JakeWhite123
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The above is correct. My sister is in the same situation and I submit her tax returns each year. You will need your Irish pps number or obtain a new one.Hi All,
Long time lurker, first time poster.
I'm an Irish citizen living in the UK and am considering buying a property in Ireland. The intention would be to rent this out for a number of years before returning to Ireland to live in it permanently.
From reading various threads and online sources, I can see that the income tax rate charged on non-residents in receipt of rental income in Ireland is 20%, assuming that the taxable profit is within the 20% tax band. Is this still the case?
I have also read that as I am a UK tax resident, I would need to declare this income in my UK tax return. However, due to the double taxation agreement between the 2 countries, I would be given a credit that would mean I would not need to pay tax in the UK on this Irish rental income, given I will have paid this already to the Irish Exchequer. Does anyone with experience know this is the case?
Finally, I will look to speak with a solicitor or tax specialist before the purchase, so if anyone has any recommendations on good people that would also be very welcome!
Be aware there are rumblings among opposition politicians who are seeking to remove the right to end a tenancy so that the landlord can use the property themselves.The intention would be to rent this out for a number of years before returning to Ireland to live in it permanently.
If you're on higher-rate income tax in the UK, you probably will have a tax liability in the UK for the difference between their top rate and the 20% deducted here.I have also read that as I am a UK tax resident, I would need to declare this income in my UK tax return. However, due to the double taxation agreement between the 2 countries, I would be given a credit that would mean I would not need to pay tax in the UK on this Irish rental income, given I will have paid this already to the Irish Exchequer. Does anyone with experience know this is the case?
I'm an Irish citizen living in the UK and am considering buying a property in Ireland.
To oversimplify, your tax liability is basically 20% of all Irish rental profits.I can see that the income tax rate charged on non-residents in receipt of rental income in Ireland is 20%, assuming that the taxable profit is within the 20% tax band. Is this still the case?
Thanks Leo, definitely one to key keep an eye on! I am tempted to hold off until the conclusion of the next election to see which way the political winds are blowing.Be aware there are rumblings among opposition politicians who are seeking to remove the right to end a tenancy so that the landlord can use the property themselves.
@T McGibney I was under the impression that because there is a double taxation agreement in place between both countries you wouldnt pay tax twice on the Irish rental income.If you're on higher-rate income tax in the UK, you probably will have a tax liability in the UK for the difference between their top rate and the 20% deducted here.
Double taxation agreements don't mean that you may not pay tax on both jurisdictions - e.g. 20% in Ireland and the difference between that and a higher rate in another jurisdiction!@T McGibney I was under the impression that because there is a double taxation agreement in place between both countries you wouldnt pay tax twice on the Irish rental income.
Non-resident landlords have no PRSI liability.Does a UK landlord have to pay PRSI and levies?
Certainly not in the UK.They may have tax and "PRSI" levies in their country of residence
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