Business Tax

Payroll Taxes. Employee and Employer Taxes. Pension Auto-enrolment. Benefit-in-Kind (BIK)

Budget 2026 was announced on Tuesday, 7^th October 2025.  From 1^st January 2026, the National Minimum Wage for people aged twenty and over will increase, by 65 cents, to €14.15 per hour.  Other changes for employees and employers include the following:

Small Benefit Exemption

• The Small Benefits Exemption enables employers to provide tax-free benefits of up to €1,500, per employee, per year.  The benefit must be in the form of a voucher which can only be redeemed in exchange for goods and services.  In other words, this exemption from PAYE, USC and PRSI only applies to benefits that cannot be exchanged for cash, such as gift vouchers or store cards.

• Please be aware that the Small Benefit Exemption cannot be combined with salary sacrifice arrangements.

For further information, please click: https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-05/05-01-01e.pdf

PRSI Changes

• Employee and Employer PRSI rates will increase by a further 0.15% on 1st October 2026.

• From 1^st October 2026, the employee PRSI rate will increase to 4.35%.

• The employer PRSI rate will increase to 9.15% where weekly income is €552 or less.

• For weekly salaries/wages in excess of €552, employer’s PRSI will increase to 11.40%.

For further information, please click: https://assets.gov.ie/static/documents/cb168977/PRSI_C20260116_Contribution_Rates_and_User_Guide_-_SW_14_-_English_Version_-_January_2026_.pdf-web.pdf

USC changes

From 1st January 2026, the 2% Universal Social Charge threshold will increase to €28,700.  This is in line with the increase in the national minimum wage. Therefore, If you earn €28,700 or under, your USC rate remains at 2%.

The amount of income liable to the 3%USC rate reduces from €42,662 to €41,344.

The 2% USC rate will continue to apply until 31st December 2027 for individuals holding a full medical card and whose total income for the year is €60,000 or less.

For further information, please click: https://www.revenue.ie/en/jobs-and-pensions/usc/standard-rates-thresholds.aspx

Benefit-in-Kind

• The universal reduction of €10,000 to the Original Market Value of company cars in categories A-D as well as to all vans, will remain for 2026, then reduce to €5,000 in 2027, €2,500 in 2028 and won’t apply in 2029.

• From 1^st January 2026 a new vehicle category (A1) is being created for zero-emission cars. BIK on category A1 cars will be calculated at between 6% and 15% of the cars OMV, subject to business mileage.

• From 1^st January 2026, the highest mileage band for the Benefit-in-Kind calculation will be reduced to 48,001 km.

For further information, please click: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

Auto-enrolment

From 1^st January 2026, the Pension Auto-enrolment scheme will start.

The National Automatic Enrolment Retirement Savings Authority automatically will determine eligibility based on Revenue payroll data.  Briefly:

• Employees aged between 23 and 60 years, who earn in excess of €20,000 per year and who are not already part of a workplace pension scheme (with payroll contributions) will be automatically enrolled into this system.

• Employees earning under €20,000 per year can opt in voluntarily.

• Currently self-employed individuals are not eligible for this scheme.

• From 1^st January 2026, employees and employers will each pay 1.5% of the gross salary into the scheme. This will be the case for three years.  After that the contributions will go up to 3% (in years 4 to 6), then 4.5% (in years 7 to 9) and then 6% from year 10.

• In addition to the employee and employer contributions, the government will top up the employee’s contribution. From 1^st January 2026, for every €3 an employee contributes, the employer will also pay in €3 with the State then topping it up by €1.  In other words, the government will top up the employee’s contribution by 1/3^rd.

• Employees can only opt out after six months of enrolment. If they decide to opt out their employee contributions are refunded. Employer and state contributions, however, will remain in their pension fund.

• Automatic re-enrolment into the scheme will occur after two years provided the eligibility criteria still apply.

