A non-resident landlord is someone who owns a rental property in the Republic of Ireland but is living abroad. Non-resident landlords must declare all income from Irish rental property to the Irish Revenue Commissioners.
They must also select one of the following options for managing tax on their rental property:
1. Tenant Tax Withholding
2. Appoint a Collection Agent
Prior to 1 July 2023, the tenant would deduct and pay 20% withholding tax to Revenue and provide proof with a form R185 to the landlord. The landlord files their personal tax return and claims credit for tax withheld.
Alternatively, the Collection Agent* takes responsibility for filing the personal tax return and arranging tax payment on behalf of the property owner but is not obligated to withhold tax on the rent received.
* (typically someone the landlord trusts, like a friend or family member or a professional such as a letting agent)
Tenants or the Collection Agent must now:
The landlord must now:
Contracting PLUS can help Landlords navigate the new system and can help prepare and file your personal tax Return (Form 11).
As the new system is arriving mid-year there may be a requirement to file two tax returns.
If the property is jointly owned, then each owner may need to file two tax returns for 2023 for the one property. If the landlord(s) has other income to be taxed in Ireland, then this will need to be included and our tax experts can advise.
Contracting PLUS provides proactive, accounting and tax advice for smart independent professionals. If you are an independent professional, contractor, or freelancer in need of proactive accountancy and tax advice, talk to us today, on 01 6110707.
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