Tax on deposit accounts

S

Simpleton

Guest
I have recently received an assessment from Revenue for year ended 31 December 2003 and they have included deposit interest in my earnings. They have allowed me credit for DIRT paid at source but are they correct in taxing the difference between the two? I was under the impression that DIRT was the only tax payable on deposit interest?
 
You are correct

DIRT stopped satisfies all tax liabilities on that income

Stu
 
interest

Oilean,

Sorry for addressing you directly but can never understand why Revenue insist on getting this information if the tax liability has already been met by DIRT. Is there any particular reason that you are aware of?
 
PRSI?

Do you not have to pay PRSI on it?
Following the calculation guide with the Form 11, it seems to me that you do.
 
DIRT disclosure

I am not sure if it was always the case
It may have been taxed at higher rates in the past
(I'm only 29 can't remember the days of the really high rates of tax)

Also as Circle stated, there is PRSI due on it


Stu
 
Is that truly the end of it? I was under the impression that a tax payer had to declare the interest paid and pay tax on the interest at a rate of the difference between the DIRT rate and the taxpayer's own marginal rate. No?

Slim 8)
 
Slim,

No

On the tax comp or balancing statement the lower rate band is increased to account for additional income at 20%

Check your if you don't believe me

Stu
 
Re: prsi on deposit accounts

Any person insured as an employee but whose only other income is unearned income such as rents,interest,dividends is not liable to self employed PRSI on this unearned income.
However The health levy of 2% is due on all income
 
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