Backdating pension contributions to 2020

SGWidow

Registered User
Messages
212
What's the deadline for making pension contributions and submitting a tax return for PAYE workers in order to get tax relief for 2020.

In particular, what are the contribution and submission deadlines for:

1. Manual Returns
2. Returns via ROS
3. Returns via MyAccount
 

Shirazman

Registered User
Messages
474
The contribution must be paid by 31 October this year.
Tax return:
1. 31 October 2021 (manual Form 11)
2. 17 November 2021 (ROS)
3. No hurry! You have 4 years to claim. (Paper or online Form 12)
 
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SGWidow

Registered User
Messages
212
Thanks for your reply, Shirazman.

Just so I'm clear. In terms of doing returns to the Revenue in respect of contributions in respect of 2020, if a PAYE worker gets his accountant to do his return via ROS, the accountant can do this up until the 17th November but if the same PAYE worker does a different on-line return, via MyAccount, he has 4 years to do it.

Seems a bit mad but I've no specific reason to doubt you!
 

Gordon Gekko

Registered User
Messages
6,339
I think that it’s the 17th of November (this year) for the contribution if the return and any tax payment are submitted online.

Otherwise the contribution must be made on or before 31 October (e.g. if you submit paper returns or didn’t submit your return).

And if you didn’t submit your return, you’d have four years to claim the relief/refund.
 

SGWidow

Registered User
Messages
212
Thanks Gordon - Much appreciated.

Don't mean to imply for a second that what you said isn't clear but I can I try to rephase it please so that I'm sure I understand correctly.

1. If someone is doing paper returns, the contribution must be made by the 31st of October 2021 and he will have four years from the end of 2020 to get his paperwork into the Revenue.

2. If you need extra time to make your contributions, you have up to the 17th of November but in this case, you must also do an online return also by the 17th November.


Can I infer also that

(a) A PAYE worker who made a contribution prior to the end of October could make an online submission after the 17th November?

(b) By online there is no difference between whether it's done via ROS or MyAccount
 

Shirazman

Registered User
Messages
474
Thanks for your reply, Shirazman.

Just so I'm clear. In terms of doing returns to the Revenue in respect of contributions in respect of 2020, if a PAYE worker gets his accountant to do his return via ROS, the accountant can do this up until the 17th November but if the same PAYE worker does a different on-line return, via MyAccount, he has 4 years to do it.

Seems a bit mad but I've no specific reason to doubt you!

If a PAYE worker gets his/her accountant to file a Form 12 for him/her then s/he must have money to burn! (This comment does not apply to people required to file a Form 11!)

People who are required to file a Form 11 (i.e. chargeable people with non PAYE income) have to adhere to the strict deadlines.

PAYE workers don't have to file a Form 12 unless Revenue specifically asks them to. So you have up to 4 years to apply for the tax refund due in respect of your pension contribution.
 

nest egg

Registered User
Messages
384
Hi folks, could do with a steer here. My wife made a voluntary contribution to her employer-run PRSA this year, for which she wishes to claim relief in the 2020 tax year. This wasn't done through her company payroll.

It looks like she should use the PRSA option on her myAccount, rather than AVC, as based on the description, the AVC option is for occupational pension schemes.

However in the PRSA option, she gets presented with selecting between PRSA 1 Certificate (?) or PRSA 1 (Net pay) Certificate (?)
These terms don't mean much to either of us, can anyone shed any light?

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Smoneen

Registered User
Messages
81
Avc PRSA are covered under the AVC menu. If you select AVC you should get an option for PRSA or other AVC on the next menu.

If you’ve made the AVC via a PRSA AVC product the certificate that you will receive is called a PRSA AVC 2 cert. A PRSA 1 cert is just another name for a non AVC cert.
 
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nest egg

Registered User
Messages
384
Avc PRSA are covered under the AVC menu. If you select AVC you should get an option for PRSA or other AVC on the next menu.

If you’ve made the AVC via a PRSA AVC product the certificate that you will receive is called a PRSA AVC 2 cert. A PRSA 1 cert is just another name for a non AVC cert.
Thanks for taking the time to respond.

What confused us is the AVC form states "Additional Voluntary contributions are additional superannuation payments made to an occupational pension scheme" > My wife's employer doesn't provide a pension scheme, only a PRSA. Then the PRSA form appears to contradict the AVC form stating "If you have a PRSA AVC, please make your claim under AVC"

Seems the AVC form is the right one in this case.
 

Smoneen

Registered User
Messages
81
If your wife is not a member of a DC or DB then the additional contribution that she has made to her PRSA will be a non- avc PRSA - you use the PRSA field on My Account for that. The provider of the PRSA will provide you with a PRSA 1 cert for that additional contribution. A PRSA 1 salary deduction cert would only apply to contributions where tax relief is provided at source i.e via monthly payroll.
The term AVC only relates to members of occupational schemes i.e DC or DB.
PRSAs are not occupational schemes therefore if she elects to make any additional contributions outside of the salary deduction facility that’s still just a PRSA contribution, it’s not an AVC.
I’m sorry if i’ve confused you any further, i mistakenly assumed from your earlier post that you wife had made an AVC contribution via a PRSA. I hope this helps.
 

