Q I am not able to afford broadband so I can’t claim PAYE and medical expenses online. Can I post my receipts, and will Revenue send my tax rebate by cheque, as in the past?
A Revenue said it appreciates that not everyone is able to avail of, access or use online services. In such circumstances, taxpayers can still correspond with Revenue by post or telephone.
Its national PAYE (pay as you earn) helpline number is (01) 7383636. Revenue said PAYE employees who are not in a position to file an income tax return online can complete a paper version of the form.
You can request a paper income tax return by calling Revenue’s forms and leaflets ordering line on (01) 7383675. Alternatively, if you can use email you can request a paper return by emailing [email protected] with the appropriate details (PPSN, type of return/forms required, etc).
Where a PAYE employee makes a claim for health expenses via a paper income tax return, he or she is required to keep all original receipts for six years, Revenue said. Receipts are not required to be submitted at the time the claim is made, but they may be requested if the claim is subsequently selected for a verification check.
A PAYE employee can receive a tax refund by cheque if there are no bank details on his or her Revenue record. If Revenue has existing bank details on record from information provided previously by the taxpayer, unless it is told otherwise, this is the payment method that will be used for issuing any refunds due.
The tax authority says all Revenue’s online services can be accessed via mobile devices such as smartphones or tablets and are fully responsive when accessed using mobile data. If this is an option you can manage your tax online through the PAYE Services facility in myAccount.
Registration is at www.revenue.ie/myaccount.
Q In 2005 I paid over €100,000 for an apartment due to be built in a non-EU country. I declared this on my tax return as I was due to receive rental income from the property. The apartment was never built and despite taking successful legal action, along with many other Irish investors, no refund or compensation has been received from the developer. Can I set off the loss on the property against some capital gains made on the sale of shares?
A We put this to the consumer tax manager of Taxback.com Marian Ryan. She said it sounds like what she called a ‘negligible value’ claim. However, there are legal issues around this as we don’t know if the reader owns the land or anything at all.
On the assumption that the reader has proof to show that he owns the land or apartment, it may be possible to file a negligible value claim. But Ms Ryan said it is very hard to get this approved by Revenue.
You must have substantial evidence to back your claim, she said. The Taxes Consolidation Act makes provisions for “the complete destruction or extinction of an asset”.
The asset is treated as a disposal for Capital Gains Tax (CGT) purposes, even where no capital sum is received by way of compensation or otherwise.
This may give rise to a loss, or a gain, if compensation is received. If the Revenue inspector is satisfied that the value of an asset has become negligible, a loss may be allowed, Ms Ryan said.
The loss is computed as if the asset had been sold for an amount equal to the value specified by the owner in the claim. She added that in general, CGT losses can be banked and offset against future gains.
In claims like this for negligible value, such a loss is allowable only in the year of the claim. In practice, a claim made within 12 months of the end of the year of assessment will be admitted.
Q My health insurance is up for renewal and it has gone up in cost since last year. The insurer gave us a refund last year but it has now got that back and more. Can you suggest some good value plans?
A Here are three that are good value, according to Dermot Goode, of TotalHealthCover.ie.
He listed Laya Inspire at €1,220 per adult and €301 per child (includes day-to-day cover); VHI PMI 5210 at €1,218 per adult and €319 per child (also includes day-to-day cover); Irish Life Health 4D Health 1 at €1,205 per adult and €312 per child (includes one free personalised package).
Mr Goode advises people should not be afraid to switch insurer, should never auto-renew their cover, and should consider taking on a small excess to reduce costs.
