Don't miss a video! Subscribe to the channel for more tax tips and Irish specific finance content 🤝 Note: At 14:47 I state that, for Scenario 1, you shouldn't buy any additional shares in the company in the 4 weeks prior to sale. In reality, this wouldn't be necessary for two reasons: a) if you don't want to own the stock anymore you likely wouldn't be buying and b) if your intention was to sell your full holding, then buying 4 weeks prior to sale wouldn't make a difference. Halting your buying activity in the 4 weeks prior to realizing a loss-making investment is only necessary where your intention is to realize a loss-making PORTION of the investment (i.e. selling some but not all of the investment).
@malone_financial i have a question I have a house here in Ireland and want to move back to my home country I don't own any property in my country My parents own it If I sell now do I have to pay cgt? Thanks
I will be facing this very hurdle soon. My first thought was to do nothing and just not sell. The Irish government really needs to re-evaluate the CGT rate. 33% is daylight robbery!
Exactly! The govt take 33% of gains that you risked your own money to make and provide nothing in return, this seriously dissuades Irish investors and at least for me it makes countries like America more appealing to live in as their investment taxes are a lot more reasonable
@@shortsign You pay taxes in the country you are resident, unless your other country has a law that you must pay tax regardless where you reside, example is USA
Nice info mate, started investing a few months ago (knowing CGT was pretty heavy in Ireland). Ridiculous rate of tax for risking your own money to be completely honest
Ok this channel is now on top of my subs list. I know 0 about the financial world and investing but I decided to make it my priority from now on, and this is the kind of content I need.
Thanks for the video, the annual cgt allowance hasn't increaseed since we had the punt when it was £1000IR , it should be double or triple that now due to inflation This is another example of the Irish government screwing its own investor citizens with massive taxes , while letting foreign investors off with low / zero taxes- zero non domicile taxes unlimited time period, zero withholding taxes for foreign investors etc
I just moved home after being away for 10 years. Happy to have found this channel. I'm interested to learn more about ISA accounts for investing in stocks and shares.
In real terms CGT is far higher than 33%. It is derived from the value of something in 2002 with no allowance for the cumulative inflation of about 70% since. So if you bought something valued at 100k in 2002 and sold it for 150K in 2024 you would actually have lost 20K in real terms, but would still be liable for 16,666 in CGT. You don't even have to sell an asset it can be forced off you through Compulsory Purchase and you still have to pay CGT with no rollover relief.
Love your content- clear and concise. You would consider making a video about Irish citizens who set up limited companies offshore (eg in a jersey, Isle of Man) to avoid capital gains tax.
Good informational / educational video Dan. It would be really helpfull if you could provide link in the description to download the excel sheet where we can just play around with the values and learn how we can make the best out of it.
What about money on Binance and then withdrawn to a private wallet? Obviously it's not realized in digital asset form until I withdraw it to revolut or BOI but there is zero chance I'm paying 33%!!! I'm moving to Africa with my wife in 5-7 years...am I best off to stay in Bitcoin or tether?
Just reading something somewhere else about UK CGT. (Yes, I know it's a different jurisdiction). Apparently UK CGT threshold is 12K stg.....Merrion Street chancers!
Not sure if you are aware but the UK CGA drops from £12,300 to £6k in April 2023 and then to £3k in April 2024 - the Chancellor looking for more taxes....
@@malone_financial true though its probably going to impact property developers who might flip one or two properties a year as a job. Aldo when people close down ltd co's, the easy strike off route for under £25k also worked out well for splitting CGA between spouses. In addition dropping to just £3k in 2024 is going to have people selling S&S more often rather than accumulate larger gains. Going to be lots of unintended consequences to this move...
Hi Dan, great video. I’d love to see you do a video on the tax implications of owning stocks or an ISA while living in UK and then moving to ireland. Cheers!
Hi Malone! great content! here a questions. do i have to declare or tell revenue about my profit below 1270 Euros? for example. i started investing a couple of month ago and so far i got 300 euros profit for this current year. i know that i do not have to pay GCT but do i have to tell to revenue about them? do i have to fill up a form saying that i got 300 euros profit in the whole year (2024)
Lovely video Dan! Know its more of a political question but do you believe it's likely for the CGT rate in ireland to change? Quite surprised to see it so high given Irelands typical status as an investment magent although I guess thats primarily on the corporate side.Bbut surely *certain* companies presence in Ireland is pressuring the givernment to lower the rate to be competitive?
I don't foresee it happening anytime soon Ger. The State has an overreliance on corporate tax receipts as is. So the last thing the Exchequer needs is a reduction in capital taxes.
