You may have your annual return completed at this stage and found your tax bill a little to high !
With increases due to the universal social charge and reduced tax credits your tax bill will get higher !
However, there are ways which your accountant can employ to reduce this bill.
Listed below is a sample of what can be done….
If you need further information on these items contact our office for a free consultation.
Tel 071 91 47580
Mob 087 4199204
14 Quay St Sligo
1. Employ a family member – make use of all family members tax credits who are not working and therefore reduce your liability by up to €4,000.
2. Form a partership with your spouse if they have no income, to stop your profits being taxed at the higher rate and save up to €6,000.
3. E learning – save up to €1,200 by having an allowance for a relative doing some valuable research on line for you !!
4. Pension – despite the bad press, choose a pension which is minimal risk, and reduce your annual tax bill.
5. Employers – know the different tax class’s in regard to PRSI – paying over €356 a week instead of €355 will cost you an addition €400 in PRSI alone !!
6. Keep all your medical expenses and claim them in the MED 1 form
7. Keep all your church / charitable donations and claim them as an expense.
8. If you work from home for your business either partly or fully, remember some of the house hold bills can be written off as a business expense. This could include light and heat, insurance, telephone bills, broadband etc
9. Seed capital relief – This scheme which runs to 2013 is designed to encourage those set up in business after they cease employment. Relief is given as a refund of PAYE for the 6 years previous to ceasing employment and the maximum relief is €91,440.
10. Get a good accountant !