Hi
A friend of mine submitted Form 11 to revenue in October, she has a rental property which she purchased in 2006. It was not rented out until 2009 onwards and it is currently rented. She has now received a letter from the revenue asking for rental computations since she purchased the property in in 2006. She did not decalre the rental income in 2009 0r 2010.
Am I correct in saying that she only has to pay tax on the rental income in 2011? Another friend of ours says that as long as you submit form 11 and declare your rental income on that form that you are okay? By okay I mean that the revenue can't come after you for 2010 tax on renatl income because she submitted the form to them first as opposed to them chasing her for a tax return on the rental income?
Could someone please answer her question as she is very worried that she will be hit by a revenue bill and interest and penalties.
Thanks for your help
A friend of mine submitted Form 11 to revenue in October, she has a rental property which she purchased in 2006. It was not rented out until 2009 onwards and it is currently rented. She has now received a letter from the revenue asking for rental computations since she purchased the property in in 2006. She did not decalre the rental income in 2009 0r 2010.
Am I correct in saying that she only has to pay tax on the rental income in 2011? Another friend of ours says that as long as you submit form 11 and declare your rental income on that form that you are okay? By okay I mean that the revenue can't come after you for 2010 tax on renatl income because she submitted the form to them first as opposed to them chasing her for a tax return on the rental income?
Could someone please answer her question as she is very worried that she will be hit by a revenue bill and interest and penalties.
Thanks for your help