PRSA Tax Relief

28064212

Setting up a pension for the first time. PAYE employee, but no employer contributions, and not using the PRSA offered by employer, so will claim tax relief through ROS. On revenue.ie, I see:

You may pay a once-off or special pension contribution after the end of a tax year, but before the following 31 October. If you do, you can choose on or before 31 October, to have the tax relief for the contributions allowed in the earlier tax year. When you use the Revenue Online Service (ROS), the deadlines for paying contributions and making this choice are extended.

According to Davy, the extended deadline for 2019 claims is November 12th.

Does that mean that I can contribute a lump sum to my pension now, and am able to claim full relief against 2018, so long as I claim before November 12th? And then do another lump sum to get full relief for 2019?

EriktheRed

28064212 wrote: »

Setting up a pension for the first time. PAYE employee, but no employer contributions, and not using the PRSA offered by employer, so will claim tax relief through ROS. On revenue.ie, I see:According to Davy, the extended deadline for 2019 claims is November 12th.

Does that mean that I can contribute a lump sum to my pension now, and am able to claim full relief against 2018, so long as I claim before November 12th? And then do another lump sum to get full relief for 2019?

Hi, this it's been on mind as well as kind of in the same boat. I'm self employed and no pension scheme either yet but definitely would like to start somewhere. Anyone has done anything like that?
Thanks

kc78

Once you make your return online and pay your tax including preliminary tax also online then you have until the 12th to make the pension payment to set against 2018 tax.

28064212

kc78 wrote: »

Once you make your return online and pay your tax including preliminary tax also online then you have until the 12th to make the pension payment to set against 2018 tax.

That's what I was afraid of. As a PAYE employee, tax is deducted at source, so I don't make a tax return online, just claim credits/relief. Ah well, missed out by a few weeks

EriktheRed wrote: »

Hi, this it's been on mind as well as kind of in the same boat. I'm self employed and no pension scheme either yet but definitely would like to start somewhere. Anyone has done anything like that?
Thanks

Probably best to talk to a financial advisor, they'll be able to give you direction appropriate to your personal situation

gerbilgranny

Anyone can make a Return of Income annually - for PAYE-only taxpayers, a Form 12 can be filed. You can do this via MyAccount.

28064212

gerbilgranny wrote: »

Anyone can make a Return of Income annually - for PAYE-only taxpayers, a Form 12 can be filed. You can do this via MyAccount.

So if I made a lump sum contribution today (given the extension to the deadline), I can claim tax relief for 2018 using Form 12?