Tax Return 2015 (USC & PRSI)

AtticusFinch86 · 19-09-2015 02:45PM #1

Hey,

I'm just finishing off a friends Tax Return for the year and want to clarify something.

What income is liable to the USC & PRSI charges? On the Revenue website it is saying that "gross income" is chargeable (which I take to mean all income received before expenses are deducted) but I remember being told previously that it was on income after expenses (such as mileage and phone expenses) have been incurred? Which is correct? The latter seems to be the fairer treatment but the wording suggests that the former is the approach to take.

doc11 · 19-09-2015 04:28PM

gross would be before income tax(and pension contribution) not expenses

Alan Shore · 19-09-2015 04:36PM

AtticusFinch86 wrote: »

Hey,

I'm just finishing off a friends Tax Return for the year and want to clarify something.

What income is liable to the USC & PRSI charges? On the Revenue website it is saying that "gross income" is chargeable (which I take to mean all income received before expenses are deducted) but I remember being told previously that it was on income after expenses (such as mileage and phone expenses) have been incurred? Which is correct? The latter seems to be the fairer treatment but the wording suggests that the former is the approach to take.

Might be a good idea to have someone review it for you if you don't know!

Mileage for a sole trader?

lotsofthegreen · 20-09-2015 12:23PM

AtticusFinch86 wrote: »

Hey,

I'm just finishing off a friends Tax Return for the year and want to clarify something.

What income is liable to the USC & PRSI charges? On the Revenue website it is saying that "gross income" is chargeable (which I take to mean all income received before expenses are deducted) but I remember being told previously that it was on income after expenses (such as mileage and phone expenses) have been incurred? Which is correct? The latter seems to be the fairer treatment but the wording suggests that the former is the approach to take.

Suggest you don't do other people's tax returns as your clearly not qualified ( info wise) on what's what, you could land your friend and yourself in hot water in case of an audit

Pawwed Rig · 20-09-2015 12:32PM

Each tax return I do throws up a different issue that I need to think about. Can't answer your question above as there are too many variables that need to be considered. I would agree with the above poster who advises not to do it if you do not have the necessary knowledge but with that said I would always verify my calculations by plugging the figures into ROS offline.

Tax Return 2015 (USC & PRSI)

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