Remittance Basis of Taxation
Submitted by bdoieadmin on Tue, 2010-11-16 17:31
With effect from 1 January 2010, the remittance basis of taxation relating to foreign income will now only apply to individuals who are not domiciled in Ireland.
This amendment will affect Irish citizens taking up residency in Ireland after a period of time abroad.
Prior to this proposed amendment, Irish individuals who were not ordinarily resident (i.e. not tax resident for three consecutive years in Ireland) were only taxable on Irish source income and foreign income to the extent it was remitted during the first three years of their residency.
These individuals will now be taxed on their worldwide income from the first year they become Irish tax resident.
At BDO we have a team of experts in assessing your tax status with regards to:
- Residence
- Ordinary Resident
- Domicile.
Talk to us, contact a member of our Tax team.