Do I need to do a tax return?

Filing your tax returns can be daunting. In some circumstances, you may need to complete a self-assessment with Revenue.ie. Here, we answer all your questions about how to file self-employment tax returns, PAYE tax returns, and whether you need to file a return in Ireland in the first place.

In Ireland, if you’re self-employed, or earn a rental income, investment income, or if you’re claiming tax credits or reliefs, you may be required to file a tax return through the self-assessment tax return system. You can file your tax returns online on Revenue Online Services (ROS) to calculate how much tax you need to pay on your income.  

If you’re employed (also known as Pay-As-You-Earn or PAYE), your employer will deduct income tax, social insurance (PRSI), and Universal Social Charge (USC) to pay the amount to Revenue.ie.

There are specific instances when you may be required to file a tax return, both as self-employed or PAYE individuals, including:

1. Self-employment: Those taxed under the self-assessment system, i.e., running their own business, freelancers, or contractors.

2. Non-PAYE income: If you’re earning income not covered under the Pay As You Earn (PAYE) system, like rental income or investments, you may also have to file a tax return.

3. Claiming tax credits, reliefs, or deductions: You might also have to file a tax return to request a refund if you’ve overpaid any tax or USC or fulfil liabilities if you’ve underpaid tax or USC. This also applies to declaring additional income.

4. Requested by Revenue Commissioners: In certain circumstances, you might be asked to file a tax return by Revenue Commissioners directly.

Self-assessment tax returns are mainly for self-employed individuals and if you’re taxed at source (PAYE), in most cases, you don’t have to file a tax return under the Irish tax system.

There are, however, certain exceptions to this rule. You might be asked to submit an income tax filing if you are a proprietary director, or if your taxable non-PAYE income exceeds €5,000 a year.

Irish tax returns may apply to you, if:  

• You fall under the self-employed category and need to file a self-assessment tax return.

• You are a proprietary director, or you have control over more than 15% of a company’s share capital, whether directly or through a spouse or partner.

• Your taxable non-PAYE income is more than €5,000 a year.

• Your gross non-PAYE income from all sources, before deductions, is more than €30,000 a year.

• You have earned a foreign income, such as foreign pensions, in Ireland.

• You earned rental income from property (including residential, office, or farmland).

• You opened a bank account in a foreign country, outside the Republic of Ireland, in the assessment year.

There are penalties for filing a late tax return. The amount will depend on your taxable income and the time passed:

Further to this, interest will be charged on the tax due at a rate of around 10% per annum.

Now that we have covered who needs to file a tax return, let’s talk about when you need to submit your forms.

The official deadline for filing tax returns in Ireland is 31 October 2024. However, it can be extended if you use Revenue’s Pay and File system to both pay and file through ROS (Revenue Online Service), and the extended Pay and File deadline is 14 November 2024.

Learn more about Irish tax return deadlines.

Need to file a personal tax return or income tax return? First, you have to register on Revenue Online Services (ROS), and complete the Revenue Form 11 online. Once your self-assessment is complete, the final step is to sign and submit your return via ROS.

Revenue.ie offers several ways to pay your taxes online via the ROS portal. You can set up a ROS Debit Instructions (RDI), a single debit instruction, direct debit, or pay through credit or debit card. 

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