For further information, please click: https://myfuturefund.ie/

Accounts Advice Centre Employment tax services work with our valued clients to ensure that all payroll compliance obligations are met in the most timely and cost effective manner possible.  We specialise in payroll, employee tax services and director tax services.  For further information and to deal with Payroll/Employment Tax Specialists, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Tax Credits. Budget 2026 Ireland. Income Tax. Personal Taxes. Tax Reliefs

Budget 2026 introduced a wide range of updates across Ireland’s tax system. The following Tax Credits and Reliefs are being extended:

1. The Rent Tax Credit is being extended for a further three years.  It is due to expire at the end of 2028.

For further information, please click link: https://www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/land-and-property/rent-credit/index.aspx

2. The income tax deduction for landlords retrofitting properties is extended for another three years.  It is available for works carried out up to 31st December 2028.

For further information, please click link: https://www.revenue.ie/en/property/rental-income/deduction-for-retrofitting-expenditure/index.aspx

3. The Income Tax Exemption for households which sell electricity from micro-generation back to the grid is extended for a further three years to 31st December 2028.

For further information, please click link: https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-07/07-01-44.pdf

4. The Mortgage Interest Tax Relief is being extended for a further two years. Relief will be available at the standard Income Tax rate, with the maximum 2025 relief capped at €1,250 per property and €625 per property for 2026.

For further information, please click link: https://www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/land-and-property/mortgage/index.aspx

5. The USC Concession for medical card holders will be extended until 31st December 2027.

For further information, please click link: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

6. The €5,000 Vehicle Registration Tax (VRT) Relief for new electric vehicles is extended until 31st December 2026.

For further information, please click link: https://www.gov.ie/en/department-of-finance/speeches/statement-by-minister-donohoe-on-budget-2026/

7. Employee Benefit-in-Kind Relief for employer provided vehicles (for cars in categories A-D and to all vans) is to be extended, on a tapered basis, until the end of 2028.

For further information, please click link: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

8. Special Assignee Relief Programme (SARP) has been extended by 5 years to 2030.

For further information, please click link: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

9. Key Employee Engagement Programme (KEEP) has been extended to 31st December 2028 subject to approval from the European Commission.

For further information, please click link: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

10.Foreign Earnings Deduction (FED) has been extended by 5 years to 2030.

For further information, please click link: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

Accounts Advice Centre provides a top tier level service for all personal income tax matters, from filing tax returns to offering specialist advice on complex taxation issues. We have over thirty years experience providing expert tax advice, tailored for individuals and their families. For a full professional taxation advice and compliance service, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Budget 2026. Business Taxes. Corporation Tax. R&D Tax Credits. Corporate Taxation. Capital Gains Tax.

Today, Tuesday, 7^th October 2025, the Minister for Finance, Paschal Donohoe and the Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, Jack Chambers presented Budget 2026.  In this series of articles, we have outlined some of the tax changes which we consider most relevant under the following headings (a) Personal Tax, (b) Business Taxes including Capital Gains Tax, (c) VAT, (d) Housing/Property, (e) Agri-taxation, (f) Investments and (g) Global Mobility and Employment.

BUSINESS TAXES

• As you’re aware, the Revised Entrepreneur Relief provides for a 10% rate of Capital Gains Tax on certain gains arising from the disposal of qualifying business assets. Previously, the lifetime limit was €1 million.  Today, the Minister announced that the lifetime limit on capital gains qualifying for CGT Revised Entrepreneur Relief will be increased to €1.5 million, from 1^st January 2026.

• A new exemption from the 1% stamp duty on acquisitions/transfers of shares in Irish registered companies is being introduced. It will apply to the shares of companies with a market capitalisation of below €1 billion that are admitted for trading on certain regulated markets. It will replace the existing stamp duty exemption for companies trading on the Euronext Growth Market.  The exemption is set to expire on 31^st December 2030.

• Previously, Special Assignee Relief Programme (SARP) was an income tax exemption for assignees of 30% of their relevant employment income between €100,000 and €1 million, provided certain criteria were met.  Budget 2026 extended the Special Assignee Relief Programme (SARP) for a further five years, to 31^st December 2030.   From 1^st January 2026, in order to qualify, new claimants of the Relief must have a minimum annual salary of €125,000.   This amendment will not affect existing claimants.  They can continue to avail of SARP, as before, in 2026 and further relevant years.  Finance Bill 2025 is expected to outline the simplification of certain relevant administrative requirements.

