Modest Additional Income - How Best to Declare?

S

Summer74

Registered User
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Good afternoon all,

I have tried to google this and call Revenue but still not sure how best to proceed.

I am a PAYE worker. In the last year I have started some teaching on a part time basis which brings in a little more income on a monthly basis. Last year I earned total additional income of €300 (only started in Dec) and would envisage total additional earnings for 2018 of approx 4k.

My question what is the most straightforward way to declare to Revenue? Is there a minimum i.e. do I need to declare the €300 for 2017?

Lastly, is there a requirement for me to pay preliminary tax for this year (2018) before Oct 31st?
Any guidance much appreciated.

Regards,
S
 
Summer74 said:
Good afternoon all,

I have tried to google this and call Revenue but still not sure how best to proceed.

I am a PAYE worker. In the last year I have started some teaching on a part time basis which brings in a little more income on a monthly basis. Last year I earned total additional income of €300 (only started in Dec) and would envisage total additional earnings for 2018 of approx 4k.

My question what is the most straightforward way to declare to Revenue? Is there a minimum i.e. do I need to declare the €300 for 2017?

Lastly, is there a requirement for me to pay preliminary tax for this year (2018) before Oct 31st?
Any guidance much appreciated.

Regards,
S
Click to expand...

Register with Revenue for non paye income, you will use your existing PPS number (they just need to record the income differently). Then calculate your liability for 2017 income and make payment by 31st Oct 2018 (this is extended to the 14th Nov 2018 if you use ROS).

Each year you are then expected to pay 90% of your tax liability for the previous year and make up the balance in Oct/Nov payment. EG you pay 90% of 2017 income in Jan 2018 with the balance in Oct/Nov 2018.
 
The Horseman said:
Register with Revenue for non paye income, you will use your existing PPS number (they just need to record the income differently). Then calculate your liability for 2017 income and make payment by 31st Oct 2018 (this is extended to the 14th Nov 2018 if you use ROS).

Each year you are then expected to pay 90% of your tax liability for the previous year and make up the balance in Oct/Nov payment. EG you pay 90% of 2017 income in Jan 2018 with the balance in Oct/Nov 2018.
Click to expand...

I'd recommend the OP to simply complete a Form 12 each year and file it by 31 October annually, until and unless the income is sufficiently sizeable to justify or necessitate registering for self-assessment and all the obligations that this brings, including Preliminary Tax. At €4k income in 2018 you won't be far off that, so do keep an eye on the applicable limit to ensure you're doing it correctly.

Incidentally, you should first establish the precise treatment of this income by the school or whoever engaged you to do this work. Revenue state that they consider most if not all teaching work contracts to be PAYE employments so its worth checking on the off-chance to establish if PAYE was deducted and remitted at source. But you may well have clarified this already.
 
T McGibney said:
Incidentally, you should first establish the precise treatment of this income by the school or whoever engaged you to do this work.
Click to expand...
I was about to suggest the same. I've done some evening class teaching in the past, and the school had to set me up on their payroll.
 
Yes. I lecture in the Law Society - negligible amounts but it’s treated as PAYE, which keeps things simple.
 
You could also change your PAYE allowances so that you get more tax deducted and not have a bill at end of year. That said like @DeeKie above, virtually all lecturing income is now PAYE.

Of course 2.2 million tax payers do NOT file a tax return. Just the 10% fools who are self employed. This is a Revenue cop-out.
If anything encourages evasion ..this does. Here we have somebody struggling to pay!
 
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