Do I have to declare extra income

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galwaymadden

Registered User
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I am in full time paye employment, i do a few extra jobs in the evening for another company. I get paid through the bank. Its only an extra 100 a week. Do i have to declare it? If i dont will i get caught out by the taxman?
 
How will they find out though? My mate did it for years and the only reason they found out was cause her nasty neighbour reported her
 
galwaymadden said:
How will they find out though? My mate did it for years and the only reason they found out was cause her nasty neighbour reported her
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It is not up to Revenue to find out. It is up to the taxpayer to declare it. Self-assessment for incomes outside of the PAYE net has been with us now for over 20 years. You would be surprised at the resources available to and methods applied by Revenue in digging out tax cheats. And as to the results, just look at the quarterly lists of defaulters published on Revenues site. Someone on 41% with an extra 5Kpa in taxable income is some 2Kpa in tax. After 5 years thats 10k. Interest and penalties on Revenue finding out would pretty much double the amount and more so it can add up.
 
the company will be claiming tax relief on your wages, so you can get caught that way. If you have an accident at work, you would have problems sueing them, if work in the evening was some sort of self employment, you could claim relief on valid expenses.
 
theengineer said:
the company will be claiming tax relief on your wages, so you can get caught that way. If you have an accident at work, you would have problems sueing them, if work in the evening was some sort of self employment, you could claim relief on valid expenses.
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How would I claim relief on expenses? or what would be valid expenses?
 
Expenses incurred "wholly and exclusively" for the purposes of the trade or profession. So for a carpenter, the cost of protective clothing & tools would be considered valid. For a beautician, the costs of makeup used on clients and other such products would be valid etc. Some expenses are allowed immediately such as phone, insurance etc. Expenses on capital items such as tools & equipment would be allowed over time ( 12.5%pa on present Revenue rules ) The expenses, backed up by appropriate receipts would be deducted from the income earned before filing the net amount as additional income for tax/prsi. There are quite a few previous threads on expenses here, do a search.
 
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