Tax Liability/Penalty on Stock Options

[bulet74]

Over the last few years I have exercised and sold some stock options I received from my previous employer. However in my own stupidity/naivity I never paid the tax on these options.
The money is on deposit in my trading account in the U.S., the stockbrokerage firm does pay the tax due on any interest received on the cash deposits, and on the dividends received on shares still held.
My question is if I calculate the tax liability and send payment are the Revenue Commisioners likely to accept the payment, or re-assess the liability?

 

[ClubMan]

The money is on deposit in my trading account in the U.S., the stockbrokerage firm does pay the tax due on any interest received on the cash deposits, and on the dividends received on shares still held.

Are you sure that they deduct and remit your Irish tax liabilities and not witholding taxes that apply in the US and are paid to the IRS?! Did you ever fill in a W-8BEN declaration of non (US) residency which would exempt you from US witholding taxes?

My question is if I calculate the tax liability and send payment are the Revenue Commisioners likely to accept the payment, or re-assess the liability?

I presume you mean both the income tax liability on the exercise of any discounted options as well as the CGT on any gain arising from subsequent disposal of the shares? You should crunch the numbers and figure out what you think you owe. You should then run the numbers by an accountant (especially if the amounts involved are significant) to make sure that you are not under of over estimating your liabilities and so that you can get advice on how to legitimately mitigate or avoid any penalties and interest that might normally apply.