What does this mean in English? Working Abroad and Tax
Discussion
Hi Guys,
Hoping you can help, I've read this 10's of time and I cant for the life of me decide exactly what it means for my situation.
Background first: Left Ireland December 2014 and now living in Kuwait. We have holidayed and passed through Ireland a few times since leaving but no longer than 25 days.
We are toying with the idea of moving back to Ireland Feb/March time next year. My question is: Are we liable for tax on our earnings/savings that we have been transferring back to Ireland for the past year, and if so when will we no longer be liable to pay?
Source: http://www.revenue.ie/en/tax/it/leaflets/res1.html
Tests of residence
Test 1
The first tax residence test is that an individual is regarded as resident in the State for tax purposes for any tax year in which he or she spends 183 days or more in the State.
Test 2
Where the time spent in the State in a tax year is less than 183 days, then the second test comes into play. The second tax residence test is the 280 days two-year test and involves taking account of an individual’s presence in the State, not alone in one tax year, but also in the preceding tax year. Under this test an individual is regarded as tax resident in the State for tax purposes for any year in which he or she spends a total of 280 days or more in the State in the tax year and in the immediately preceding tax year. However, this test will not apply in any year that an individual is present in the State for not more than 30 days.
In both of the above tests, it does not matter if you come and go several times during the tax year or if you are here continuously. A count is made of the total number of days in which you are present in the State in each tax year.
Any help or opinion greatly appreciated!
J
Hoping you can help, I've read this 10's of time and I cant for the life of me decide exactly what it means for my situation.
Background first: Left Ireland December 2014 and now living in Kuwait. We have holidayed and passed through Ireland a few times since leaving but no longer than 25 days.
We are toying with the idea of moving back to Ireland Feb/March time next year. My question is: Are we liable for tax on our earnings/savings that we have been transferring back to Ireland for the past year, and if so when will we no longer be liable to pay?
Source: http://www.revenue.ie/en/tax/it/leaflets/res1.html
Tests of residence
Test 1
The first tax residence test is that an individual is regarded as resident in the State for tax purposes for any tax year in which he or she spends 183 days or more in the State.
Test 2
Where the time spent in the State in a tax year is less than 183 days, then the second test comes into play. The second tax residence test is the 280 days two-year test and involves taking account of an individual’s presence in the State, not alone in one tax year, but also in the preceding tax year. Under this test an individual is regarded as tax resident in the State for tax purposes for any year in which he or she spends a total of 280 days or more in the State in the tax year and in the immediately preceding tax year. However, this test will not apply in any year that an individual is present in the State for not more than 30 days.
In both of the above tests, it does not matter if you come and go several times during the tax year or if you are here continuously. A count is made of the total number of days in which you are present in the State in each tax year.
Any help or opinion greatly appreciated!
J
Edited by wolfy1988 on Sunday 1st November 17:50
wolfy1988 said:
Hi Guys,
Hoping you can help, I've read this 10's of time and I cant for the life of me decide exactly what it means for my situation.
Background first: Left Ireland December 2014 and now living in Kuwait. We have holidayed and passed through Ireland a few times since leaving but no longer than 25 days.
We are toying with the idea of moving back to Ireland Feb/March time next year. My question is: Are we liable for tax on our earnings/savings that we have been transferring back to Ireland for the past year, and if so when will we no longer be liable to pay?
Source: http://www.revenue.ie/en/tax/it/leaflets/res1.html
Tests of residence
Test 1
The first tax residence test is that an individual is regarded as resident in the State for tax purposes for any tax year in which he or she spends 183 days or more in the State.
Test 2
Where the time spent in the State in a tax year is less than 183 days, then the second test comes into play. The second tax residence test is the 280 days two-year test and involves taking account of an individual’s presence in the State, not alone in one tax year, but also in the preceding tax year. Under this test an individual is regarded as tax resident in the State for tax purposes for any year in which he or she spends a total of 280 days or more in the State in the tax year and in the immediately preceding tax year. However, this test will not apply in any year that an individual is present in the State for not more than 30 days.
In both of the above tests, it does not matter if you come and go several times during the tax year or if you are here continuously. A count is made of the total number of days in which you are present in the State in each tax year.
Any help or opinion greatly appreciated!
J
Did you spend more than 183 days in Ireland in any given tax year?Hoping you can help, I've read this 10's of time and I cant for the life of me decide exactly what it means for my situation.
Background first: Left Ireland December 2014 and now living in Kuwait. We have holidayed and passed through Ireland a few times since leaving but no longer than 25 days.
We are toying with the idea of moving back to Ireland Feb/March time next year. My question is: Are we liable for tax on our earnings/savings that we have been transferring back to Ireland for the past year, and if so when will we no longer be liable to pay?
Source: http://www.revenue.ie/en/tax/it/leaflets/res1.html
Tests of residence
Test 1
The first tax residence test is that an individual is regarded as resident in the State for tax purposes for any tax year in which he or she spends 183 days or more in the State.
Test 2
Where the time spent in the State in a tax year is less than 183 days, then the second test comes into play. The second tax residence test is the 280 days two-year test and involves taking account of an individual’s presence in the State, not alone in one tax year, but also in the preceding tax year. Under this test an individual is regarded as tax resident in the State for tax purposes for any year in which he or she spends a total of 280 days or more in the State in the tax year and in the immediately preceding tax year. However, this test will not apply in any year that an individual is present in the State for not more than 30 days.
In both of the above tests, it does not matter if you come and go several times during the tax year or if you are here continuously. A count is made of the total number of days in which you are present in the State in each tax year.
Any help or opinion greatly appreciated!
J
Edited by wolfy1988 on Sunday 1st November 17:50
Did you spend more than 280 days In Ireland in two successive tax years? If you did, did any of the period in which you were in Ireland exceed 30 days.
Eric Mc said:
Did you spend more than 183 days in Ireland in any given tax year?
Did you spend more than 280 days In Ireland in two successive tax years? If you did, did any of the period in which you were in Ireland exceed 30 days.
Hi Eric Mc,Did you spend more than 280 days In Ireland in two successive tax years? If you did, did any of the period in which you were in Ireland exceed 30 days.
Last year we were full time residents so more than 280. this year less than 30.
So more than 183 last year and more than 280 for the past 2 years = Means we are liable for tax right now BUT if we go back in 2016 as planned it would be less than 30 days in Ireland the previos year (2015) and none in 2016, thus not liable.....?
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