An Post savings and DIRT calculation

U

upfortheba

Guest
I am over 65 and have An Post 5 year savings account but I also earn interest from other deposits that are liable to DIRT.

Do I have to include the interest earned from my An Post account in my income in order to calculate if I fall below the €20,000 threshold for escaping paying DIRT?

If I do include the An Post interest, do I only include the earned interest at the end of the 5.5 years or do I need to include the interest earned on an annual basis?

Any help would be appreciated.
 
The interest is seen as income in the year in which it is received, so at the end of the investment period. You may qualify for DIRT exemption in the years before maturity; you would not include the income on an annual basis.
If you think you will qualify, you should complete Form DE1 for EACH account, and hand in to each bank where you have an account. A bit of effort, but worth it.
If you have paid DIRT in 2009, but fall under the €20,000 exemption, you can reclaim this.
 
How does one go about reclaiming back dirt tax paid on accounts for 2009 have filled out form DEI for 2010 as I am under the 20,000 exemption
 
Re. the €20,000 ceiling, don't forget that this includes the interest on savings for the relevant tax year. Revenue add the interest received to your other income when assessing whether or not you still fall within the €20,000 exemption.

Cheers
 
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Do I assume the €20,000 per person applies after deduction of MED1 form etc?
If so, should the Med1 form be sent in any case even if a person is below their personal tax limit?
 
The €20,000 exemption for over 65s applies to total income.
If the person has paid income tax in some way, you can send in a Med1, but it wouldn't make any difference, since all income tax paid would be refunded on the basis of income being less than the threshold.
 
I am still confused. If the Dirt Tax + pensions brought the ammount over €40,000 the medical expenses etc could bring it below
 
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