The background is as follows; I am married and we are both PAYE workers, my husband is the assessable spouse. I own an apt which is rented out.
I began renting my apt out in June 2011. The tax due was relatively small and was advised to fill out Form 12 in 2012 for the tax year 2011. The payments have been made through the PAYE system in 2013. For the tax year 2012 I believe that I should be regarded as a chargeable person and return Form 11. The scenario and figures are roughly as follows:
Tax year 2011 - Net income: €1100, Tax due: €580 (Form 12 and offset against husbands tax in 2013)
Tax year 2012 - Net income: €6000, Tax due: €2700 (Form 11 and payable Oct/Nov 2013)
Tax year 2013 - Net income: €6000, Tax due: €2700 (Form 11 and Preliminary tax payable Oct/Nov 2013)
It effectively means we will end up paying for 3 years of tax in 2013 which we cant afford...
Can anyone advise if there are any other options for us? Is there anyway we can continue using the the Form 12. I believe it is up to Revenue whether we should start using the Form 11 although there are guidelines set which states a max accessible income of around 3k, by any chance is this doubled if you are married?
Any advice would be very welcome as we are very concerned. Although I have used an accountant I would like a second opinion. I would prefer to do the accounts myself because cant afford the accountant anymore...
I began renting my apt out in June 2011. The tax due was relatively small and was advised to fill out Form 12 in 2012 for the tax year 2011. The payments have been made through the PAYE system in 2013. For the tax year 2012 I believe that I should be regarded as a chargeable person and return Form 11. The scenario and figures are roughly as follows:
Tax year 2011 - Net income: €1100, Tax due: €580 (Form 12 and offset against husbands tax in 2013)
Tax year 2012 - Net income: €6000, Tax due: €2700 (Form 11 and payable Oct/Nov 2013)
Tax year 2013 - Net income: €6000, Tax due: €2700 (Form 11 and Preliminary tax payable Oct/Nov 2013)
It effectively means we will end up paying for 3 years of tax in 2013 which we cant afford...
Can anyone advise if there are any other options for us? Is there anyway we can continue using the the Form 12. I believe it is up to Revenue whether we should start using the Form 11 although there are guidelines set which states a max accessible income of around 3k, by any chance is this doubled if you are married?
Any advice would be very welcome as we are very concerned. Although I have used an accountant I would like a second opinion. I would prefer to do the accounts myself because cant afford the accountant anymore...