• Foreign Earnings Deduction (FED) relief has been increased to €50,000 from 1^st January 2026 and extended for a further five years, to 31^st December 2030.  The Philippines and Turkey have been included in the list of qualifying countries.  Finance Bill 2025 is expected to outline administrative amendments.

• The Key Employee Engagement Programme (KEEP), which was due to expire on 31^st December 2025.  Finance Bill 2025, however, will provide for an extension to this Income Tax exemption until the end of 2028, subject to European Commission approval.  KEEP provides for an exemption from Income Tax, Universal Social Charge and PRSI for any gain arising on the exercise of a share option by a qualifying individual in a qualifying company.

• Budget 2026 announced that the Research & Development (R&D) tax credit will rise to 35%.  The first year payment threshold will increase from €75,000 to €87,500.  An administrative simplification measure was also announced. This will allow 100% of an R&D employee’s emoluments as qualifying costs where at least 95% of that individual’s time is spent on qualifying R&D activities.  This update will provide more certainty and a reduction in administration for companies.

• The Digital Games Tax Credit, which provides for a 32% credit on qualifying expenditure up to €25 million, is being extended by six years to 31^st December 2031. Eligibility is being expanded to allow claims in relation to certain post‑release activities which are subject to qualifying conditions as well as EU approval.

• The Section 481 Film Tax Credit, which currently provides for a 32% credit on qualifying expenditure up to €125 million on certain productions, has been enhanced to provide a new 40% rate for productions with a minimum of €1m of eligible expenditure on relevant visual effects work, up to a maximum of €10 million eligible expenditure per production.  As the Film Tax Credit is an approved State aid, the enhancement measure will be subject to EU approval.

• Finance Act 2024 introduced a Participation Exemption for foreign dividends received, on or after 1^st January 2025, from subsidiaries in EU/EEA and double tax treaty partner jurisdictions.  Today, the Minister announced that several changes to the exemption will be provided for in Finance Bill 2025.  These include (i) broadening the geographic scope beyond dividends paid from subsidiaries in the EU/EEA and double tax treaty partners to include qualifying dividends received from jurisdictions that apply a non-refundable dividend withholding tax.  Other changes include (ii) reducing the period for which companies must have been resident in a jurisdiction within the geographic scope of the relief from five to three years, before paying a dividend, as well as (iii) providing clarification that the acquisition of a shareholding is not deemed to be the acquisition of a business asset for the purposes of the exemption.

• Following an extensive consultation, an action plan for the reform of Ireland’s taxation regime for interest was published today.  The primary request of stakeholders, arising from public consultation, was for a fundamental reform of the framework for the taxation and deductibility of interest.  The Action Plan sets out the timeline for phase one and nine other areas for potential reform under future phases are identified.  The main proposals put forward include: (a) an alignment of the tax treatment between trading and passive interest income, (b) the introduction of a renewed and simplified test for the deductibility of interest for corporation tax purposes as well as (c) the widening of the scope of interest deductibility to include ‘interest equivalents’.

• An extension to the Accelerated Capital Allowances schemes for energy efficient equipment until 31^st December 2030 was announced today.  This provides for an accelerated deduction of 100% in year one for business expenditure incurred on certain energy efficient equipment.

• The Accelerated Capital Allowances Scheme for Gas Vehicles and Refuelling Equipment was also extended to 31^st December 2023.

• The Minister announced that a public consultation on withholding tax will be launched soon to explore opportunities to modernise, digitalise and further expand the scope of withholding taxes.  A joint Department of Finance and Revenue public consultation is expected to be launched soon.

For further information, please click: https://www.revenue.ie/en/corporate/press-office/budget-information/current-year/budget-summary.pdf

At Accounts Advice Centre, we provide accurate and professional tax advice so you have the full and complete information you need to make the right decisions for you and your business.  We ensure your accounts and tax returns comply with the correct accounting standards and tax requirements.   To discuss what we can do for you with a qualified Chartered Tax Adviser, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Corporation Tax Returns. CT1 Forms. Business Tax Advisors. Tax Deadline

On 27th August 2025, Revenue updated the The Tax and Duty Manual Part 38-02-01 to include links to the following Tax and Duty Manuals:

1. Completion of Corporation Tax Returns Form CT1 2024
2. Completion of Corporation Tax Returns Form CT1 2023

If you require assistance filing your CT1 Forms, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Research and Development, R&D Tax Credit, Corporation Tax. Revenue Audits

The Research and Development Tax Credit provides a 30% tax credit for all qualifying R&D expenditure.  It increased from 25% to 30% for accounting periods commencing on or after 1^st January 2024.  There is expected to be a further increase in Budget 2026.  It’s important to keep in mind that this tax credit is available in addition to the corporation tax deduction available for expenditure incurred on R&D.  Therefore, this can result in an effective tax saving of 42½%; being a 12½% corporation tax deduction plus a 30% R&D tax credit.

