A few questions here...
My wife and I are both PAYE employees and began renting out an apartment at the end of last year, the allowable expenses exceed rental income for 2013 so as I understand it we should be submitting a form 12 before the end of October to record this loss and roll that over against this years rental income.
Now during the year my wife also received a cash gift from her parents, as this is considered Capital Acquisition, am I correct in saying this should not be counted as non PAYE income for the purposes of determining whether you return a Form 11 v's Form 12? Both the Form 11 and Form 12 just have boxes to tick for having received a gift or inheritance, no field for the amount, and both say a CAT return only needs to be made once the cumulative total of gifts/inheritance exceeds 80% of the threshold, we're not even close so beyond ticking the box, no further action is required.
For 2014, based on the €3,174 threshold we're looking like needing to return a Form 11 however as we're jointly assessed, does this threshold remain at €3,174 or does it become €6,348? If/when we need to return a Form 11, am I correct in saying that paying preliminary tax only comes into play in the second year we return a Form 11?
Finally, treatment of management fees for 2013, should I apportion a pro rata amount for the time it was rented? It's a little unclear as payment was made before the tenancy but part of the expense was incurred for the tenancy period in 2013.
I understand that any responses are free advice and has exactly that value. For as long as we're Form 12, I'll probably do the return myself, once it's Form 11, it's accountant time
.
My wife and I are both PAYE employees and began renting out an apartment at the end of last year, the allowable expenses exceed rental income for 2013 so as I understand it we should be submitting a form 12 before the end of October to record this loss and roll that over against this years rental income.
Now during the year my wife also received a cash gift from her parents, as this is considered Capital Acquisition, am I correct in saying this should not be counted as non PAYE income for the purposes of determining whether you return a Form 11 v's Form 12? Both the Form 11 and Form 12 just have boxes to tick for having received a gift or inheritance, no field for the amount, and both say a CAT return only needs to be made once the cumulative total of gifts/inheritance exceeds 80% of the threshold, we're not even close so beyond ticking the box, no further action is required.
For 2014, based on the €3,174 threshold we're looking like needing to return a Form 11 however as we're jointly assessed, does this threshold remain at €3,174 or does it become €6,348? If/when we need to return a Form 11, am I correct in saying that paying preliminary tax only comes into play in the second year we return a Form 11?
Finally, treatment of management fees for 2013, should I apportion a pro rata amount for the time it was rented? It's a little unclear as payment was made before the tenancy but part of the expense was incurred for the tenancy period in 2013.
I understand that any responses are free advice and has exactly that value. For as long as we're Form 12, I'll probably do the return myself, once it's Form 11, it's accountant time
.