PAYE worker - oversea additional income

Tinder Surprise

Hi guys,

I would greatly appreciate your input, help and advice with the below..

I have been approached by a US company to assist and provide an online support service for an upcoming project launch, and to continue to support (online) this project going forward.

I am currently in full-time PAYE employment in Ireland

For my services I will be paid monthly in USD and a quarterly bonus in shares

I will continue (for now) to remain employed in my Irish position and will be 'double jobbing' for the interim til I make a decision for the longterm.

Questions:

What's the best and right way to declare TAX on this second overseas service/job?

Again; all advice greatly welcomed

T

lawrencesummers

AFAIK its additional income and needs to be declared annually in a tax return where you (or your accountant) have to calculate the liability due and pay that to revenue.

I presume certain deductions are valid from the additional income like phone / internet / laptop etc etc but you need professional advice for that.

I have an income on top of my PAYE job and that what i do. The accountant charges me less than €175 annually, and it pays for itself in peace of mind and some years the revenue owe me money with health expenses etc.

Tinder Surprise

https://www.boards.ie/discussion/comment/117918855#Comment_117918855

Thanks Laurance

Is there a specific form to be filled out, or do you just leave it all to your accountant

Thanks again

lawrencesummers

https://www.boards.ie/discussion/comment/117918939#Comment_117918939

Ive had to sign forms giving him authorisation to submit the return, then give him the figures and info and now i think he does it all online.

The deadline is early/mid october i think for the previous year but i tend to get it done by easter and have it out of the way.

So for income this year its October 2022 (i think) before you need to file the return, so you should consider putting 40-50% of the income away ready to pay whatever liability you owe when the return is done.

Also keep receipts, and start collecting them now because you dont want to be going back looking for them. (Travel is probably a deduction you can make as well).

Might be good to speak to an accountant soon to see what you can expense against the income

Tinder Surprise

https://www.boards.ie/discussion/comment/117919188#Comment_117919188

And there is me thinking putting 33% aside would be enough 👀

Thanks again

dennyk

https://www.boards.ie/discussion/comment/117921439#Comment_117921439

33% is the capital gains tax rate. Money from a trade or profession would be self-employment income and is taxed at the same rate as your PAYE income (including PRSI and USC), so if you're making more than ~€35k from your PAYE job, you'll likely be paying around 52% tax in total on all of that extra non-PAYE self-employment net income (though remember that's on net income; you can often deduct certain expenses from your gross self-employment income to reduce your tax owed).

Tinder Surprise

https://www.boards.ie/discussion/comment/117933417#Comment_117933417

Cheers Denny 👍

Tow

As above, the the money is 'easy'. But, you would need proper processional advice on the shares, make sure you accountant files them properly with Revenue and the IRS.