Quick PRSA question

[jigsaw]

Hi guys,

I just sent away a PRSA application form to Zurich and have a question about the tax relief.

Do I have to call revenue to avail of the tax relief or will it be applied automatically when my monthly payment start to be deducted?

Thanks guys

 

[ClubMan]

You need to ask your employer to facilitate tax relief at payroll on the PRSA contributions.

Hope this helps.

 

[Steven Barrett]

If you are doing it through a work arrangement, your employer will deduct the pension through your payroll. It is known as a net pay arrangement.

If you are doing it yourself, you have two options:

1. Send the PRSA Cert to the Revenue and have them adjust your tax credits. You pay the gross amount from your bank account but your net salary will be higher, so it has the same effect as the net pay arrangement.
2. Claim back all the premiums paid in 2017 by submitting a tax return in 2018.

Steven
www.bluewaterfp.ie

 

[ClubMan]

Do I have to call revenue to avail of the tax relief or will it be applied automatically when my monthly payment start to be deducted?

I was assuming that this implied that the PRSA contributions were to be made via payroll but admittedly it's not 100% clear from the original post.