So, what is Research and Development (R&D)?

The Revenue Commissioners have outlined criteria, in their guidelines, to enable companies determine whether their activities qualify for the tax credit.

According to Revenue’s most recent guidance material, “to qualify for the R&D Tax Credit, a company’s R&D activities must:

1. involve systematic, investigative or experimental activities

2. be in the field of science or technology

3. involve one, or more, of the following categories of R&D:

• basic research
• applied research
• experimental development

4. seek to make scientific or technological advancement and

5. involve the resolution of scientific or technological uncertainty.”

For further information please click https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-29/29-02-03.pdf

Qualifying R&D expenditure includes:

• qualifying operational R&D costs and

• qualifying R&D plant and equipment costs

• There is also a separate R&D tax credit in relation to buildings and structures.

Recent Amendments

• On 13^th January 2025, Revenue updated their guidance material. Section 766C TCA 1997 was amended to increase the first instalment threshold amount from €50,000 to €75,000, in relation to accounting periods commencing on/after 1^st January 2025.

• On 7^th July 2025, Revenue released a four part video, providing guidance on how to complete the R&D panels in the 2024 CT1 Form.

R&D Video Guidance

Did you know that the Revenue Commissioners have released a four part guideline video on the completion of the Research & Development (R&D) panels on the Form CT1 2024?

The videos focus on:

1. Part 1 shows you how to correctly complete the sections for grants and subcontractor costs.

2. Part 2 shows you how to complete the relevant panels on the Form CT1 in relation to instalments from 2022 and 2023. It also covers how to claim for carried forward amounts under section 766(4B) TCA 1997.

3. Part 3 shows you how to make claims under section 766C TCA 1997.

4. Part 4 shows you how to claim group relief. It also outlines some of the common errors in the R&D panels that may arise when completing the 2024 Form CT1.

Please click link: https://www.revenue.ie/en/companies-and-charities/reliefs-and-exemptions/research-and-development-rd-tax-credit/how-to-videos.aspx

Based on our professional experience, in recent years, the Revenue Commissioners are increasingly carrying out audits in relation to a R&D tax credit claims.  Accounts Advice Centre provides a full and comprehensive audit support service.  For further information, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

US Taxes, USA Business Tax provisions, One Big Beautiful Bill

On 4^th July 2025, the One Big Beautiful Bill Act (OBBBA) was signed into law.  It introduced several updates to federal informational reporting requirements.

1099-MISC and 1099-NEC

• It significantly raises the reporting threshold for payments made on Forms 1099-NEC and 1099-MISC.

• From 1^st January 2026, businesses will only be required to file a 1099 if their non-employee or miscellaneous income exceeds the threshold amount of $2,000.

• For those individuals working on a freelance or independent contractor/consultancy basis, it’s important to remember that you must report earnings, on your Form 1099-NEC, which have not been reported on form W-2.

• For consultants/contractors/freelancers is also important to keep in mind that while your clients won’t be sending you a 1099-NEC in relation to payments of under $2,000, you’re still responsible for reporting that income in your tax return.  For the client, however, it means that if they pay a contractor/consultant/freelancer less than $2,000 in a calendar year, the general rule is that they won’t be required to issue a Form 1099-NEC.

100% Bonus Depreciation

The One Big Beautiful Bill permanently restores the 100% bonus depreciation for qualifying business property placed in service, on/after 19^th January 2025.  Please be aware, however, if your business had a contract to acquire property prior to 20^th January 2025, the property will not qualify for the 100% bonus, even in situations where the actual acquisition happens after that date.

What is “Bonus Depreciation”?

It’s an additional first-year depreciation to incentivise businesses to invest in qualifying property.  

