Should I register for self-assessed tax?

There are many reasons why you may need to register for self-assessment tax (by completing a TR1 form or TR1 (FT) form).

These include if you:

• are self-employed
• receive income from non-Pay As You Earn (PAYE) sources, for example:

- rental income
- investment income
- foreign income including foreign pensions
- maintenance payments
- fees that are exempt from PAYE

• have profited from share options or share incentives
• are a director of an Irish company

Although company directors are always chargeable persons, it is Revenue practice to exclude the following:

• Directors of dormant companies
• Directors of companies in which they own 15% or less of the share capital

In other words, even if you are an employee in the PAYE system you may need to pay tax through the self-assessment if you earn non-PAYE income.

You do not need to register for self-assessment if:

• you only have PAYE income
• your taxable non-PAYE income does not exceed €5,000 and is taken into account in calculating your tax credits and standard rate cut-off point for PAYE purposes. It may also be taxed at source, providing the gross non-PAYE income does not exceed €30,000 (in these cases you must submit a Form 12).