How to rectify undeclared dividends for previous years?

Tickle

Registered User
Messages
129
Hi,

I earned a few hundred euro in dividends in the years 2016-2018 (total amount is less than 1000 euro). I neglected to put the dividend income on the form 12 for these years. I realise now that I should. How do I rectify this?
 
Personally, I’d include them in 2019, given the small amount involved.

The correct thing to do is to retrospectively adjust each year’s return.
 
You file another form 12 for each year with the dividends on. You'll get new balancing statements and they'll probably just reduce your tax credits next year to collect it.
 
The correct thing to do is to retrospectively adjust each year’s return.
You file another form 12 for each year with the dividends on.

Thanks I'll just do that. I assume the process is the same with DIRT? I've never really paid attention to the other incomes section in form 12 previously, and I am now learning that i must also declare DIRT, even though it's taken at source?
 
Personally, I’d include them in 2019, given the small amount involved.

The correct thing to do is to retrospectively adjust each year’s return.
If these are foreign dividends you might want to check is any tax has been deducted, example US is 30% if you don't have W-ben8 and 15% if you do.
These amounts are taken off your liability by additional tax credits .
 
Thanks I'll just do that. I assume the process is the same with DIRT? I've never really paid attention to the other incomes section in form 12 previously, and I am now learning that i must also declare DIRT, even though it's taken at source?
Was curious about this so I had a look. From some websites (can't post links and can't see it on Revenue website) I think that you pay 4% PRSI on interest, on top of DIRT, if you are a chargeable person. But then you should be completing a form 11 right? So why put it on the form 12 - maybe so it can tell you to fill in a form 11 if your interest is greater than €5,000.

"You will be liable if your deposit interest exceeds €5,000 as Revenue would consider you to be a chargeable person."
"If you earn interest of more than €5000 in a year – then you could be also liable for 4% PRSI. This would have to be declared and paid to Revenue – it is not deducted by the banks."

I suspect you pay the 4% PRIS if total include outside is greater than €5,000 rather than just interest.
 
Also do you have to declare the number and price of each share purchased in any particular year to revenue on your return, as well as any dividend received ? Is it necessary ? Or do you just keep your own records? Or would they need to know that level of detail in case you sell them down the road ?
 
Also do you have to declare the number and price of each share purchased in any particular year to revenue on your return, as well as any dividend received ? Is it necessary ? Or do you just keep your own records? Or would they need to know that level of detail in case you sell them down the road ?
My understanding is for schemes run by companies, mostly multinational, Revenue are informed annually of what an employee is receiving by way of shares .
I do know that people have been asked by Revenue for tax on say the sale of options or similar schemes.
 
Ok. Can I then assume that if you buy the shares yourself that the details of each share bought, number and price must be forwarded to them every year. I didnt think they would have the capacity to store all this data.
 
Ok. Can I then assume that if you buy the shares yourself that the details of each share bought, number and price must be forwarded to them every year. I didnt think they would have the capacity to store all this data.

There is a section on the return for that information. However, there’s no sanction for ignoring it. In my experience, very few people complete that section. However, from a personal perspective, it’s handy to do so. It means that when you sell the shares, you have the information to hand.

Paul O’Mahoney is talking about something else; when employees get share options etc, the employer reports the detail to Revenue the following March. So if someone doesn’t fulfill their obligations (e.g. RTSO1 Form, pay the tax, etc), Revenue come after them.
 
Back
Top