Started renting my house in April 10 when do I start paying tax on income gained?

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I started Started renting my house in April 10 when do I start paying tax on income gained?

answers appreciated.
 
Oct 2011
But you will also have to pay preliminary tax for 2011.
Which will amount to 90% of the amount you anticipate owing for 2011...ergo what you owe for 2010 plus 30% (depending on your rent.)

The tricky thing about profit on renting as a layperson, is that the €€ you pay on your mortgage towards capital repayments....(as opposed to interest payments) isn't tax deductible. So your cashflow from your property (if any) is significantly less that the calculated profit.

So that tax bill can be quite significant compared to cashflow.
It should be easy enough to calculate how much you will have to pay in Oct...so start putting some aside from now on.

The revenue.ie website has a very good guide to rental income, allowable deductions etc.
 
Mommah said:
Oct 2011
But you will also have to pay preliminary tax for 2011.
Which will amount to 90% of the amount you anticipate owing for 2011...ergo what you owe for 2010 plus 30% (depending on your rent.)

The tricky thing about profit on renting as a layperson, is that the €€ you pay on your mortgage towards capital repayments....(as opposed to interest payments) isn't tax deductible. So your cashflow from your property (if any) is significantly less that the calculated profit.

So that tax bill can be quite significant compared to cashflow.
It should be easy enough to calculate how much you will have to pay in Oct...so start putting some aside from now on.

The revenue.ie website has a very good guide to rental income, allowable deductions etc.
Click to expand...

Exactly what I needed to know. Thanks a lot.
 
You can actually submit a return before Oct 2011...but that is the deadline...well Nov 16th (I think) if you pay on -line.

What I would do is submit your return in Jan/feb 2011 and arrange to pay by direct debit...eases the pain.
 
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