What tax should I pay on extra income I earn outside of normal employment?

[blackdiamond]

I work fulltime but also earn money in my spare time setting up websites and typing. Its only like an extra 2k for the past year but how should I declare this and how much tax would I have to pay? Would I have to pay PRSI?

 

[Graham_07]

I work fulltime but also earn money in my spare time setting up websites and typing. Its only like an extra 2k for the past year but how should I declare this and how much tax would I have to pay? Would I have to pay PRSI?

The additional income ( net of any allowable expenses) would be at your marginal rate of tax and, again depending on your other income, PRSI /Levies may be payable.

Of course this may also be affected by your other income on this other thread.

 

[webtax]

You can declare the extra income to your tax office and they can adjust your tax credits/srcop to take care of the tax due. This will spread your tax liability over the year, instead of you having to write a cheque to submit with a tax return. As graham_07 says, remember to deduct any allowable expenses from the income figure you give them.

 

[blackdiamond]

Great. Thanks a mill for your answers. Very helpful.