Capital Gains Mishap - advice?

W

Wren100

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Can anybody give me some advice about this? Last year, I bought a number of bank shares which I subsequently sold for a profit of 17,000 euro during the very short lived euphoria following the announcement of how NAMA would work (yay me!). I calculated the tax due, paid the collector-general and submitted my CG1 form to the revenue. This is all quite new to me and I was quite nervous that I'd done it wrong until I got a favourable response. Indeed, they sent me a small refund for overpaying. I thought that this was the end of the matter until I realized I had completely forgotten to declare a subsequent share transaction which had slipped my mind. At the start of April this year, I bought shares in Aer Lingus, which I sold on April 7 at a technical profit of 90 cent (yes, cent, not euro), which 'profit' was, of course, wiped out in any event by the broker's charges.

Normally, I wouldn't bother fretting over such a piddling amount, but this is the revenue we're talking about. I really don't want to do anything that runs the slightest danger of having these guys turning their beady eyes on me. What I want to know is, should I submit a second CG1 form giving details of this transaction? And, ridiculous as it sounds, should I send 25% of 90 cent to the collector-general? This is a serious question; I REALLY don't want to fall foul of the revenue. REALLY.
 
If I were a Revenue official and somebody sent me such a return, I think I'd wonder whether they had a guilty conscience about something.
 
AFAIK, the tax year for CGT for 2010 is from January '10 to Sept '10 tax payable October '10 and then from October 10 to December 10, tax payable end January '11. Remember you have annual allowances that you can use as well. Check the Revenue website www.revenue.ie for further clarification.
 
Are the buying and selling fees not allowable - in which case you'd have made a capital loss which you could make a return for and carry forward against future gains?
 
Do nothing. Revenue have no interest in your 90c gain. You apply normal rounding anyway (e.g. €1.50 = €2 and 22.5c = €0).
 
Wren100 said:
I REALLY don't want to fall foul of the revenue. REALLY.
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You can put the details on your Form 12. If I were a betting man I would say that you will receive a pre printed (specially for you with your name on it) Form 12 for the tax year 2010. There will be a section thereon for CGT. Once you have completed and returned that form and everything is in order Revenue will reply to you with a form P21 as if it says that you owe them €0.25 you can ignore it.

I would go back to sleeping at night if I were you although your use of the word REALLY (twice in caps) leads me to think you have something to hide. :D
 
davidoco said:
You can put the details on your Form 12. If I were a betting man I would say that you will receive a pre printed (specially for you with your name on it) Form 12 for the tax year 2010. There will be a section thereon for CGT. Once you have completed and returned that form and everything is in order Revenue will reply to you with a form P21 as if it says that you owe them €0.25 you can ignore it.

I would go back to sleeping at night if I were you although your use of the word REALLY (twice in caps) leads me to think you have something to hide. :D
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I do - a massive sense of paranoia! Thanks for the advice davidoco, I'll go into my friendly neighbourhood revenue office and get this sorted out.
 
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