Depends on the country you want to open the company If it has double tax treaty it will be taxed in the country that you opened the company (usually) up to a certain annual amount Estonia is a easy and cheap one for example, but it is only a deferral of taxes
Hi can, could you answer me about one situation. If someone invested like15k but wanted to withdraw it within one month time the amount he invested and then continue with a small amount like 1k over the course of next year. Could that initial 15k are also taxable even one didn't have any significant benefit from it? Or CGT will only apply to 1k
@@malone_financial 5000 * (1.1914 ^ 5) =~ 12000 Yes, it's a simple formula just allowing a principle to accumulate allowing for no fluctuating variables, but I'm sure your figures were just to illustrate how to use the 1270 CGT allowance.
Dividends are taxed as income, if you are a sole trader and you earn over €40,000 they will hit you with a 52% tax on your dividends. Set up a limited company, talk to an accountant about your options.
@@kikiandjasmineI have a question. If you sell shares for a profit and pay capital gains tax on that profit surely you don’t have to pay income tax on that profit a-swell ??
Hi can, could you answer me about one situation. If someone invested like15k but wanted to withdraw it within one month time the amount he invested and then continue with a small amount like 1k over the course of next year. Could that initial 15k are also taxable even one didn't have any significant benefit from it? Or CGT will only apply to 1k
![BOWKYLION - วิงวอน (ex-change) [Official MV]](http://i.ytimg.com/vi/cLdnZWDaO-w/mqdefault.jpg)
Don't miss a video! Subscribe to the channel for more tax tips and Irish specific finance content 🤝
Note: At 14:47 I state that, for Scenario 1, you shouldn't buy any additional shares in the company in the 4 weeks prior to sale. In reality, this wouldn't be necessary for two reasons: a) if you don't want to own the stock anymore you likely wouldn't be buying and b) if your intention was to sell your full holding, then buying 4 weeks prior to sale wouldn't make a difference. Halting your buying activity in the 4 weeks prior to realizing a loss-making investment is only necessary where your intention is to realize a loss-making PORTION of the investment (i.e. selling some but not all of the investment).
Good Content bro, do you have excel template for this...
@malone_financial i have a question
I have a house here in Ireland and want to move back to my home country
I don't own any property in my country
My parents own it
If I sell now do I have to pay cgt?
Thanks
I will be facing this very hurdle soon. My first thought was to do nothing and just not sell. The Irish government really needs to re-evaluate the CGT rate. 33% is daylight robbery!
Exactly! The govt take 33% of gains that you risked your own money to make and provide nothing in return, this seriously dissuades Irish investors and at least for me it makes countries like America more appealing to live in as their investment taxes are a lot more reasonable
If you are a dual citizen but have no residency and never lived in Ireland do you still have to pay them taxes if you own crypto in your home country?
@@shortsign You pay taxes in the country you are resident, unless your other country has a law that you must pay tax regardless where you reside, example is USA
Nice info mate, started investing a few months ago (knowing CGT was pretty heavy in Ireland). Ridiculous rate of tax for risking your own money to be completely honest
Ok this channel is now on top of my subs list. I know 0 about the financial world and investing but I decided to make it my priority from now on, and this is the kind of content I need.
Thanks for the video, the annual cgt allowance hasn't increaseed since we had the punt when it was £1000IR , it should be double or triple that now due to inflation
This is another example of the Irish government screwing its own investor citizens with massive taxes , while letting foreign investors off with low / zero taxes- zero non domicile taxes unlimited time period, zero withholding taxes for foreign investors etc
I just moved home after being away for 10 years. Happy to have found this channel. I'm interested to learn more about ISA accounts for investing in stocks and shares.
Great video! Hope to see company tips series, I’ve like to use my company funds to make more, and not deprecate with inflation.
In real terms CGT is far higher than 33%. It is derived from the value of something in 2002 with no allowance for the cumulative inflation of about 70% since. So if you bought something valued at 100k in 2002 and sold it for 150K in 2024 you would actually have lost 20K in real terms, but would still be liable for 16,666 in CGT.
You don't even have to sell an asset it can be forced off you through Compulsory Purchase and you still have to pay CGT with no rollover relief.
Love your content- clear and concise.
You would consider making a video about Irish citizens who set up limited companies offshore (eg in a jersey, Isle of Man) to avoid capital gains tax.
Nice one Dan, thank you.👍
No problem, thanks for watching as always
Maith thú Dan, any chance you would do a video on tax strategies for sole traders in the service industry? 👍
More videos about the tax please. Thank you
Thanks for the suggestion Monika
Good informational / educational video Dan. It would be really helpfull if you could provide link in the description to download the excel sheet where we can just play around with the values and learn how we can make the best out of it.
What about money on Binance and then withdrawn to a private wallet? Obviously it's not realized in digital asset form until I withdraw it to revolut or BOI but there is zero chance I'm paying 33%!!! I'm moving to Africa with my wife in 5-7 years...am I best off to stay in Bitcoin or tether?
