Withholding Tax - Foreign Deposits

S class said:

The 5000 euro limit relates to class S Prsi. In the majority of cases class K is applied to bank interest.

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Is Class K not for politicians/public office holders, judges etc?

Harvard said:

Is Class K not for politicians/public office holders, judges etc?

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Yes, but it also applies to most people with earnings at class A, B, or D. They will be class K on bank interest.

Harvard said:

In theory if revenue deduct the prsi on foot of a form 11 there is nothing stopping someone from applying for a rebate from social welfare if under the €5K limit.

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I’m unclear on this. Can you expand on how you see this operating and who you see it applying to please? Also, what €5,000 limit are you referring to.

BrokeBroker said:

I'm kind of miffed I missed the BFF offer on Raisin with no withholding tax.

Trying to get a letter of residence from revenue, you'd swear I was trying to correspond with the pope.

Plus the revenue office locally no longer has a reception desk.

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This might be coming a bit late but may serve you for the next time. Its dead easy to get a letter of residence from Revenue directly or download it if you are registered for 'My Account' on the Revenue website. Hope this helps.

BrokeBroker said:

I'm beginning to feel like that other poster that felt this DTA is really potentially more hassle than it may be worth?

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It is if the WHT is more than the 15% (max) you can offset against the 33% Irish DIRT and you want to reclaim it. Hope you have the language skills to communicate with the country you'll be claiming it from! Best to stick with the investments that don't deduct WHT as you'll only have the Irish DIRT to contend with.

I really don't understand this at all.
I had a deposit with blue Or bank via Raisin in 2024. It has since matured and I closed the a/c. Blue Or bank deducted 20% witholding tax.
I understand Revenue will only give a credit for 15% when I file Form 11.
How do I go about seeking a refund from BlueOr bank for the remaining 5%?
I did not obtain a tax residence Form from Revenue.
Many thanks for any assistance.

Pmc365 said:

I really don't understand this at all.
I had a deposit with blue Or bank via Raisin in 2024. It has since matured and I closed the a/c. Blue Or bank deducted 20% witholding tax.
I understand Revenue will only give a credit for 15% when I file Form 11.
How do I go about seeking a refund from BlueOr bank for the remaining 5%?
I did not obtain a tax residence Form from Revenue.
Many thanks for any assistance.

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There's an explantion about this on the Raisin website..https://help.raisin.ie/hc/en-gb/articles/22952901534610-How-to-claim-a-withholding-tax-refund-from-the-Latvian-State-Revenue-Service-VID

Hey Guys

If you pay DIRT on a porteguese deposit account, do Irish Revenue give you a credit for that?

Many Thanks

You don't pay DIRT on the Portuguese deposit account - you pay a Portuguese withholding tax

If you read this topic you wiill see the answer to your question

jpd said:

You don't pay DIRT on the Portuguese deposit account - you pay a Portuguese withholding tax

If you read this topic you wiill see the answer to your question

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Sorry this thread isn't too clear, is it a tax credit is granted by Revenue for withholding tax portion paid that is above 15%?

You haven't read the thread properly

whiz said:

Sorry this thread isn't too clear, is it a tax credit is granted by Revenue for withholding tax portion paid that is above 15%?

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Any use?

The following happens.

If you invest 1000 euro @ for example 4% in the Portuguese Bank you get 40 euro interest after 1 year.

If you completed the Portuguese tax documents you will have 13% Portuguese witholding tax deducted at source.
So you receive net interest of 34.80 euro to your bank account

If you didn't send the Portuguese tax documents back you will have 28% Portuguese witholding tax deducted at source.
So you receive net interest of 28.80 euro to your bank account.

You are required by Irish Revenue to declare your gross foreign deposit interest. In both cases this is 40 euro.

You are required to then state how much foreign withholding tax was deducted at source.

Irish Revenue will then give a tax credits to a maximum of 15% foreign withholding tax.

You then pay 33% Irish dirt tax on the 40 euro interest
So 13.20 Irish dirt.

If you paid 28% Portuguese tax this is reduced to 13% after receiving the Irish revenue tax credits. So you pay 5.20 euro extra foreign tax.

If you paid 13% Portuguese tax this is reduced to 0% after receiving the Irish revenue tax credits. So you pay no extra foreign tax.

The person who returned the Portuguese tax documents finally gets net interest of 26.80 euro.

The person who didn't return the Portuguese documents finally gets net interest of 21.60 euro.

If you have deposits in other EU countries which don't deduct witholding tax this might occur...

Post in thread 'Portugal Deposit Tax'