# Undeclared income - using for House deposit



## Nulla (5 Jul 2007)

Hi,
I have in the past had undeclared income, both here and the UK, which I have saved to use for a deposit for a house. I am currently paying tax on all incomes now. But I am worried that the deposit may raise interest with the revenue as it is apx €60,000 should I be worried ?


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## bacchus (5 Jul 2007)

yes, big time.


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## ubiquitous (5 Jul 2007)

Anti-money laundering authorities may be notified by banks and/or other parties to the transaction if they suspect that the money may not be above board.


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## ClubMan (5 Jul 2007)

Aren't all transactions above c. €12,700 notified as a matter of course and transactions below that too if the institution has cause for suspicion?


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## KalEl (5 Jul 2007)

Nulla said:


> Hi,
> I have in the past had undeclared income, both here and the UK, which I have saved to use for a deposit for a house. I am currently paying tax on all incomes now. But I am worried that the deposit may raise interest with the revenue as it is apx €60,000 should I be worried ?


 
If you're looking for advice on how to defraud the Revenue, i.e. your fellow compliant taxpayers, you've definitely come to the wrong place.


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## CCOVICH (5 Jul 2007)

ClubMan said:


> Aren't all transactions above c. €12,700 notified as a matter of course and transactions below that too if the institution has cause for suspicion?


 
Yes-estate agents fall under the relevant legislation.


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## so-crates (5 Jul 2007)

Practically most deposits paid on houses are likely to be over that limit ... as it is a normal, frequently occurring transaction in this country and the money probably built up in his savings account over a long period in small amounts would it look any different to any other house deposit? Am I right in thinking that it being notified doesn't mean it would be investigated just that it might be? Otherwise revenue must spend an awful lot of time tracking down the source of savings for deposits given the active housing market we have had. I don't think that it is right to avoid taxation it is a necessity that it is paid, I am just speculating that although the act of paying a deposit for a house might result in a large one-off transaction and notification it would be readily accepted as normal, particularly if the savings were built up over a long term.


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## CCOVICH (5 Jul 2007)

If you pay by cheque/draft drawn on an Irish (and possibly EEA?) bank, then the amount won't arise suspicion as the funds would be deemed to be clean.

If you arrive with cash, it would be unusual if someone wasn't asking questions.


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## KalEl (5 Jul 2007)

CCOVICH said:


> If you pay by cheque/draft drawn on an Irish (and possibly EEA?) bank, then the amount won't arise suspicion as the funds would be deemed to be clean.
> 
> If you arrive with cash, it would be unusual if someone wasn't asking questions.


 
Am I the only one who finds discussing ways for the OP to fly under the radar questionable?


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## Nulla (5 Jul 2007)

Sorry, don't get me wrong, most of this money came from redunancy payment and genuine savings of taxed income - however I have had small additional incomes from time to time which were cash in hand and I am worried about them now.


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## ClubMan (5 Jul 2007)

I guess _CCOVICH _is just stating fact and not necessarily encouraging or condoning evasion.


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## ClubMan (5 Jul 2007)

Nulla said:


> Sorry, don't get me wrong, most of this money came from redunancy payment and genuine savings of taxed income - however I have had small additional incomes from time to time which were cash in hand and I am worried about them now.


Just a little bit of tax evasion? Ah sure why didn't you say - that's OK then...


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## CCOVICH (5 Jul 2007)

KalEl said:


> Am I the only one who finds discussing ways for the OP to fly under the radar questionable?


 
I am pointing out the facts as they stand-I have not discussed any way for the OP to 'fly under the radar'.

And I don't make a habit of doing so-please recognise that.

Should they declare income earned in the UK?  Yes.


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## KalEl (5 Jul 2007)

CCOVICH said:


> And I don't make a habit of doing so-please recognise that.


 
I do...just wouldn't like to see the knowledge/opinions of posters used in a perverse way.


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## Nulla (5 Jul 2007)

Ok thanks, guess I should just sort out with revenue etc.  Don't know how to go about this though as it is going back 4 years and as I say it was cash in hand payments.  Thanks for your help


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## ubiquitous (5 Jul 2007)

Nulla said:


> Sorry, don't get me wrong, most of this money came from redunancy payment and genuine savings of taxed income



If you had said this on your original post, rather than implying there that all the €60k was undeclared income, you might have avoided having other posters waste time making what now turn out to be irrelevant comments.


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## roker (12 Jul 2007)

Your conscience will never be clear. The tax man just give me a bill of €500 from 16 years ago and I thought I was clear because I had used an accountant then. You will dread every letter with a harp on it that comes through the door. Pay up now, and they will still find something.


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## ubiquitous (12 Jul 2007)

roker said:


> The tax man just give me a bill of €500 from 16 years ago and I thought I was clear because I had used an accountant then.



When? Just now, or recently? I would be surprised if it is enforceable given the state of their records & systems in the early 1990s. Have you asked them to write it off, or is it a cut & dried issue?


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## z103 (12 Jul 2007)

> Ok thanks, guess I should just sort out with revenue etc. Don't know how to go about this though as it is going back 4 years and as I say it was cash in hand payments.



Be very careful how you approach this. I wouldn't recommend dealing with these people directly. Go through someone with experience dealing with them.

Once you are on their radar, they are ruthless. They love easy targets.


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## capall (12 Jul 2007)

Nulla said:


> Hi,
> I have in the past had undeclared income, both here and the UK, which I have saved to use for a deposit for a house. I am currently paying tax on all incomes now. But I am worried that the deposit may raise interest with the revenue as it is apx €60,000 should I be worried ?




I wouldn't worry about it,I've never heard of anyone been asked to account for their deposit money to the revenue.


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## room305 (13 Jul 2007)

capall said:


> I wouldn't worry about it,I've never heard of anyone been asked to account for their deposit money to the revenue.



I guess that's okay then. As long as you've never heard of it happening.


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## HighFlier (13 Jul 2007)

Having bought and sold a number of properties over the years, it is not unusual that after the property is registered you will recieve a letter from the revenue asking you to demonstrate where you got all the funding for the purchase. Then you better have a good story because they will check it out.


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