What does “placed in service” mean?

It means that the asset must be ready and available for its intended business use. For clarity, if you have purchased or financed equipment but it’s not ready and available for the intended business use, then it will not trigger the allowable deduction.

How is “qualifying property” defined?

Qualifying property includes property used in a trade or business or for the production of income and meets the following criteria:

• It must be tangible.

• It must be depreciable under the Modified Accelerated Cost Recovery System (MACRS)

• It must have a recovery period of 20 years or less.

• It must be placed in service after 19^th January 2025

• It can be purchased new or second hand.

• It includes computer systems, equipment, furniture, machinery, certain vehicles, etc.

• The phase-down percentages still apply to some assets, including property that was acquired on/before 19^th January 2025, even if it wasn’t placed in service until after that date.

• The Bonus Depreciation is not limited by taxable income.  Therefore, it can create or increase a net operating loss.

Enhanced Section 179 Deduction Limits

As you’re already aware, under Section 179 businesses can deduct the full purchase price of “qualifying property” during the tax year as opposed to capitalizing the expenses and depreciating them over several years. The new legislation introduced on 4^th July 2025, gives a major boost to the Section 179 deduction.  Under the previous limits for the 2025 tax year, businesses could only expense up to $1.25 million in qualifying property using Section 179.  Beginning in 2025 tax year, the increased deduction limit for certain depreciable business assets has doubled to $2.5 million.

With regard to the Higher Phase-Out Threshold, the deduction starts to phase out for total qualifying property costs over $4 million.  The previous limit was $3.13 million.

In summary, businesses can now deduct up to $2.5 million until their equipment purchases exceed $4 million.  Once purchases reach $6.5 million, the deduction phases out completely.

The OBBBA enhances section 179 expensing for tax years starting after 31^st December 2024.  This means that the changes will apply retroactively to qualifying property placed in service on or after 1^st January 2025.

What’s the difference between Bonus Depreciation and Section 179?

While you may think the 100% bonus depreciation is similar to a Section 179 deduction, you must keep in mind that Section 179 only allows eligible purchases up to $2.5 million to be fully expensed (with a phase-out once purchases exceed $4 million) while there is no dollar limit on the Bonus Depreciation.

For further information, please click: https://www.irs.gov/newsroom/one-big-beautiful-bill-provisions

If you are seeking a comprehensive and professional U.S. tax advisory of compliance service from U.S. Tax Specialists, including U.S. tax filing, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Income Tax Return. Filing Form 11. Self Assessment Personal Tax Returns. 31st October 2025 Filing Deadline

You will need to file an Income or Personal Tax Return on or before 31^st October 2025 if you are one of the following:

1. A self employed individual, someone working on a freelance/consultancy basis or a contractor.

2. A proprietary director i.e. a Director of a limited company who can control in excess of 15% of the ordinary share capital of the company, either directly or indirectly.

3. A Holder of an investment fund i.e. where an individual acquires a material interest in certain investment funds, that person may be deemed to be a chargeable person for that period. This means that they must file the relevant tax return and include details of the fund in that return.

4. If you receive income and gains in relation to certain investment funds.

5. If you have an eight year anniversary in relation to your investment fund.

6. A landlord with long term commercial or residential rentals.

7. An individual with short-term lettings including the provision of self-catering accommodation, Airbnb income, etc.

8. If you have deposit interest, dividend income, shares in lieu of dividends, foreign rental income, etc.

9. If you carry out professional services on which PSWT is charged.

10. If you have disposed of assets.

11. If you are a non-domiciled person who has remitted taxable foreign income or gains to Ireland.

12. If you have received, earned or generated income from any source, other than your Irish employment.

The tax return deadline is Wednesday 19th November 2025 for those that file their Tax Return and pay their associated Tax liability through ROS.

If you do not use ROS, then the tax deadline is 31^st October 2025.

In summary, you are required to:

• File your 2024 self-assessment Income Tax Return
• Pay the balance of your 2024 Income Tax liability and
• Pay your 2025 preliminary tax

On or before either (a) 31^st October 2025 or (b) 19^th November 2025 if you file through ROS

For further information, please click the link:  Revenue eBrief No. 088/25

For assistance in preparing your Income Tax Return by the 31st October 2025 deadline, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Revenue Compliance Intervention. Revenue Audits and Investigations. Revenue code of Practice. Income Tax, VAT, Employer’s Taxes, Corporation Tax.

