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Rental income - tax return

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  • 29-10-2015 12:41am
    #1
    starbiscuit
    Registered Users Posts: 12 ✭


    My husband and I have been renting out a house since August 2015. I have registered with PRTB and we are both PAYE.
    I am totally confused as to what form if any I need to fill out by 31st of October this year and if I need to pay any preliminary tax or not. I have looked at TR1 form/Form 11 and form 12 and I am not sure which one I need to complete . Any help would be greatly appreciated. The rental income for 2015 would be under the 3,164 limit.


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    #2
    Gumbo
    Moderators, Society & Culture Moderators Posts: 38,435 Mod ✭✭✭✭Gumbo


    starbiscuit wrote: »
    My husband and I have been renting out a house since August 2015. I have registered with PRTB and we are both PAYE.
    I am totally confused as to what form if any I need to fill out by 31st of October this year and if I need to pay any preliminary tax or not. I have looked at TR1 form/Form 11 and form 12 and I am not sure which one I need to complete . Any help would be greatly appreciated. The rental income for 2015 would be under the 3,164 limit.

    It more 2015 for now, you need to file a return for 2014.
    I know technically preliminary tax is due, but I've never paid it tbh.

    You should talk to an accountant, atleast for your first return.


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    #3
    MarkAnthony
    Closed Accounts Posts: 6,934 ✭✭✭MarkAnthony


    No return due this year. You can wait until you have a full 12 months plus (so next year).

    Hire an accountant, it's a deductible expense and it will take the stress out of it. The next fiscal year (2017) you can decide whether you'll go it alone or not.


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    #4
    filbert the fox
    Registered Users Posts: 809 ✭✭✭filbert the fox


    starbiscuit wrote: »
    My husband and I have been renting out a house since August 2015. I have registered with PRTB and we are both PAYE.
    I am totally confused as to what form if any I need to fill out by 31st of October this year and if I need to pay any preliminary tax or not. I have looked at TR1 form/Form 11 and form 12 and I am not sure which one I need to complete . Any help would be greatly appreciated. The rental income for 2015 would be under the 3,164 limit.

    Form 11 is appropriate for PAYE employees.

    In your case there is nothing to pay this year, your 2015 liability being due in 12 months' time.
    Keep receipts for everything relating to the expenses associated with the letting. There is plenty of guidance here and elsewhere regarding completion of your tax return.
    In essence it can be summarised as follows:

    Rent - less deductions @ your marginal rate=tax amount.

    Revenue guide
    http://www.revenue.ie/en/tax/it/leaflets/it70.html


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    #5
    starbiscuit
    Registered Users Posts: 12 ✭starbiscuit


    Thank you everyone, very helpful!


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    #6
    sunnysoutheast
    Registered Users Posts: 2,072 ✭✭✭sunnysoutheast


    starbiscuit wrote: »
    Thank you everyone, very helpful!

    If you do go down the accountant route don't wait until October 25th 2016 to try and find one!

    As well as receipts for expenses don't forget you can claim capital allowances on fixtures and fittings, we started to put together an Excel sheet of everything claimable in the rental house by room, it's easy to forget things when preparing the return. It's fairly easy then to work out the depreciation for each item each month and then total it up for the year. Items don't have to be new, you just have to assign a reasonable value at the start of the tenancy.


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    #7
    Fol20
    Registered Users Posts: 3,623 ✭✭✭Fol20


    you may as well use an accountant as you can expense it. Lets say the accountant fee is 300. In the end your its really only costing you about 150e to remove the hassle and confusion in tax returns..


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    #8
    sunnysoutheast
    Registered Users Posts: 2,072 ✭✭✭sunnysoutheast


    Fol20 wrote: »
    you may as well use an accountant as you can expense it. Lets say the accountant fee is 300. In the end your its really only costing you about 150e to remove the hassle and confusion in tax returns..

    Amen to that.

    OP I can PM you our accountant if you don't have any other referrals.


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    #9
    ted1
    Registered Users Posts: 23,259 ✭✭✭✭ted1


    Fol20 wrote: »
    you may as well use an accountant as you can expense it. Lets say the accountant fee is 300. In the end your its really only costing you about 150e to remove the hassle and confusion in tax returns..

    That's 150 out of their pocket. OP it's a very easy process you can do it your self very easily, keep track of all your costs and then read up on th revenue website about deductions


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    #10
    etoughguy
    Closed Accounts Posts: 344 ✭✭etoughguy


    ted1 wrote: »
    That's 150 out of their pocket. OP it's a very easy process you can do it your self very easily, keep track of all your costs and then read up on th revenue website about deductions

    Mine charges me 100 and will always take calls on financial questions (called into him the other day to talk at length about an inheritance issue, no charge)
    It is easy yes but as they are confused I think an accountant would be the way to go even if only for the first year. You are right though its easy for those who know how (like anything else I guess!)


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