Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

Registering as Self-Employed after Employment Redundancy

Options
  • 19-07-2023 10:04pm
    #1
    byrneg28
    Registered Users Posts: 1,005 ✭✭✭


    Hello

    Im thinking of registering as Self-Emplyoed after being recently made redundant.

    Will my tax be calculated for the entire tax year on both incomes, i.e. will I immediately be paying a higher rate of tax on my earnings due to my earnings from Jan-May (before redundancy)

    Also, is there a specific tax year in Ireland? i.e. does it run January to December etc

    Many thanks for any help



Comments

  • Options
    #2
    KAMG
    Registered Users Posts: 184 ✭✭KAMG


    Your self employed income will be added to your PAYE gross income for the calender year.

    For self employment, there are commencement rules. Say for example you start self employment on 1 August. You could prepare accounts for 12 months to 31 July 2024. Your 2023 tax return would take 5/12s of this profit. Your 2024 tax return would be based on the full 12 months profit.

    For 2023, the 5 months profit is added to your 2023 PAYE income to determine your overall liability. As its a commencement, 2023 and 2024 are both due to be filed by November 2025.



Advertisement