Paying Tax on Disposal of Rabo Funds

G

galway2014

Registered User
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Hello,

In march of this year i sold all of my rabo funds. I made a profit from the sale of them.

Just wondering what the process is for declaring the profit with revenue ? Obviously i probably need to talk to an accountant, but just want to get a heads up on the process. From reading the material on line it isn't clear if you must pay the money this year or next year.
 
You will have to file it in 2014's tax return - by 31 Oct 2015.

However, you also have to pay preliminary tax for 2015 by 31 Oct 2014. This can be 100% of your tax liability for 2013 income or at least 90% of the tax liability for 2014.

It is up to you to choose but if you don't pay the tax based on the 2013 liability, then you are above board.
 
Thanks jpd ! Just one more question, if my only income for 2013 was paye then i presume i can pay none of my liability this year, and then pay my full liability next year ?
 
Not sure about that - there is a document here [broken link removed] which appears to cover this case but I can't get it to open.

I would imagine that it would be ok to pay none this year and the full amount next year.
 
I would talk to Rabbo in the first instance. Most Irish funds (if it is an Irish fund) have an exit tax where the tax is deducted at source by the financial institution. The situation may be different if it isn't an Irish fund. You may have paid tax already.
 
I stand to be corrected. I am going from my own experience of selling Rabo funds several years back, plus capital gains on other shares. If you have made a capital gain then the preliminary tax question doesn't apply. You have to pay capital gains tax on gains realised up to 30-Nov in any given year by 15-Dec of the same year. Gains up to 31-Dec have to be paid by the end of January. NOTE: The dates have changed over the years, look up Revenue for the latest (and see [broken link removed] and here).

Some (possibly most) Rabo funds are not ordinary funds but UCITS to which special rules and rates apply. There is a space on Form 11 for them. I believe they are taxed at a current rate of 40%.

You'll need to know how your particular funds are treated. Look at the fund information sheet, and also check with Rabo. They used to have a page buried on their website about how to fill in the Form 11 (which I followed with no problem a few years back and all was fine with Revenue).

Sorry I can't be more specific. It's been a while.
 
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