If a self-employed person with a small retail business takes 400 euro out of the business account each week as a wage. At the end of the year he would have withdrawn 20,800.
If at the end of the year the business has made a profit of 5k(i.e. after 20,800 wage + other expenses), does this mean his PRSI and income tax calculations should be done on 25,800, i.e. 20,800 + 5k?
Similarily, what happens if the business where to make a loss of 5k. What would the PRSI + Income tax be based on
Thanks!