Is taxman informed of bank withdrawal of 5K+?

M

MBoyle

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If I withdraw 5,000Euro plus from any account, does the bank inform the taxman? I think this was introduced recently. Does anyone know if it was, or does anyone have any information on it?

Thanks in advance.
 
wow 2 hours waiting for a response, someone's impatient!

you could search the revenue site or the department of finance site.

i don't know if it's been introduced but even if the revenue were notified why would it be a problem?
it's your money that has presumably been subject to tax before being lodged to the account so taking it out would not create a new tax liability. there were money laundering provisions brought in a number of years ago but this was to do with lodging large amounts of cash not withdrawing.
 
Wait a minute I had a brainwave...........................Ring the Revenue and ASK them
 
Never heard of that.

I doubt it.


Sure there would be thousands of these tranactions every day.

I withdrew 48k in cash once, with not much bother.
 
From a tax perspective DIRT is deducted at source so the taxman gets his share before you do seeing as DIRT is deducted at source (
http://www.revenue.ie/en/tax/dirt/index.html).

There are money laudnering considerations that may bring transactions to the attention of Revenue.
WHEN MUST IDENTITY BE ESTABLISHED?
33. A credit institution is required under Section 32(3) of the Act to take reasonable measures to establish the identity of any person (including corporate and unincorporated bodies) for whom it proposes to provide any of the services set out in Appendix D (and any other activity which might in future be prescribed by the Minister for Justice, Equality and Law Reform):
(a) on a continuing basis (referred to subsequently in these Guidance Notes as, entering into a business relationship or opening an account), or
(b) in respect of individual transactions amounting to €13,000 or more or in respect of a series of transactions which are, or appear to be linked and which amount in aggregate to €13,000 or more (i.e. transactions of a one-off or occasional nature for persons who are not customers), or
(c) in any other case, irrespective of the amount, where it suspects that money laundering may be involved.
Click to expand...

Taken from: http://www.finance.gov.ie/viewdoc.asp?DocID=1210. Not sure if this is the current levels but it gives you some idea.
But I can't imagine its much of issue. I've never had any dealings with revenue and I regularly move money around.
 
withdrawals

AFAIK Bank are obliged to report any withdrawals where the official suspects there is money laundering or are suspicious of the transaction. This may be for any amount, not really limited to one cut off figure but obviously the bigger the transaction the more they wonder. This report goes to the Banks internal Money Laundering dept who decide what official dept to report it to. Same applies even more so to lodgments and they are obliged to establish where large lodgments came from so when you think that cashier is just being nosy they are really just doing their job, there are serious repercussions for staff that do not report suspicious activity on an account.
 
Thanks!

Thanks for your responses so far guys. Has anyone else any experiences or thoughts?
 
lodging money would be more unusual than withdrawing. Its logical to query a source of funds if a large sum is deposited, not as much for a withdrawl
 
You won't be due for any tax on a withdrawal from your own account if all your other tax affairs are in order. The only thing that would flag a withdrawal to revenue is if you pay it on to someone who is being investigated for non-payment of tax - you may be asked to verify the payment and why it was made in that case. Hope that helps!
 
In regard to the DIRT reference in a previous post i reckon taxman more interested in the capital rather than getting tax on the interest.
 
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