How do you calculate Tax on Income from selling shares?

Hello,

I have stock options in an American Multi-national that I want to exercise for cash. I am new to all of this so want to know how much tax do I have to pay on this income and also how do I go about declaring the income to the Revenue Commissioners and paying the tax owed on it?

Thanks in advance.

Simple you pay capital gains tax @ 25% on the Gain i.e. the diference between the total cost in Euros and the total amount received in Euros when you sell.

You can deduct €1250 from the gain per year as an allowance.

If you sell as much per year as shows a gain of € 1250 only you pay no tax

You can set off any previous Capital losses against the gain. You may have lost on eircom shares etc.

For options you pay at 41%. You need to fill out and return form RTSO1 with a payment within 30 days of when you acquire the shares.