Paying my own tax

Melion

I started a job last week and am now apparently listed as a sole trader. The lad in the office said i had to nominate someone to look after my taxes.
Basically i havent a clue what he is on about, what i should be doing etc so can someone fill me in, im absolutely clueless about things like this.

Tde

http://www.revenue.ie/en/index.html

Mr. Incognito

what type of job did you start?

I see a lot of employers trying to tell people they are self employed these days when they are paying them a wage to avoid employers PRSI and PAYE and that- there is a guide to self assessment in the stickies which covers this.

Melion

Aircraft spray painter. Im down as a contractor rather than permanent staff.

Dixie Chick

You need to

1) Register as self employed by filling out form TR1. This mean that you are going to be taxed for Income Tax as you are no longer in the PAYE system.

2) Read up about self employed individuals on the revenue website. Basically you need to file a Form 11 tax return for each tax year based on the net profit of the money you earn less any allowable expenses. This form then tells you the balance of tax you owe to the revenue.

If you speak to any other of the contractors ask are they all doing their own accounts or if they have a tax advisor. If ye all are in the same boat and not sure what to do, it may be worth yeir whle to approach an accountant and ask him to take care of all of yeir affairs and ask for a discount seeing as he is getting the business of a few people.

My main advice to you though,would be to set up a monthly direct debit to the Collector General as soon as youu begin earning this income. Then, when the time of your tax bill comes, you at least have something paid towards it.

wishful thinker

Dixie Chick wrote: »

You need to

1) Register as self employed by filling out form TR1. This mean that you are going to be taxed for Income Tax as you are no longer in the PAYE system.

2) Read up about self employed individuals on the revenue website. Basically you need to file a Form 11 tax return for each tax year based on the net profit of the money you earn less any allowable expenses. This form then tells you the balance of tax you owe to the revenue.

If you speak to any other of the contractors ask are they all doing their own accounts or if they have a tax advisor. If ye all are in the same boat and not sure what to do, it may be worth yeir whle to approach an accountant and ask him to take care of all of yeir affairs and ask for a discount seeing as he is getting the business of a few people.

My main advice to you though,would be to set up a monthly direct debit to the Collector General as soon as youu begin earning this income. Then, when the time of your tax bill comes, you at least have something paid towards it.

+1

also, expenses you incur in doing your work are tax deductible.