Tax Advice | Financial Advice from HC Financial

Tax Consultancy

Expert Advice for all your tax questions & requirements

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Self Employed/Self Assessed

Self assessment applies if you are self employed, a company director or a trustee or personal representative.

Failure to meet your tax obligations can result in significant interest and penalties. We are here to help you complete your tax return, calculate your tax liability and advise you on what payments are due. Self assessment does not generally apply people who pay tax through the PAYE system

What you are required to do

Under self-assessment you must file your tax return on or before 31 October in the year after the year to which the return relates.

You are required to:-

file your return for the previous year
make a self-assessment for that year
pay the balance of tax for that year
pay preliminary tax for the current year.

You must self-assess when filing your annual tax return. An exception is made where you file a paper return on or before 31 August in the year after the year to which the return relates.

>> More information on Self Assessment from Revenue:

How can HC Financial help you

Call us on 091 788000

Email: admin@hcgroup.ie

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Rates and Bands for 2018 – 2020

PERSONAL CIRCUMSTANCES	2020	2019	2018
Single or widowed or surviving civil partner, without qualifying children	€35,300 @ 20% Balance @40%	€35,300 @ 20%, balance @ 40%	€34,550 @ 20%, balance @ 40%
Single or widowed or surviving civil partner, qualifying for Single Person Child Carer Credit	€39,300 @20%, Balance @40%	€39,300 @ 20%, balance @ 40%	€38,550 @ 20%, balance @ 40%
Married or in a civil partnership (one spouse or civil partner with income)	€44,300 @ 20%, Balance @40%	€44,300 @ 20%, balance @ 40%	€43,550 @ 20%, balance @ 40%
Married or in a civil partnership (both spouses or civil partners with income)	€44,300 @ 20% (with an increase of €26,300 max), balance @ 40%	€44,300 @ 20% (with an increase of €26,300 max), balance @ 40%	€43,550 @ 20% (with an increase of €25,550 max), balance @ 40%

Note: The increase in the rate band is capped at the lower of €26,300 or the income of the lower earner. This increase cannot be transferred between spouses or civil partners.

Capital Acquisitions Tax (CAT)

CAT is a tax on gifts and inheritances. You may receive gifts and inheritances up to a set value over your lifetime before having to pay CAT.

Capital Acquisitions Tax is charged at 33% on gifts or inheritances made on or after 5 December 2012 (the rate was formerly 30%). This only applies to amounts over the group threshold. At HC our expert advice and experience in this area will ensure you avail of all reliefs and allowances available in order to limit your CAT liability. We will ensure you pay your CAT on time ensuring no penalties or interest charges are incurred.

Gifts become inheritances if the person dies within two years of giving the gift.

What do you pay CAT on?

Some items regarded as a gift or inheritance include:

cash
jewellery or a car
house or lands
stocks and shares
the use of a property for free, or for less than it is
worth
an interest free loan
a life interest or a right of residence in a property.

You may also have to pay discretionary trust tax on property held in discretionary trusts.

What do you Not pay CAT on?

You do not pay CAT on a gift or inheritance if either:

it is given to you by your spouse or civil partner
the total is below that group threshold amount (when its value is added to previous gifts and inheritances in the same group).

You do not pay CAT on a gift with a value of €3,000 or less from any one person in any one year.

Call us on 091 788000

Email: admin@hcgroup.ie

Peace of Mind for you and your loved ones
We are here to help you!

Important Dates in the Tax Calendar for 2020

01 January	Income tax – First day of the new tax year.
01 January	Local Property Tax – Commencement of phased payments.
10 January	Local Property Tax – Deadline for payment in full or confirmation of payment method to Revenue.
15 January	Local Property Tax – Commencement of direct debit payments.
31 January	Capital Gains Tax-Payment due on gains 1 December 2018 and 31 December 2018.
21 March	Local Property Tax – Single Debit Authority deduction from bank account.
31 March	Income Tax-Deadline for Return of Share Options and other rights for 2019 Income Tax-Deadline for claiming Separate Assessment for 2020 Deadline for nominating Assessable Spouse or Nominated Civil Partner for 2020
31 October	Income Tax Preliminary Tax 2020 Pay balance for 2019 liability Return of income for 2019 Capital Gains Tax Return of capital gains for 2019
01 November	Local Property Tax – Valuation and property ownership date for 2019.
15 December	Capital Gains Tax: Payment due on gains arising between 1 January 2020 30 November 2020.
31 December	Income Tax – Last day of tax year.

Corporate Tax Compliance

Corporate tax compliance can be highly complicated as there are constant changes in tax legislation and increased reporting requirements.

Companies resident in Ireland must pay CT on their worldwide profits. These profits include both income and capital gains. Non-resident companies that trade through a branch or agency in Ireland must also pay CT. The CT that a company pays is charged according to Income Tax rules. Chargeable gains are calculated in accordance to Capital Gains Tax (CGT) rules.

At HC Financial our Tax Advisors will work with your company to provide a specific corporate tax compliance service for you.

Our Services Include:

Advice on the tax obligations surrounding corporation tax filing and payments
Preparation and submission of tax return to Revenue
Dividend planning
Capital Gains Tax planning
Undertaking compliance reviews for corporate taxes, VAT and PAYE
Dealing with Revenue enquiries and audits
Capital Allowances reviews
Share Schemes such as KEEP (Key Employee Engagement Programme)
IXBRL services for financial statements
Redundancy Advisory Service and supports

Call us on 091 788000

Email: admin@hcgroup.ie

Peace of Mind for you and your loved ones
We are here to help you!

Capital Allowances & Deductions

A company can claim certain costs and expenditure against its profits to reduce the amount of tax it pays. These expenses do not include business entertainment expenses or items of capital expenditure.

Capital expenditure is money a company spends on buying or maintaining land, buildings or equipment.

Capital allowances

A company may claim capital allowances on capital expenditure it incurs on certain types of business assets and business premises. Capital allowances are generally calculated on the net cost of the business asset or premises. There are different rates available depending on the type of asset. A company can claim capital allowances on:

plant and machinery
motor vehicles
industrial buildings
transmission capacity rights
computer software
specified intangible assets.

A company can claim capital allowances at a rate of:

12.5% over eight years for plant and machinery and
4% over 25 years for most industrial buildings.

A company can claim an Accelerated Capital Allowance (ACA) of 100% for the following:

Energy efficient equipment including electric and alternative fuel vehicles
Gas vehicles and refuelling equipment
Equipment in a creche or gym provided by the company to its employees.