As the Pay & File deadline of November 16th has just slipped by, we wanted to provide our clients and friends with an urgent reminder on a possible issue that may have slipped notice in the haze of the approaching deadline.
Those who have not yet complied with their Local Property Tax (LPT) obligations may find themselves facing a nasty shock in that they may incur a 10% surcharge on their income tax liability as well as Capital Gains Tax (CGT) liabilities.
With this in mind, it is essential to bear this in mind when filing tax returns and to keep LPT at the forefront of your mind during this time. There is also an option to enter into a payment plan to pay any outstanding LPT or associated Household charges. Being involved in such a payment plan will also ensure that you do not find yourself facing this additional surcharge, which as well as being an unpleasant and unexpected cost, can be somewhat of a headache to solve and/or figure out a solution to.
It is important to note that no surcharge will apply if you are liable for no LPT or if your existing liability is due only to a late filing charge. The charge will, however, apply if your other tax is filed on time, but you have defaulted on a LPT payment.
Full details on this can be found at: www.revenue.ie/en/tax-professionals/tdm/local-property-tax/part-07/07-02.pdf
We hope that this information has been useful for you and as always, please don’t hesitate to contact us here at EcovisDCA where we remain open and ready to help. Please do not hesitate to contact us.