Rental Taxation

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Hi

 I heard from a friend that this is a good place for all kinds of financial/taxes advice.
 Here is my predicament- I no longer live in Ireland (as i had to immigrate due to lack of work) but have a house there. In order to retain my house I rent it out at a nominal fee- before leaving Ireland I inquired as to whether I should register my house or not and was told it is much of a muchness so I did not. :confused:
 My renter is now seeking to claim renters relief and has asked for my pps number. Can someone please tell me if I am worrying over nothing or if there are steps that I should be taking to ensure that I am in compliance with everything.
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 Any advice would be much appreciated.
 Thank you.
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while the green text is very touching its impossible to read clearly so pls fix it.

When did you start renting it out. you should have registered etcetc
 
Yes, you definitely need to register with Revenue as a non-resident landlord, and appoint a 'Collection Agent' to circumvent the obligation of the tenant to deduct 20% tax at source on your rents. You also need to register the tenancy with the PRTB. See PRTB.ie
 
Thank you so much I appreciate the information-
When my tenant claims this your should I expect a penalty for non registration?
 
Sign up to NPPR & PRTB
Register for taxes and appoint collection agent (family member might accept this non-active role)
Cancel TRS
File tax returns

When did you start renting the house out?
 
I have been out of the country for 1 and a half year and have rented it for that time period.
 
OK so what is primary residence? I do not own any property outside of Ireland and am struggling trying to pay the rent here! As I only own the property in Ireland can that be considered my primary residence??? In looking at some of the websites it looks like she would take 20% of the rent??? Does anyone know how much a year of rent relief is worth?
 
if you are thinking of offering them the relief as a rent reduction or cash---don't,,,,, as previously mentioned "appoint a 'Collection Agent' to circumvent the obligation of the tenant to deduct 20% tax"
 
The first thing you need to do and hopefully your first tenant is still in the property, is sign up to the PRTB. If you don't, you will not be allowed get a rental deduction in calculating your rental profit.

At this stage I think you need to get yourself an accountant/tax advisor who will sort this out for you, at least in the first instance.
 
Ham Slicer said:
sign up to the PRTB. If you don't, you will not be allowed get a rental deduction in calculating your rental profit.
Click to expand...

Ham Slicer - what do you mean about not being able to get a rent deduction in calculating rent profitif not signed up to PRTB?

Do you simply mean the cost of the PRTB is tax-deductible?
 
trg said:
Ham Slicer - what do you mean about not being able to get a rent deduction in calculating rent profitif not signed up to PRTB?

Do you simply mean the cost of the PRTB is tax-deductible?
Click to expand...
I presume that HS is referring to this?

http://www.revenue.ie/en/tax/it/leaflets/it70.html#section4

For 2006 onwards interest on money borrowed for the purchase, improvement or repair of rented residential properties is not deductible unless you can show that you have complied with the registration requirements of the Private Residential Tenancies Board in relation to all tenancies that existed in the particular premises in the chargeable period in question.
Click to expand...
 
trg said:
Ham Slicer - what do you mean about not being able to get a rent deduction in calculating rent profitif not signed up to PRTB?

Do you simply mean the cost of the PRTB is tax-deductible?
Click to expand...


means that you cannot deduct 75% of interest unless registered
 
trg said:
Ham Slicer - what do you mean about not being able to get a rent deduction in calculating rent profitif not signed up to PRTB?

Do you simply mean the cost of the PRTB is tax-deductible?
Click to expand...

Sorry, I meant to say "interest deduction" as outlined by Clubman and WindUp.
 
trg and the OP should look at the rental thread on this website and on sites like landlords.ie etc.

OP you absolutely must register for the PPRB and pay your NPPR. If you already have a social insurance number for tax purposes in Ireland you do not have to declare yourself to revenue, just make sure you keep all receipts and fill out your tax returns on time.

What do you mean by 'nominal' rent?
 
Bronte said:
If you already have a social insurance number for tax purposes in Ireland you do not have to declare yourself to revenue,
Click to expand...

As the OP is non-resident they are obliged to register with Revenue as a non-resident landlord and must also either nominate a collection agent to be responsible for their tax compliance, or suffer 20% tax deduction at source on their rents.
 
Is the Late fee paid for PRTB registration an allowable expense against the rental income
 
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