- General Information
If you are a self-employed individual you must prepare a set of financial statements once a year which shows your business income less business expenses which leaves you with your taxable profit. It is this profit along with any other income you may have which will form the basis of your tax return.
The Revenue Commissioners apply the concept of “Self-Assessment” which in effect means that you are 100% responsible.
The figures in your returns filed will INITIALLY be accepted by Revenue, however the system has many checks and balances to it, and any returns for any taxes which are not in line with their expectations may be subject to a detailed review.
All businesses will have to register for income tax (see business start-up section); however you may also have to register for Payroll Taxes (PAYE/PRSI) if you have any employee’s.
Depending on your turnover and type of business you may be obliged to also register for V.A.T.
No matter what type of business you are in you will need to keep, at the very least, good basic accounts which capture your sales/purchases and monies paid/received.