A
adviceplease5
Guest
Hi
Im a bit confused and would appreciate if someone could clarify this for me?
In an effort to help employees budget for the new tax regime from 1 Jan 2004 (whereby PAYE and PRSI are collected on non-cash benefits which must be taxed through the payroll system in the month in which the benefit is paid) and delay the tax payment date, my company has said it will pay a full year’s subscription of a VHI subscription to run from Jan 04 to Dec 04.
The company said that for 2004 they will need to declare the VHI for 2003 and 2004 as both subscriptions are being paid in the 2003 tax year. This will mean that for employees the income tax due on these benefits will be delayed from 31 January 04 to 31 Oct 04.
They have said that the tax for the VHI paid for in 2003 i.e. VHI subscription for 2003 and 2004 will be due in my tax return on or before 31 Oct 2004 and this tax liability must be settled with my tax office.
So I have to pay tax and PRSI on 2 full years of VHI before next Monday(all of 2003 and 2004)?? Is this correct?
I rang the tax office and they said I would only be liable for one year although I'm not sure had all the details above,
thanks
Im a bit confused and would appreciate if someone could clarify this for me?
In an effort to help employees budget for the new tax regime from 1 Jan 2004 (whereby PAYE and PRSI are collected on non-cash benefits which must be taxed through the payroll system in the month in which the benefit is paid) and delay the tax payment date, my company has said it will pay a full year’s subscription of a VHI subscription to run from Jan 04 to Dec 04.
The company said that for 2004 they will need to declare the VHI for 2003 and 2004 as both subscriptions are being paid in the 2003 tax year. This will mean that for employees the income tax due on these benefits will be delayed from 31 January 04 to 31 Oct 04.
They have said that the tax for the VHI paid for in 2003 i.e. VHI subscription for 2003 and 2004 will be due in my tax return on or before 31 Oct 2004 and this tax liability must be settled with my tax office.
So I have to pay tax and PRSI on 2 full years of VHI before next Monday(all of 2003 and 2004)?? Is this correct?
I rang the tax office and they said I would only be liable for one year although I'm not sure had all the details above,
thanks