nest egg

Registered User
Messages
384
Thanks again, the terminology is horrific! You can't make an AVC into a PRSA if you have a PRSA, but you can make an AVC into PRSA if you have an occupational pension scheme o_O
 

Paul F

New Member
Messages
1,234
The contribution must be paid by 31 October this year.
Tax return:
1. 31 October 2021 (manual Form 11)
2. 17 November 2021 (ROS)
3. No hurry! You have 4 years to claim. (Paper or online Form 12)

@Shirazman I don't think point 3 is correct. See this Irish Life article:
  • If you wish to claim backdated tax relief you will have to ensure that your AVC pension contribution is paid to Irish Life on or before 29 October 2021 AND that you have submitted your claim for tax relief to your local Inspector of Taxes on or before 29 October also.
The paper version of Form 12 and the eForm12 are very similar: there is no field that allows you to make a backdated claim for any year other than last year.

@SGWidow Get your eForm12 in before 31st October (Sunday)!

[Edit] Link fixed.
 
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Shirazman

Registered User
Messages
474
@Shirazman I don't think point 3 is correct.

The paper version of Form 12 and the eForm12 are very similar: there is no field that allows you to make a backdated claim for any year other than last year.

Whether or not the Form 12 provides for it, the fact remains that PAYE employees have a full 4 years to claim a tax refund!
 

Paul F

New Member
Messages
1,234
Whether or not the Form 12 provides for it, the fact remains that PAYE employees have a full 4 years to claim a tax refund!
For most tax reliefs that is correct but not for backdated pension contributions!

See this piece by Zurich, which says the same thing as the Irish Life page I linked to above:
Q: When should I make a lump sum contribution?
A: Any lump sum contribution (Self Employed or AVC) must be made before the tax deadline – and the election to backdate the tax relief to the previous tax year must also be made before the tax deadline.

The income tax return deadline for the Revenue Form 11 (Income Tax Return and Self-Assessment for the year 2019) for 2019 income is the 31st October, 2020.
 

Shirazman

Registered User
Messages
474
That Zurich article is specifically aimed at the self-employed/Form 11 taxpayer. And your link to the Irish Life article doesn't work so I can't comment! but I remain of the view that PAYE taxpayers have 4 years to claim a tax refund. (See also post #4 which states the same thing)
 

Paul F

New Member
Messages
1,234
That Zurich article is specifically aimed at the self-employed/Form 11 taxpayer. And your link to the Irish Life article doesn't work so I can't comment! but I remain of the view that PAYE taxpayers have 4 years to claim a tax refund. (See also post #4 which states the same thing)
Well, this article says the same thing (a deadline of October/November) in the context of PAYE workers. And the Irish Life article (I've fixed the link) makes no reference to Form 11 specifically.

Let's drag @Steven Barrett into this :)
 
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Smoneen

Registered User
Messages
81
From Revenue:

You may pay a once-off or special pension contribution after the end of a tax year, but before the following 31 October. If you do, you can choose, on or before 31 October, to have the tax relief for the contributions allowed in the earlier tax year. When you use the Revenue Online Service (ROS), the deadlines for paying contributions and making this choice are extended.

The above clearly states that a contribution must be paid by 30/10 or the ROS deadline date to claim relief against the earlier tax year. However a PAYE taxpayer can still edit their tax record for any of the previous 4 tax years via My Account. For relief on pension contributions my understanding is that this is only for unclaimed or carried forward relief i.e. the pension contribution would still have to have been made prior to 31/10 or the ROS date in the year following the year for which the relief is being claimed.
 

Shirazman

Registered User
Messages
474
From Revenue:

You may pay a once-off or special pension contribution after the end of a tax year, but before the following 31 October. If you do, you can choose, on or before 31 October, to have the tax relief for the contributions allowed in the earlier tax year. When you use the Revenue Online Service (ROS), the deadlines for paying contributions and making this choice are extended.

The above clearly states that a contribution must be paid by 30/10 or the ROS deadline date to claim relief against the earlier tax year. However a PAYE taxpayer can still edit their tax record for any of the previous 4 tax years via My Account. For relief on pension contributions my understanding is that this is only for unclaimed or carried forward relief i.e. the pension contribution would still have to have been made prior to 31/10 or the ROS date in the year following the year for which the relief is being claimed.

I agree with that.
 

Ciru75

Registered User
Messages
166
From Revenue:

You may pay a once-off or special pension contribution after the end of a tax year, but before the following 31 October. If you do, you can choose, on or before 31 October, to have the tax relief for the contributions allowed in the earlier tax year. When you use the Revenue Online Service (ROS), the deadlines for paying contributions and making this choice are extended.

The above clearly states that a contribution must be paid by 30/10 or the ROS deadline date to claim relief against the earlier tax year. However a PAYE taxpayer can still edit their tax record for any of the previous 4 tax years via My Account. For relief on pension contributions my understanding is that this is only for unclaimed or carried forward relief i.e. the pension contribution would still have to have been made prior to 31/10 or the ROS date in the year following the year for which the relief is being claimed.

The bolded section indicates that you have to elect by 31 October to allocate the relief to the previous year.

Section 3.4 of the tax and duty manual states it explicitly. You must inform revenue by 31 October 2021 (or the extended filing deadline if you pay and file online) that you want to set the contribution against your 2020 tax.
 
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