Just reading something somewhere else about UK CGT. (Yes, I know it's a different jurisdiction). Apparently UK CGT threshold is 12K stg.....Merrion Street chancers!
Indeed it is, but it's being reduced soon I believe
Not sure if you are aware but the UK CGA drops from £12,300 to £6k in April 2023 and then to £3k in April 2024 - the Chancellor looking for more taxes....
To be fair, £12,300 is a very high threshold for capital gains in my opinion. Not surprised it's coming down.
@@malone_financial true though its probably going to impact property developers who might flip one or two properties a year as a job.
Aldo when people close down ltd co's, the easy strike off route for under £25k also worked out well for splitting CGA between spouses.
In addition dropping to just £3k in 2024 is going to have people selling S&S more often rather than accumulate larger gains.
Going to be lots of unintended consequences to this move...
What about leaving Ireland for low tax country? how long are you liable after you leave?
Hi Dan, great video. I’d love to see you do a video on the tax implications of owning stocks or an ISA while living in UK and then moving to ireland. Cheers!
Will add it to the list!
Hi Malone! great content! here a questions. do i have to declare or tell revenue about my profit below 1270 Euros? for example. i started investing a couple of month ago and so far i got 300 euros profit for this current year. i know that i do not have to pay GCT but do i have to tell to revenue about them? do i have to fill up a form saying that i got 300 euros profit in the whole year (2024)
Yes you should declare it.
@@CAPTAINSARGE any idea how?
What about day stock traders who are doing option trading, swing trading etc, is only CGT 33% applicable ?
There is also a fee of selling stock and a fee of buying stock, or is there not? Transactions cost time and thus cost money, usually.
Lovely video Dan!
Know its more of a political question but do you believe it's likely for the CGT rate in ireland to change? Quite surprised to see it so high given Irelands typical status as an investment magent although I guess thats primarily on the corporate side.Bbut surely *certain* companies presence in Ireland is pressuring the givernment to lower the rate to be competitive?
I don't foresee it happening anytime soon Ger. The State has an overreliance on corporate tax receipts as is. So the last thing the Exchequer needs is a reduction in capital taxes.
great info thanks! have loads of realised losses to work with
No problem! Wishing you more success in the future
Or you could open a company in a tax advantage place with double tax treaty with Ireland 😊
Usually they have exemptions for smaller companies
How do u do that ? 😮
Depends on the country you want to open the company
If it has double tax treaty it will be taxed in the country that you opened the company (usually) up to a certain annual amount
Estonia is a easy and cheap one for example, but it is only a deferral of taxes
Surely you'd still end up paying CGT upon gifting or transferring the asset to that new company?
Hi can, could you answer me about one situation. If someone invested like15k but wanted to withdraw it within one month time the amount he invested and then continue with a small amount like 1k over the course of next year. Could that initial 15k are also taxable even one didn't have any significant benefit from it? Or CGT will only apply to 1k
How does one prove that the property is their primary dwelling and has been for at least the last three years?
@0:40 where's this 19.14% rate coming from and can we all have some of it? I have Warren and Charlie on the other line...
Hey Declan, not sure I follow! Where are you seeing a 19.14% rate?
@@malone_financial 5000 * (1.1914 ^ 5) =~ 12000
Yes, it's a simple formula just allowing a principle to accumulate allowing for no fluctuating variables, but I'm sure your figures were just to illustrate how to use the 1270 CGT allowance.
Hi, could you show how CGT is calculated when selling say €50k from a €1m stock portfolio.
How many shares you need to make 50 grand? say 100 shares. For how much you purchased the said shares? for $10. (100shares*$10= $1000)
Does it apply to dividends?
Dividends are taxed as income, if you are a sole trader and you earn over €40,000 they will hit you with a 52% tax on your dividends. Set up a limited company, talk to an accountant about your options.
@@kikiandjasmineI have a question. If you sell shares for a profit and pay capital gains tax on that profit surely you don’t have to pay income tax on that profit a-swell ??
@@adamoshea2793 You just pay Capital Gains on profits you make. Whereas, dividend income is taxed as income.
@@adamoshea2793 dont give them ideas
I'm curious if my questions inspired this video? =D
I'll leave that up to you to decide!
Hey Dan is it possible to message you directly?
Or just move to uk. The taxes are ridiculous here. Then even more laws to squeeze every last bit
So there’s no way to avoid it. The only option is the 1270 exemption.
Go to dubai, set up a business for 4500 euros. Employee your self and pay yourself a handsome wage tax-free.
Hi can, could you answer me about one situation. If someone invested like15k but wanted to withdraw it within one month time the amount he invested and then continue with a small amount like 1k over the course of next year. Could that initial 15k are also taxable even one didn't have any significant benefit from it? Or CGT will only apply to 1k