PAYE with one off payment for outside work?

[kaff]

Hi,
i would be grateful for any advice for my partner. He is a PAYE but has done some IT work for a friend who wishes to now pay him for his time. He asked my partner to give him an invoice and it will be paid. My partner isn't sure what to do as he doesn't have company invoices?? Does he need a VAT number etc. Can he simply type up a form for services completed and then include this payment on a tax return next yr? Or will the company deduct tax anyways if he includes his PRSI number.
Many thanks
kate

 

[Nige]

Re: ? PAYE with one off payment for outside work

Hi,
i would be grateful for any advice for my partner. He is a PAYE but has done some IT work for a friend who wishes to now pay him for his time. He asked my partner to give him an invoice and it will be paid. My partner isn't sure what to do as he doesn't have company invoices?? Does he need a VAT number etc. Can he simply type up a form for services completed and then include this payment on a tax return next yr? Or will the company deduct tax anyways if he includes his PRSI number.
Many thanks
kate

Provided he isn't going to be earning in excess of €35k per annum from his contracting, he doesn't have to register for VAT.

The invoice he gives his friend should therefore just give his own name and address, the friends name and address, the date, a description of the services and the amount due. he should then include it on his tax return and pay the tax accordingly.

His friend's business would only deduct tax if there was an employer-employee relationship created.

 

[kaff]

Re: ? PAYE with one off payment for outside work

Many thanks for the information - it was only a one off job and payment would be around €1000 euros.

Best wishes
Kate