Revenue myAccount - confused about claiming PRSA tax relief

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ClubMan

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I recently did a lump sum top-up of my PRSA and want to claim tax relief on it in respect of 2021 to bring me up to last year's age related tax relief percentage limit.
However I am confused about what I need to enter in the myAccount form - in particular the items in bold italics:
  1. Type of PRSA you are claiming for? Should I choose PRSA 1 Certificate or PRSA 1 (Net-Pay) Certificate? I don't have the certificate yet.
  2. Employment gross income: this is pre-filled correctly.
  3. Net Relevant Earnings: I presume that this is the "total" gross for last year which is higher than the previous figure due to PRSA contributions already paid and on which tax relief was granted through payroll?
  4. Amount paid to PRSA in 2021 on which relief has not already been granted: €0 (all previous contributions - employer and mine - went through payroll)
  5. Amount carried forward from a prior year, from which relief has not been obtained: €0 (I don't have anything carried forward)
  6. Amount paid between 1/1/2022 and 31/10/2022 for which relief has not already been granted and for which relief is being claimed for 2021: the amount of my recent lump sum payment
  7. Amount contributed by your employer to PRSA: is this the total paid by the employer in 2021?
If anybody can clarify I'd really appreciate it - thanks.
 
Relevant Earnings are.earning from a non-pensionable employment or taxable income from a self-employed trade or profession
Net Relevant Earnings are Relevant Earnings less any charges on income - for eaxample tax deductible covenant payments and maintenance payments or business losses or capital allowances in relation to trade or professional income
 
Thanks @jpd but that still doesn't really clarify.

The stuff that you're talking about above seems to be mainly related to business owners/self employed or something?
I was PAYE last year.
I have no idea what "non-pensionable employment" is.

I have three figures on the summary for this job:
  1. My "full" gross
  2. My gross for tax purposes which is #1 minus my PRSA contributions made through payroll
  3. My gross for USC which is the same as #1
I presume that for the PRSA tax claim my Net Relevant Earnings is #1/3?

I still have no idea about #7 above too.

I don't understand why Revenue don't make this simpler for punters by avoiding using so much jargon and by providing plain English explanations where necessary...
 
Non-pensionable employment is where your employer does not provide an occupational pension scheme

As your mentioned PAYE, then you were in an employment - does your employed provide a pension scheme?
 
It seems that you are using a PRSA as a pension scheme, either because your employer does not have an occupational pension scheme or if they do, you are not eligible to join, or you are using the PRSA to make an AVC (additional voluntary contribution)

I agree that pensions are complex and difficult to understand. Successive governments have added layer upon layer rather than starting afresh so it is not easy to explain in plain english how the various schemes work together or, indeed, don't work together.

The answer to Q.7 depends on the type of occupational pension scheme run by your employer
 
Thanks @jpd - yes, I was using the PRSA because an occupational scheme was not available to me. So that was the full extent of my pension coverage - it wasn't an AVC PRSA. As it happens, I left the job last year but I don't think that that's relevant here? The employer was making contributions (c. 5%) along with my own. Does that help to answer points #1/3/7?
 
Yes
1. II don't know the answer to this Prsa 1 or Prsa (Net Pay) 1 - sorry, but see below
3. Gross earnings
7. Hmm - I presume the amount your employer paid for the c. 5%

Operational Guidelines: SWI - PRSA Inspector's Guidelines

Operational Guidelines: SWI - PRSA Inspector's Guidelines.
www.gov.ie www.gov.ie
The PRSA holder is generally provided with a PRSA Certificate and with this certificate they can obtain one of the following from the Revenue Commissioners depending on the circumstances:

  • PRSA 1 (Net Pay) Cert - This is issued where employer deducts contributions from salary and must be given to the employer to enable him or her to operate the Net Pay arrangement
  • PRSA 2 (Net Pay) Cert - This is issued where a contributor is paying AVCPRSA Contributions from salary and must be given to the employer to enable him or her operate the Net Pay arrangement
  • PRSA 1 Certificate - This is issued where PRSA contributions are made directly by the contributor to the PRSA provider, that is Direct Debit or Cheque
Click to expand...
 
I figured it out by messing with the figures.
Far from obvious.
The form actually looks incorrect to me to be honest.
Thanks again @jpd for trying to help.
 
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