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
Hi all! We have been experiencing an issue on site where threads have been missing the latest postings. The platform host Vanilla are working on this issue. A workaround that has been used by some is to navigate back from 1 to 10+ pages to re-sync the thread and this will then show the latest posts. Thanks, Mike.
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

Investing in funds (S&P500) - Tax Implications

  • 21-05-2019 3:32pm
    #1
    devlinio
    Banned (with Prison Access) Posts: 172 ✭✭


    Hi

    I'm looking to start investing in index funds. I'm curious about tax implications. Do I only pay tax when I sell and receive dividends (I assume this is this case) or do I have to pay tax if the value rises even if I don't sell? (Someone was saying this to me).


Comments

  • #2
    ryanch09
    Registered Users, Registered Users 2 Posts: 380 ✭✭ryanch09


    devlinio wrote: »
    Hi

    I'm looking to start investing in index funds. I'm curious about tax implications. Do I only pay tax when I sell and receive dividends (I assume this is this case) or do I have to pay tax if the value rises even if I don't sell? (Someone was saying this to me).

    You pay income tax on dividends and capital gains tax when you sell your holdings. You don't pay any CGT until you actually sell, and only on the profits you make from that sale (if any)


  • #3
    Shai
    Registered Users, Registered Users 2 Posts: 226 ✭✭Shai


    ryanch09 wrote: »
    You pay income tax on dividends and capital gains tax when you sell your holdings. You don't pay any CGT until you actually sell, and only on the profits you make from that sale (if any)
    this is not correct for UCITS (EU) ETFs, which the OP is probably looking into buying. See https://www.bluewaterfp.ie/investments/deemed-disposal/. Loss offset for UCITS ETFs is also less favorable than for US ETFs.


  • #4
    ryanch09
    Registered Users, Registered Users 2 Posts: 380 ✭✭ryanch09


    Shai wrote: »
    this is not correct for UCITS (EU) ETFs, which the OP is probably looking into buying. See https://www.bluewaterfp.ie/investments/deemed-disposal/. Loss offset for UCITS ETFs is also less favorable than for US ETFs.


    Interesting, I'm only a few months into investing myself so am not fully aware of the nitty gritty tax stuff, and have a few shares of a UCITS ETF. Does this mean I need to declare every 8 years, or do I need to declare annually and revenue only tax it in the 8th year?


  • #5
    Shai
    Registered Users, Registered Users 2 Posts: 226 ✭✭Shai


    I personally dont know. Hopefully someone else can help you out with that. Myself, I opted to set up an account with a US broker (firstrade.com) so I have access to non-UCITS ETFs and therefore more favorable taxation and loss offset rules.


  • #6
    aridion
    Registered Users Posts: 142 ✭✭aridion


    I am in a similar boat. Want to find out the tax implications. I am Irish, but live and work abroad, however have a degiro.ie account to invest.


  • Advertisement
Advertisement