Income Tax Returns for 2019, 2020 and 2021 - letter from revenue

trafficlight

Hey all,

I received a letter from Revenue the other day saying a need to file a tax return for the last 3 years and how for one of the years I have an underpayment (which is quite high and surprising). Has anyone else got these and do you know why I would have an underpayment when I'm a PAYE employee whos employer has always handled my tax payments during payroll?

I was looking online and came across 'Irish Tax Rebates' who for a few said they handle things like this and can even get such underpayments reduced - has anyone used these before and what are your opinions - are they trustworthy etc.

Any advice offered is greatly appreciated.

Thanks

Mrs OBumble

Phone revenue and check if the letter really came from them.

ari101

We're you on TWSS wage sub or PUP during Covid? If so, you could have an underpayment for 2020 or maybe 2021. You can log into your MyAccount and see what the details they have on file to arrive at the preliminary figure. If it is TWSS or PUP caused, you should be able to opt to spread it as a deduction from future years credits. There are other thread around here about that if you check out the taxation forum for the last month.

If your return is straight forward you might be able to do it yourself in MyAccount; add any medical expenses, non routine dental and maybe claim flat rate expenses depending on your job, etc. You can get one of those services to assist if you really are unsure about what you are up to for a fee.

walshb

Do you have any non-PAYE income for the years in question?

WengerOutIn

Hi OP,

You should look at doing balancing statements for the years in question. You can do it through ROS myAccount if you have it setup.

Chances are it could add some to your existing bill.

That said, if you have expenses e.g. medical expenses, these could be used to offset some of the underpayment.

cnocbui

Revenue make mistakes, don't assume they are correct. They have twice this year demanded I pay CGT I don't owe.

Be aware their MyEnquiries facility of ROS is next to useless. I submitted something a month ago and they haven't even looked at it.

trafficlight

Thanks everyone for the feedback - I was never on the PUP as worked all trough Covid so thats what I find strange. I phoned Revenue but they didnt really give me much information tbh, only told me to do the tax return on MyAccount and they will be able to see from there what is owed etc. Hopefully its a mistake on their end or that it is at least alot lower than what they have said I owe at the moment.

downtheroad

Loads of these letters going around. Complete your tax return on your MyAccount at www.revenue.ie and it will give you a balancing statement telling you what you owe or are owed. Claim tax relief on health expenses, remote working expenses while you're at it, it'll reduce the amount you owe.

Any amount you do owe will probably be deducted from your tax credits over the next 4 years rather than you having to pay them a lump sum.

2021profile

Hi,

I'm currently completing my tax return and I am confused about the question are you domiciled in Ireland?

I was born in Ireland, I have lived and worked in Ireland all my life.

Do I tick yes or no to this question?

TIA

You tick Yes.

fritzelly

Forget Irish Tax Rebates to start with - do nothing you cannot do yourself for free and quickly

As for the underpayment it could be an issue of your employer is not charging the correct tax etc

Get an account on revenue and takes no time at all to sort out if you owe them money or they owe you - had a nice surprise a few years ago where I was owed over a grand

mackmilo

You can deal with it directly with revenue. It happened me a few years ago. They’ll spread the repayment due over a couple of years .