Attention all plumbers and anyone else in business – the Tax Office is asking if you have anything to declare.
The Revenue has launched its latest tax amnesty and it is aimed at plumbers and heating engineers.
It is named the Plumbers Tax Safe Plan (PTSP). This gives all plumbers the chance to disclose details of any under-declared tax or VAT to the Revenue and enjoy the benefit of reduced penalties. Any other business can also use this disclosure facility.
What are the benefits of using this disclosure?
The benefit of using this disclosure is greatly reduced penalties. The Tax Office can charge penalties of up to 100% of the tax due (200% if hidden offshore) if they find you have not declared all your income.
Using the disclosure opportunity, the following penalties are due:
- Innocent mistakes have zero penalty
- Careless errors attract 10% penalty
- Deliberate errors attract 20% penalty
You will also need to pay any tax due and will have to pay interest from the date the tax should have been paid until the date you do pay the tax.
When must you notify the Revenue of any errors?
You must notify the Tax Office by 31 May if you believe you have underpaid tax. A full disclosure of the arrears must be made by 31 August 2011. You will need a special reference number to make the disclosure.
Please contact me if you need help with making a disclosure.