How is the tax due on rental income collected?
Profit rent is taxed on an actual tax year basis. For individuals taxed under the PAYE system with rental profits that are relatively small it can be arranged to have the tax collected by reduction of their tax credits and standard rate cut-off point. Otherwise, the tax due will be collected under the Self Assessment system. Leaflet IT 10 Guide to Self Assessment gives full details. This is available at
www.revenue.ie, from Revenues Forms and Leaflets Service at LoCall 1890 30 67 06 or any Revenue office.