyles

Don't ignore it . Go online and login to your revenue account and you fill it in there in a few clicks .You will find it under ''review tax 2015-2018 ''
The deadline is 31st October.

Stratvs

MuddyDog wrote: »

Only thing I can think of is that I sold a bunch of my old sporting equipment online late that year and took in like 3k for the lot

Assuming this is stuff which you bought & paid for then unless you're making more than it cost then where is the gain.

Further, (users correct me if I'm wrong) surely these are chattels. (tangible moveable property) and if so then unless any one item, or group of similar items realises more than €2,540 then there is no gain.

MuddyDog wrote: »

What happens if I ignore it and dont return it. My accountant friend advised me not to return it and I'd only be contacted again if they really had solid info about my 3k worth of 2nd hand sales.

On the front page of the Form12 :-

NOTICE: YOU ARE HEREBY REQUIRED, UNDER SECTION 879 TAXES CONSOLIDATION ACT 1997, BY THE INSPECTOR OF
TAXES NAMED ABOVE TO PREPARE AND DELIVER, ON OR BEFORE 31 OCTOBER 2019, A TAX RETURN ON THIS PRESCRIBED
FORM FOR THE YEAR 1 JANUARY 2018 TO 31 DECEMBER 2018

Note the word REQUIRED. Is your accountant friend adequately covered by professional indemnity insurance in the event that you rely on his advice and you are subsequently found ( whether relating to your original query or otherwise ) to owe Revenue tax, interest & penalties?

gerbilgranny

MuddyDog wrote: »

What happens if I ignore it and dont return it. My accountant friend advised me not to return it and I'd only be contacted again if they really had solid info about my 3k worth of 2nd hand sales.

Your accountant friend should maybe seek a different career path!

allthedoyles

You see there is a Form46G which is filled in and returned to revenue by businesses that pay their creditors .
Think it may be in excess of 6000e ,but I do know when I was selling on eBay they asked for ID when I reached 2500e.
So it could be PP that sent in your extra income.
There are many possibilities for receiving this form. Even if you asked for a tax clearance certificate during the year it could trigger it.

wiggle16

MuddyDog wrote: »

What happens if I ignore it and dont return it. My accountant friend advised me not to return it and I'd only be contacted again if they really had solid info about my 3k worth of 2nd hand sales.

No, don't ignore it. If they don't receive it, they will wonder why and will follow up on it.

Your friend isn't much of an accountant. If Revenue have reason to believe you have undeclared income they will make that clear to you when they make contact with you.

If you're sent a Form 12 you need to fill it out. And if you omit the other income then you're making a false return. You'd be better off to bite the bullet.

Tow

You can end up with a fine and on Revenue's defaulters list for not returning the form.

Calahonda52

Tow wrote: »

You can end up with a fine and on Revenue's defaulters list for not returning the form.

There are thresholds for being listed which, IIRC, the OP wont meet

travist

gerbilgranny wrote: »

Your accountant friend should maybe seek a different career path!

Or maybe the accountant knows about the ins and outs more and has more experience of these things than a lay person?

wiggle16

travist wrote: »

Or maybe the accountant knows about the ins and outs more and has more experience of these things than a lay person?

Trust me, he doesn't :cool:

Tow

Calahonda52 wrote: »

There are thresholds for being listed which, IIRC, the OP wont meet

I have seen it happen. But, for people who have a previous 'trouble' with Revenue and should know better!