Should I pay taxes in Ireland for 2020?

pasquale83

Hi All,

I used to be a PAYE till 2017 and landlord in Ireland till 2019 and I have filed IT returns every year I have been living there. I have filed last IT return last year, in 2020 (income of 2019, year I sold the house). In 2018, 2019 and 2020 I was registered for Income Tax via Form 11. I am not an Irish citizen.

When I left the country, an accountant I contacted at the time mentioned the following:

In 2018, although you may not be Irish tax resident, you will remain ordinarily tax resident in Ireland for 3 tax years. So assuming you are not tax resident in Ireland in 2018 (i.e. you spend less than 30 days in Ireland in 2018), you will be ordinarily tax resident in Ireland in 2018, 2019 and 2020 and will lose your ordinary tax residence status in 2021 (assuming you stay non tax resident for all of those years). From 2021 you would be liable to tax on Irish source income.

As a non-tax resident, ordinarily tax resident and non-domiciled individual in 2018, you will be liable to tax in Ireland on your Irish source income and any foreign income to the extent it is remitted into Ireland with the exception of the following:

- Employment income, the duties of which are performed wholly abroad; and

- Other foreign income not exceeding €3,810 per annum

What this means is that any foreign employment income will not be liable to Irish tax even if remitted to Ireland as it will relate to employment income, the duties of which are performed wholly abroad.

According to the text above, I used to be a non-tax resident, ordinarily tax resident and non-domiciled individual till 2020.

During 2020 I had no income at all in Ireland, but I am wondering if given my status for 2020 (in bold) I need to file any IT return for 2020?

I hope I have been clear enough and thank you in advance for any help!

pasquale83

Any help?

DmanDmythDledge

If you have no Irish source income or didn't make any remittances to Ireland you shouldn't have any irish tax obligations

pasquale83

DmanDmythDledge wrote: »

If you have no Irish source income or didn't make any remittances to Ireland you shouldn't have any irish tax obligations

Thanks, indeed that was my way of thinking about it. What confuses me is the ordinarily tax resident status. I mean, in my understanding also a non-tax resident should pay taxes on Irish sourced income, so what's the difference between ordinarily tax resident and non-tax resident?