Revenue say I owe them €17k for TRS

[Bronte]

I found it wasn't as bad as i thought it would be once i got some advice. It felt good to finally take control of the situation and get it sorted.

I think this is the key point that the two posters in difficulty need to get their heads around. And until they do they will always be looking over their shoulder in dread.

 

[Bronte]

Sorry i should probably add details of what i was able to offset against my tax liability - for anyone in the same situation:


- Furniture depreciation (i'm not sure of what the percentage is but this is claimed every year)
- Expenses relating to any repairs carried out in the property or replacement/repair of any of the contents

- There was a loss for 2 of the years and this amount was allowed to be carried over to the following year. I don't fully understand exactly how this works but perhaps somebody else could elaborate on this.

The wear and tear allowance changed depending on which tax year, but you are always allowed to write off 100%. I think it's currently 12.5% for 8 years. Even if you don't have receipts, all you need to do is put a fair price on all the items of furniture in the property.

When you have a loss, it goes forward to the next tax year and therfore it's like another 'cost' in that year. It's most common at the beginning of a rental as your interest is higher than. Conversely as a lot of the newer By to Let's were purchased with cheap trackers it might not be the case.

 

[Elana10]

I've been renting out my original ppr for 5 years and only this year have had to pay €200. If you had been registered with the PRTB you could've offset 75% of the mortgage interest against any rental income received. You're allowed to offset expenses such as insurance, life insurance, capital allowance etc . That along with the 75% of mort interest might well have meant you'd owe little or nothing but no point saying that now.... If you lived in the house for periods during each year then you might fall under the rent a room scheme which allows you to earn up to €10,000 before any liability but you'd still have had to do returns . Hope it works out for you

 

[Aurora]

Sorry for ressurecting old thread but a friend has been hit with a large demand from revenue for return of trs. Where does she start. Can anyone recommend an accountant with good knowledge in this area. Preferably in the Dublin 15 area. Thank you in advance.