Today, 9th April 2025, the Revenue Commissioners updated their guidance material in relation to the Code of Practice and Compliance.  Please click link: https://www.revenue.ie/en/self-assessment-and-self-employment/code-of-practice-and-compliance/index.aspx

As you’re aware, the Code of Practice for Revenue Compliance Interventions is a set of guidelines on how the Revenue Commissioners conduct compliance interventions.  It covers all aspects of compliance including your right to make a qualifying disclosure.

A qualifying disclosure must contain complete information and full particulars in relation to the tax liability arising under each relevant tax head.  It should be in writing and signed by the taxpayer and should also be accompanied by the correct tax payment plus corresponding interest.

Taxpayers are advised to make a qualifying disclosure to:

1. lower the level of tax penalty,

2. prevent the settlement from being published by Revenue and thereby avoid your name appearing as a Tax Defaulter, and

3. prevent prosecution as the Revenue Commissioners, generally, won’t initiate an investigation with a view to prosecution.

At Accounts Advice Centre, we have extensive, specialist experience in effectively handling Revenue enquiries. We manage all communications with the Revenue Commissioners in respect of the compliance intervention. We carry out health checks to identify areas for concern, prepare Qualifying Disclosures and seek to mitigate interest and penalties.  If you have received a Notification and require our help, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Income Tax Returns, Corporation Tax Returns, Level 1 Compliance Intervention, Revenue Non-Filer

As part of the Irish Revenue Commissioners’ Annual Non-Filer Programme, Notices will be sent to taxpayers who are currently registered for Income Tax or Corporation Tax but who have not filed Income Tax or Corporation Tax Returns for tax years up to and including 2023.  Tax Agents will receive a ROS Inbox Notification on 31^st January 2025 providing them with a list of clients who have been issued with a Reminder to File Notice.  Please be aware that this notice is what is deemed to be a Level 1 Compliance Intervention.

If you have received a Notice but you are no longer considered to be a “Chargeable Person”, the advice is to cancel your Income Tax or Corporation Tax registration as soon as possible.

For full information on who is deemed to be a “Chargeable Person” please click:

https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-41a/41a-01-01.pdf

According to Revenue’s “Reminder to file – Income Tax Return” Notice:

“This notice is a Level 1 Compliance Intervention in accordance with Revenue’s Compliance Intervention Framework. The non-filing of a required tax return by chargeable persons can result in a penalty charge and a more detailed review by Revenue. It is also an offence for which a person can be prosecuted. Further information on your rights and obligations under Revenue’s Compliance Intervention Framework can be found on www.revenue.ie.

In addition, if the tax return(s) is not filed it may lead to the loss or refusal of tax clearance.”

According to Revenue’s “Reminder to file – Corporation Tax Return” Notice:

This notice is a Level 1 Compliance Intervention in accordance with Revenue’s Compliance Intervention Framework. The non-filing of a required tax return can result in a more detailed review by Revenue. It is also an offence for which a person can be prosecuted. It can also result in the restriction of certain reliefs, and the loss or refusal of tax clearance. Further information on your rights and obligations under Revenue’s Compliance Intervention Framework can be found on www.revenue.ie.

For further information, please click:

https://www.revenue.ie/en/tax-professionals/tdm-wm/compliance/returnscompliance/it-and-ct-returnscompliance/income-tax-and-corporation-tax-non-filer-programme.pdf

If you receive a Level 1 Notification and you are required to file Tax Returns for outstanding years, please contact us at queries@accountsadvicecentre.ie

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.

Income Tax. Corporation Tax. Capital Acquisitions Tax. Capital Gains Tax. Local Property Tax. VAT. Pay and File Deadlines.

January is a very important month in terms of pay and file obligations.  To avoid exposure to interest and penalties, please find below a list of pay and file deadline dates for January 2025 under the following tax heads: Income Tax, Corporation Tax, VAT, Local Property Tax, Capital Gains Tax, Capital Acquisitions Tax, Dividend Withholding Tax and Professional Services Withholding Tax.

