Revenue declarations and shares

E

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I'm looking into the possibility of buying shares using an app like Degiro or Bux Zero. I'm intending simply to buy and hold permanently with a view to building up a portfolio and either selling once I retire or possibly simply collecting dividends if any are forthcoming. Since my strategy will be to sit on anything I buy long term, I'm wondering if I am required to make yearly declarations to the Revenue about what I may be holding, or if I only need to declare to them if I either collect dividends or sell at a profit. Or do I need to declare also if I sell at a loss?
 
You have to declare purchases, income from dividends, tax deducted, if any, and gains/losses when you dispose of them - so generally you will have to file a Form 11 every year
 
Declaring purchases is a bit of a fake requirement. In practice, it makes things easier to track, but most people ignore it with no consequences.
 
If the intention is to buy and hold, then the tax implication would typically be just making sure you declare the dividends each year.
 
Gordon Gekko said:
Declaring purchases is a bit of a fake requirement. In practice, it makes things easier to track, but most people ignore it with no consequences.
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I didn't think that there was even a way to declare purchases? Aren't Revenue only interested in payments and returns for tax events such as capital gains/losses on disposal and dividend income?
 
ClubMan said:
I didn't think that there was even a way to declare purchases? Aren't Revenue only interested in payments and returns for tax events such as capital gains/losses on disposal and dividend income?
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Yeah, there is, jpd has shared it above. Most people don’t bother with it. The biggest advantage is probably that it acts as a record for yourself.
 
I'd be wary of filling in a field that it seems most people don't bother with. I'd prefer to deal with Revenue asking me why it's empty than risk arguing with them over the figure provided.
 
If ever you are audited, then leaving it empty could be taken as an indication that you have something to hide

I fill it in if I have made any share purchases, but I agree that it is a pretty meaningless piece of data for most people. presumably, if you purchase an assset worth 10,000,000 and have income of 20,000 then you are inviting questions
 
jpd said:
presumably, if you purchase an asset worth 10,000,000 and have income of 20,000 then you are inviting questions
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If you do, Revenue will know about it from long before you're required to complete a tax return.
 
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Thanks for the information, guys. I assume you just put the total price of shares you've bought over the course of the year on the form above and send it back to them? I'm assuming the point is so the Revenue can see that the amount of money you're spending on shares is not out of whack with the amount of income you're earning.
 
Revenue have changed their mind on the declarations a few times over the years. Personally I've declared my purchases once - when I first bought each type of EFT I invest in - and I have the PDF saved where they said the initial purchase to be declared. They get all the purchases electronically anyway from the brokers, tied back via the PPS number.
 
Do I understand it correctly..."Chargeable assets acquired in 2021" must be filed on or before 31Oct2022 to avoid late penalty?

I ask because I will need to complete a Form 11 for this year, 2022, so I have until 31Oct2023 to file, correct?
 
I can't imagine you would ever be penalised for not returning the list of chargeable assets acquired on time, or indeed, at all. I suspect most people just ignore this section
 
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