Question 1

Do I need an accountant?

Accepted Answer

All businesses will benefit from advice on ways to minimise tax and manage their accounts. If you prefer, I can handle all of your bookkeeping, regular management accounts and VAT returns on your behalf. The added benefit for me being involved is that having prepared the books it makes the final accounts much easier, saving time and keeping costs to a minimum.

Question 2

How much should I pay my accountant?

Accepted Answer

It should be kept in mind that any cost will be more than offset by the benefit of having an accountant and the value it will add to the business. I will work closely with the business to achieve the goals of the business.

Question 3

Can I submit my own tax returns?

Accepted Answer

Any self employed individual can complete his own tax returns to Revenue but sometimes a person who doesn’t know all the tax rules could end up paying a lot more in tax than the fees they would incurr if they used the services of a good accountant. Furthermore by not worrying about the tax returns an individual can focus on running the business.

Question 4

Do I have to declare rental income?

Accepted Answer

Yes if you rental income is greater than €5,000 you need to register with Revenue for self assessment and declare it under Form 11. Anything under this is declared under Form 12.
There is rent a room relief if you rent a room in your home.

Question 5

When do I file my income tax return?

Accepted Answer

All self employed persons must submit a return to Revenue by the 31st of October of the year following the end of the tax year in question.

Question 6

Will I be fined if my return is late?

Accepted Answer

Many people do not file their returns on time and face potential surcharges from 5 per cent of the amount of tax due to 10 per cent if the return is more than two months late.