1^st January 2025

• 2024 Employment Detail Summary is available.

• The minimum Wage Increased to €13.50 per hour.

• Changes to USC – The 4% rate is reduced to 3% and the entry threshold increases to €27,382.01

• Changes to Rate Bands from €42,000 to €44,000 for individuals. Married couples and civil partners with one income will increase to €53,000 and married couples and civil partners with two incomes will increase to €88,000.

• Increases from €1,875 to €2,000 for Single Persons, Employee PAYE Tax Credit, Earned Income Tax Credits and Widowed Person or Surviving Civil Partner with dependent child(ren).

• Commencement of phased payments for Local Property Tax.

• Increases in VAT thresholds for goods and services. From €40,000 to €42,500 for services. From €80,000 to €85,000 for goods.

• The increased thresholds for Capital Acquisitions Tax: From €335,000 to €400,000 (Group Class A), from €32,500 to €40,000 (Group Class B) and €16,250 to €20,000 (Group Class C)

10^th January 2025

Latest date for paying Local Property Tax in full through an approved PSP, or by debit or credit card.

14^th January 2025

• Monthly Return and payment for PAYE, PRSI and USC for December 2024 – The payment date is extended to 23rd for users who pay and file via ROS.

• Quarterly Return and payment for PAYE, PRSI and USC for the period October to December 2024 – The payment date is extended to 23rd for users who pay and file via ROS.

• Return and payment of Dividend Withholding Tax for December 2024

•  F30 Monthly Return and payment of Professional Services Withholding Tax for December 2024

15^th January 2025

Monthly direct debit payments for Local Property Tax (LPT) start and continue on the 15th day of every month, thereafter.  Date extended to 21st March 2025 if paying by Annual Debit Instruction.

19^th January 2025

• Monthly VAT3 Return & Payment for December 2024.

• Bi-Monthly VAT3 Return & Payment for period 1^st November to 31^st December 2024.

• Four Monthly VAT3 Return & Payment for period 1^st September to 31^st December 2024.

• Bi-Annual VAT3 Return and payment for period 1^st July to 31^st December 2024.

• Annual VAT3 Return and payment for period 1^st January to 31^st December.

Return of Trading Detail:

• where the VAT accounting period ends between 1st and 31^st December and monthly VAT3 Returns are filed.

• where the VAT accounting period ends between 1st November and 31^st December and bi-monthly VAT3 Returns are filed.

• where the VAT accounting period ends between 1st September and 31^st December and four-monthly VAT3 Returns are filed.

• where the VAT accounting period ends between 1st and 31^st December and annual VAT3 Returns are filed.

For ROS filers, the time limit for filing a VAT return is extended to the 23rd day of the month.

1^st to 21^st January 2025

• Corporation Tax Preliminary Tax for Accounting Periods ending between 1^st and 28^th February 2025

• Corporation Tax Returns for Accounting Periods ending between 1^st and 30^th April 2024.

•  Corporation Tax Balancing payments due for Accounting Periods ending between 1^st and 30^th April 2024

For ROS filers, the time limit for filing a CT Return and/or payment is extended to the 23rd day of the month.

31^st January 2025

• Payment of capital gains tax for assets sold between 1^st December 2024 and 31^st December 2024

• OSS VAT return and payment for the period 1^st October to 31^st December 2024

• IOSS Monthly Return and payment due for period December 2024.

For VAT details, please click:

https://www.revenue.ie/en/vat/vat-registration/who-should-register-for-vat/vat-thresholds.aspx

https://www.revenue.ie/en/vat/vat-ecommerce/import-oss/index.aspx

For information on Standard Rate Bands and Tax Credits, please click:

https://www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/tax-relief-charts/index.aspx

For further information on Local Property Tax, please click:

https://www.revenue.ie/en/property/local-property-tax/paying-your-lpt/index.aspx

Please be aware that the information contained in this article is of a general nature.  It is not intended to address specific circumstances in relation to any individual or entity. All reasonable efforts have been made by Accounts Advice Centre to provide accurate and up-to-date information, however, there can be no guarantee that such information is accurate on the date it is received or that it will continue to remain so. This information should not be acted upon without full and comprehensive, specialist professional tax advice.