Can a non-resident be liable for Irish taxes?

[blorg]

I left Ireland in September 2010 and have not been physically back to either it or the European Union since then.

I don't however have residency anywhere else, I have not stayed in any country longer than 90 days in the intervening five years. I've been travelling, cycling around 45,000km through about 20 countries in Asia.

I have maintained and use Irish bank account(s) all this time, living on savings and I take money out with my ATM/credit card when necessary. I live on a shoestring, €500 is about a normal month and I've done as low as €200!

Funds are running low and so I have started working remotely from wherever I am; most of my clients are in North America with a few in Australia. I don't think I've done any work for a European Union client and certainly not and Irish one although that could certainly be possible in the future.

Right now, the plan is the client payments will be going in to my Irish bank account and I will take that out what I need when I need it with my ATM card.

I co-own a house in Ireland which is my brother's primary (only) residence, I went in with him to help him buy it. I have never owned anything else there.

Is there any way I could possibly be liable for Irish taxes in all of this? I don't currently plan on going back to Ireland any time soon, but who knows. Any advice appreciated.

 

[Setanta12]

You are non-resident, non-ordinarily resident but Irish domiciled. You will be taxed on Irish source income only. As soon as you become resident again, you will be liable to Irish tax on worldwide income.

Depending on the country where you perform the work, and the country of the recipient of the service you could be liable in either of those jurisdictons or both at the same time. (Ireland is among remaining few countries looking to number of 'days' for residency purposes)

 

[blorg]

Many thanks for that.

If the end client is Irish but I am paid by an agency in the United States, is that considered Irish source income?

E.g. Irish client pays US company, they take their cut and US company pays me. I find client through US company's service.

Other EU countries don't count, a UK or German client doesn't trigger any tax liability?

Finally, if (hypothetically) I make $35,000 in a year from American etc. clients and then $5,000 from an Irish one, I should file for Irish taxes just on that $5,000? (I imagine the taxes would be very low anyway on such an amount).

If I am earning next to nothing from Irish source income and not resident but am paying the tiny bit of tax and PRSI due on the Irish source income- I think if I'm earning €5,000-€12,500 it is a flat fee of €300-500 for the PRSI- does that entitle me to Irish healthcare and welfare benefits? I probably wouldn't use them but I mean if there were some disaster and I found I had an expensive disease or my leg fell off and I needed to go home for treatment or to get it reattached. That wouldn't be a bad deal at all if it were the case. Because I'm working on the basis I'm currently out of EU healthcare coverage due to length of time outside the place.

Again many thanks for this, and don't feel you need answer all of these or in any detail, the main question I was wondering about was just with the house and the bank account I still had enough connection to Ireland to be liable for taxes there.

 

[srase]

The source of the income is the activity that generates the sales and not the customer. So if you are not Irish tax resident you would not be liable to Irish tax on trading income where you perform all the duties of the trade outside Ireland. This is regardless of where the customer is based.