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Avoid a Halloween tax fright

Halloween is spooky enough without the thought of missing the income tax self-assessment deadline. Nobody wants to be haunted by Revenue! The self-assessment tax deadline, which is set for October 31st, might trick some people but now is the time to ensure you are not one of them.

  • If you choose to submit by post, the income tax self-assessment deadline is the 31st of October 2022.
  • If you choose to submit online, the income tax self-assessment deadline is the 16th of November 2022.
  • The scary truth of not filling out your tax correctly

    As the name states, it is your responsibility to assess what tax must be paid. Although ROS completes the calculations for you, it is based on the information you input. Once registered, you will fill out Form 11 online. Your tax liability will comprise of two elements:

  • The balance of income tax payable in 2021
  • Preliminary tax liability for 2022
  • It is recommended to keep supporting documents such as invoices and bank statements. Although you don’t have to submit them, if revenue ever audits you, you will be expected to provide these documents. That’s where a cloud accounting software can really benefit you.

    Did you know? You can claim certain business expenses against tax such as rent, light, heat, and accountancy fees

    Not completing your income tax self-assessment could be the start of a real horror story. By failing to register in time, revenue can take action, which may include imposing financial penalties. As time progresses, the fee owed to revenue will increase.

  • Within two months of the deadline passing – 5% additional charge (max €12,695)
  • After two months of the deadline passing – 10% additional charge (max €63,485)
  • There is also an interest charge for late payment at a rate of 0.02% per day
  • Bonfires, fireworks and tales of haunted houses, the last thing you need on top of that is revenue banging on the door. An even worse prospect could be forgetting something which you may have incurred as a tax liability during the year. Here are a couple of areas you should declare.

    Gifts and Inheritances

    If you receive a gift or inheritance and are taxable in Ireland, CAT will apply where any one of the following three conditions exists:

  • The disponer is resident or ordinarily resident in Ireland for tax purposes
  • The beneficiary is resident or ordinarily resident in Ireland for tax purposes
  • The property is situated in Ireland
  • They must be declared and paid in the same year if received between January 1st and August 31st.

    Gifts under €3,000

    Items that are regarded as gifts include cash, jewelry, cars, property, land, shares, rent-free accommodation, or interest free loans. You should use form IT38 to declare these. It is important to note that gifts under €3,000 are exempt.

    Childcare services

    Childminders can claim childcare relief each year if they do not earn more than €15,000 in a year, provide the service in their own home, and do not mind more than three children, who are under 18 years of age, at the one time. You must also register as self-employed and notify the HSE that you are providing childcare services.

    If another person provides childcare services with you in your home, the €15,000 income limit is divided between you.


    Newly separated couples may not realise that maintenance payments are subject to income tax by the person receiving the payments. This will only apply to legally enforceable arrangements, such as judicial separation and divorce agreements. It is important to note that the individual making the payment may be able to receive tax relief.

    Foreign earnings

    If you own a foreign property, receive money from abroad or even have a British pension, you must declare it. This will be added to your Irish income or pension and applied against the tax rules in Ireland.


    You must declare any shares you have, even if they were held for capital growth. You are required to state how much you got and this will be added to your tax bill. Most companies issue dividend statements to coincide with the tax deadline, however it is your responsibility to declare it.

    Capital Gains Tax

    CGT is the tax you pay on capital gain (profit) made when you dispose of an asset. It is the chargeable gain that is taxed, not the full amount you receive. The gain is usually the difference between the price you paid for the asset and the price you disposed of it for. CGT is payable by the person making the disposal.

    It is now time to ensure there are no added scares this Halloween and get your income tax self-assessment return in order. Revenue’s website is a consumer-friendly platform with a host of experts available on the other end of the phone and helpful videos and guides also present to make submitting your return as easy as possible.

    Choose your trick or treat with Surf Accounts

    It is up to each individual if they require an accountant to submit a return for them or whether they want to submit it themselves. When making this decision we recommend you consider factors such as knowledge about tax and the complexity of your business. If you decide to submit your return yourself, we recommend using an easy-to-use bookkeeping software, such as Surf Accounts. The cloud platform makes it easier for you to complete your returns.

    If you would like to speak to one of our product experts about Surf Accounts, you can book a free one-to-one demo and experience the software in action.

    Book a Demo

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