Is Revolut a foreign bank account ?

[klaus-v]

Hello,

Despite the Irish IBAN, can anyone confirm if Revolut is a foreign bank account ? It looks like Revolut doesn't have a Irish banking license. If so, should it be considered a foreign bank account that tecnically has to be declared on Form 11 ? I believe if that's case it probably has a 99.9% tax uncompliance. Can anyone confirm ?

Thanks
Klaus

 

[Freelance]

You need to declare it on Form 11 if (1) you actually earn deposit interest and (2) you are required to complete a Form 11. At a guess I’d suggest only a very small fraction of Irish Taxpaying Revolut users fall into this category. And anybody who is in that group and who is required to complete a Form 11 and either doesn’t bother or omits their Deposit Interest from the return is asking for trouble.

 

[moneymakeover]

How much interest do you need to have before you declare it on form 11?
Few thousand?

 

[Freelance]

It depends. Firstly, any and all deposit interest that is not exempt from Irish Income Tax and DIRT, no matter how small the amount, must be declared if you are completing Form 11 for other reasons, i.e. you are registered for Self Assessment because you have rental income etc.

Secondly, if you have deposit interest, Irish and/or foreign, in excess of €5,000 gross, you must complete Form 11 and declare the gross interest together with any DIRT or foreign equivalent paid or withheld.

If you are not required to complete Form 11 for one of the above reasons, you are still required to show your Deposit Interest when completing Form 12

More details here

21/12/23 Edit to add "that is not exempt from Irish Income Tax and DIRT"

 

[IsleOfMan]

Firstly, any and all deposit interest, no matter how small the amount, must be declared

Does this include State Savings interest?

 

[Freelance]

Does this include State Savings interest?

Good point

Discussed previously in this thread.

The consensus appears to be that you only declare it if it is not exempt, which would mean declaring interest received from older National Solidarity Bonds that had an annual interest payment together with An Post Book Based Deposit Account interest.

I've amended my post to make this clear.

 

[tomdublin]

Basic question: If it's interest on an Irish account from which DIRT has already been subtracted, does it still have to be declared on Form 11 or 12? If so, for what purpose (the government already has the money)?

 

[Pmc365]

Basic question: If it's interest on an Irish account from which DIRT has already been subtracted, does it still have to be declared on Form 11 or 12? If so, for what purpose (the government already has the money)?

Yes. They charge PRSI & USC on it.

 

[tomdublin]

But Revenue already has all that data anyway which they could easily triangulate. My guess is that 99% of the population earning interest on small savings accounts never completes Form 12. They just think that 35% DIRT is all they owe.

 

[clinteastwood]

But Revenue already has all that data anyway which they could easily triangulate. My guess is that 99% of the population earning interest on small savings accounts never completes Form 12. They just think that 35% DIRT is all they owe.

If you are self assessed, filling in F11 via Ros, then you need to fill in your interest. Forget about speculating on the 99pc, it's your concern.

 

[tomdublin]

it's your concern

My understanding is that you need to file it using Form 12 if you are not self assessed. On the broader point, fairness, efficiency and simplicity of tax collection is a societal concern.