Getting paid business income into a student account – problem for Revenue?

[h20]

I currently get paid into my student account (I was a student two years ago and plan to do another university course this autumn if I get accepted, so I haven’t bothered letting the bank know about my change of status, as it’s not really worth the bother).

I receive my non-business income into another account, so I keep the personal and business sides separate. Will it pose a problem to the revenue that my clients have been transferring my payments into my student account and not a business account? Does the revenue actually need to see my bank statements at all? Is this something that only happens when one gets audited?

 

[z108]

why should the revenue care about you having a student account ?
its not their job to interfere in your relationship with your bank . they only care that you are paying your taxes

 

[h20]

why should the revenue care about you having a student account ?
its not their job to interfere in your relationship with your bank . they only care that you are paying your taxes

Yes, okay, but if they have to do an audit, surely they will ask to look at bank statements. But perhaps the self-employed don't get audited that often.

 

[ubiquitous]

But the Revenue don't care what the bank account is called. Money lodged into a student account is no different from money lodged into a business account.

 

[h20]

But the Revenue don't care what the bank account is called. Money lodged into a student account is no different from money lodged into a business account.

Really? So in Ireland one can be a student and a business owner at the same time. What about the consequences for social security payments? Which scheme would I fall under in that case?

 

[ClubMan]

Really? So in Ireland one can be a student and a business owner at the same time. What about the consequences for social security payments? Which scheme would I fall under in that case?

Of course you can be a student and business owner at the same time. Just like you can be self employed and in PAYE employment at the same time. By social security I presume you actually mean PRSI? Self employed people usually (always?) fall into Class S. You should get advice from an accountant on your tax and PRSI situation.

 

[h20]

Of course you can be a student and business owner at the same time. Just like you can be self employed and in PAYE employment at the same time.

It depends. If you live and work in the same country 365 days a year, yes, no problem. It may not be a profitable option though tax-wise - paying two sets of taxes isn't much fun.

If you are a salaried employee requiring a physical presence in another EU country (e.g. working for a German company in Germany), no you can't remain self-employed in Ireland, as you have to physically present for 165 or so days a year in the country where your business is registered. (Of course, you could get away with this, as the Irish government rarely does cross border checks). On a social security level, though, you'd be paying it in Ireland and the country where you are an employee.

If you have a Limited company it's a different ball game, as you as a person is separate from the legal entity that is your company.

By social security I presume you actually mean PRSI? Self employed people usually (always?) fall into Class S. You should get advice from an accountant on your tax and PRSI situation.

Yes, PRSI is social security. Social security is a term that is understood internationally, while the term PRSI is limited to the UK and Ireland, and other English speaking countries, perhaps... ?