EU Deposit Interest - Revenue Reporting

I thought revenue were usually pretty good and efficient but seeing these reports that people are getting charged the wrong tax is a little frustrating.
 
Connard said:
I thought revenue were usually pretty good and efficient but seeing these reports that people are getting charged the wrong tax is a little frustrating.
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Yes but communication with them has always taken time.
 
Still bit unsure what to do:

So its form 12 and eu deposit interest? Does that include different currencies in eu companies?
 
Something is not align in the revenue process for EU deposits.
I can share my recent experience.
- I've submitted my tax return through myaccount and EU deposits were categorised in the tax statement as "Other foreign income" and taxed at 40%, while Irish Deposits taxed at 33%
- I also completed the tax return for my wife (we do separate tax returns) with the same type of incomes and almost the same quantity in all categories. Her tax statement reported the EU Deposits and Irish Deposits all together and taxed at 33%.

In both I reported the EU deposit in the proper category (as EU deposit), so it all depends on the officer reviewing the data.

I am now requesting more clarification for my statement to the Revenue. Hopefully is just a misalignment among the tax officers but this need to be addressed properly by the Revenue
 
Lightning said:
Seems to be a mixture of 2 issues going on based on reports here and on other forums.

Some issues are from people submitting EU deposit interest under the wrong heading.

And Revenue, in some but not all cases, applying the wrong tax even after it was submitted correctly. @irbx - Please let us know how you get on with getting Revenue to fix this.
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I’ve recently had issues with Irish Revenue returning a withholding tax form to me incorrectly signed, they’ve been getting on my nerves as of late
 
Lightning said:
Not good. People should be able to trust that their tax returns will be processed correctly. Revenue should not be making basic mistakes like this for multiple people. Seems like Revenue have screwed up the coding behind EU deposit interest and some other items like you and others said. The media should report this.
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Amen!
 
Please do keep us posted on this as it develops. I have deposit interest from the likes of Trade Republic, Wise, LightYear and Advanzia for 2023 so I think I will hold off completing my tax return until later this year when Revenue have hopefully resolved these issues.
 
They don't. The onus is on the taxpayer to calculate the correct gain from disposals and deemed disposals of ETFs.
 
Yes, but the written answer I got to my query re exit Tax calculation on deemed disposals is at variance with the legislation published but the agent I was in communication with insisted they were correct - so I gave up
 
I asked Revenue:

"1) Do I declare DIRT on these accounts under the 'EU Depoist interest'?
2) Will I be paying 33% or will I be hit with additional PRSI on the deposit interest?
3) Since certain Raisin banks charge a withholding tax, where do I put this on the F11 form?

This was there reply:
"If you are resident you will pay 33% & prsi on foreign dep interest, however you input (on the form) any foreign tax already paid and you will get the credit for it."

By this it appears that PRSI is paid also. I had presumed it was just DIRT, at least for a standard rate tax payer.
 
Form 11 is for "chargeable persons" who are then liable to pay additional PRSI compared to non-chargeable persons.

Social insurance

Social insurance contributions entitle you to a range of benefits administered by the Department of Social Protection.
www.citizensinformation.ie www.citizensinformation.ie
 
Bradipo said:
Something is not align in the revenue process for EU deposits.
I can share my recent experience.
- I've submitted my tax return through myaccount and EU deposits were categorised in the tax statement as "Other foreign income" and taxed at 40%, while Irish Deposits taxed at 33%
- I also completed the tax return for my wife (we do separate tax returns) with the same type of incomes and almost the same quantity in all categories. Her tax statement reported the EU Deposits and Irish Deposits all together and taxed at 33%.

In both I reported the EU deposit in the proper category (as EU deposit), so it all depends on the officer reviewing the data.

I am now requesting more clarification for my statement to the Revenue. Hopefully is just a misalignment among the tax officers but this need to be addressed properly by the Revenue
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I've got an answer from the Revenue about the charge at 40% for my case (I haven't mention my wife statement)
Their answer referred to the last section in "Who is charged DIRT?" in the revenue.ie (unfortunately I can't add links for now, but you can find it in google easily):
If you are a higher rate taxpayer or you have not made a timely return, a DIRT rate of 40% will apply.
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I am a higher rate taxpayer (that's when you reach the 40% tax band)...but my wife is a higher rate taxpayer as well and she paid all at 33%!
(Note, both of us submitted the myaccount online form, that is equivalent to the form12)
So one of the two officers is wrong making the tax statements.

Anyway, I expect the revenue officers procedure will converge at one point and all the mistakes will be amended (either charging 33% or 40%). I would assume a lot of people sent a request of clarification to them.

One final note, in my opinion the revenue article above is not fully clear. The final line seems referring only to the non-EU deposits, but apparently the revenue applies that for both EU and non-EU deposits.
 
Bradipo said:
I've got an answer from the Revenue about the charge at 40% for my case (I haven't mention my wife statement)
Their answer referred to the last section in "Who is charged DIRT?" in the revenue.ie (unfortunately I can't add links for now, but you can find it in google easily):

I am a higher rate taxpayer (that's when you reach the 40% tax band)...but my wife is a higher rate taxpayer as well and she paid all at 33%!
(Note, both of us submitted the myaccount online form, that is equivalent to the form12)
So one of the two officers is wrong making the tax statements.

Anyway, I expect the revenue officers procedure will converge at one point and all the mistakes will be amended (either charging 33% or 40%). I would assume a lot of people sent a request of clarification to them.

One final note, in my opinion the revenue article above is not fully clear. The final line seems referring only to the non-EU deposits, but apparently the revenue applies that for both EU and non-EU deposits.
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Revenue have made a mistake with your return. And now, worse still, they are defending their mistake with incorrect information.

33% applies to EU deposit interest regardless of whether you are a higher rate tax payer or a lower rate tax payer.

Go back to Revenue again. And ask for the matter to be escalated. Quote their own website back to them.

Revenue is an absolute disgrace with this.

If anyone in the media is reading this - please run an article on this.
 
I've done a bit of reading and it seems the act of opening a foreign bank account makes someone a chargeable person, regardless of under or over €5k income? Some info here: https://www.mazars.ie/Home/Insights/News-opinions/Do-you-need-to-submit-an-Income-Tax-CGT-return

Does this mean anyone with a Bunq, Trade Republic or Raisin account should be doing a full Form 11 tax return and therefore liable to PRSI?
 
Corola said:
The EU is not included in the definition of "foreign" bank account here. So it is Form 12 / myAccount and not liable to PRSI.

Opening a foreign bank account

You must file a Form 11 tax return for any year that you open a foreign bank account.
www.revenue.ie www.revenue.ie
You must file a Form 11 tax return for any year that you open a foreign account in a:
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Thanks. Strange that the Mazars link specifically mentions Revolut/N26 which are EU. But I'll go by the Revenue definiton!
 
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