Revenue has been very active in the construction industry in recent months, with a number of contractors receiving unannounced on-site visits from Revenue. Revenue are focusing on, proper operation of eRCT, HRI (Home Renovation Incentive) and VAT Reverse Charge Systems, classification of employees and subcontractors and the correct operation of PAYE.
From January 2016, there will be a new “Revenue Site Identifier Number” (SIN) mandatory field in the Contract Notification process in the eRCT system. Each contract will require a SIN when the Contract Notification process is being completed. The SIN is a system-generated identifying number which is applied to the location or locations where relevant operations are due to take place under a particular contract.
Income arising to an individual in respect of the letting, for residential purposes, of a room or rooms in his/her home, including income arising from the provision of meals or other services supplied in connection with the letting, is exempt from income tax, PRSI and USC where the income is below€12,000. Revenue has clarified however that, income from the provision of accommodation to occasional visitors for short periods does not qualify for the relief as, the visitors use the accommodation as guest accommodation rather than for residential purposes.
If you think you may have a tax liability in this regards, speak to us today.
Revenue has issued the following advice:
Private Property Owners
• Property owners whose principal private residence has been flooded and who are in receipt of assistance through the Department of Social Protection Humanitarian Relief Fund can apply to have their 2016 LPT payment deferred regardless of whether they qualify for deferral under the normal criteria. Property owners should contact the LPT Helpline on 1890 200 255 to make the relevant arrangements.
• Business owners who have suffered flood damage to their premises and who are in receipt of assistance from the Government Support for Small Business Fund, via the Red Cross, should contact the Collector-General’s office on 1890 20 30 70 to agree additional time to file returns and make payments or to agree suitable phased payment arrangements.
The Revenue Commissioners continue to roll out their Contractor Project. This ‘project’ has expanded from a Munster initiative to an National review of COntractors accounts and tax returns. Revenue have successfully challenged the tax returns of many contractors since the project began and have recovered significant amounts of underpaid taxes.
Noone Casey have been to the forefront of negotiations & discussions with Revenue as to the scope & impact of their audits.
We are hosting a seminar in early September to bring the Contractor community up to speed on the latest Revenue audit issues.
Register your interest in attending the Seminar with Ruth at 6766 476
Further details of the seminar will issue over the next 2 weeks.