Import Quickbooks data into Xero


If you are currently using Quickbooks or another desktop software package and would like to import your data into Xero we can help. With our partners we have developed a script which will convert your data into a file which can be easily imported into Xero. This process can save your business time and money whilst minimizing the disruption of changing software packages.

To get a personalised quote please fill in your details below

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Revenue Defaulters List Q1 2011 Analysed

I’ve been reviewing the latest revenue defaulters list for Q1.(The list below relates only to cases were settlements were made. The court cases are a different file) In terms of settlements there’s a big geographical difference with €2M collected in Wexford and only €34K collected in Kerry

There’s obviously still investigations going on into bogus non resident accounts with the €2.2Million in fines relating to bogus non resident accounts, Although the firm favourite with tax defaulters is under decleration of income tax with €6.5million in fines relating to this tax head.

If you’d like to see if any of your neighbours feature on the list its available here

Tool to convert AIB .csv file for Xero importation

One of my clients has grown impatient of waiting for Yodlee to set up bank feeds for his AIB business account; So he has developed his own tool to convert .csv files downloaded from AIB’s business banking into .csv files which can be uploaded into Xero.

The tool is available at http://xero.kro.ie/ if you would like .csv files from another bank to work on the tool please feel free to send an example of the file to xero@domybooks.ie and I will convince him to set it up. (PLEASE change personal data on the .csv file before sending it into us)

Civil servants pay cut

I’m reading this article in the Sunday business post http://www.thepost.ie/news/ministers-move-to-cut-pay-of-top-public-servants-56874.html it relates to ministers cutting the pay of top civil servants. This is all well and good; the pay should be in line with the private private sector, My concern is the actual number of civil servants. An example is the revenue commissioners. (Whom I must point out generally give us great customer care) Recently the revenue has decided to sub contract the paying of VRT to the NCTs.

There was 3400 2nd hand cars imported in April this year.What are the staff who previously processed these cars in the revenue doing now? We paid the VRT on a car this week and there was only a cursory inspection of the tax disc and mileage. No mechanical or safety inspection was made.

Wolters Kluwer Tax & Accounting acquires Twinfield

Wolters Kluwer Tax and accounting yesterday issued a press release announcing they have acquired the dutch provider of SAAS accounting Twinfield. Twinfield has 80,000 clients and is one of Europeans largest online accounting solutions.

Riverwoods, IL. (June 14, 2011) – Wolters Kluwer Tax & Accounting today announced the
acquisition of Twinfield, a Dutch-based pioneer and market leader in online accounting software,
serving professionals in the Netherlands, UK and Scandinavia. Through this acquisition, Wolters
Kluwer expands and complements its existing offering of advanced software solutions for
accountants and finance professionals in SMEs in all the western European markets it serves.
Twinfield will become part of the European activities of Wolters Kluwer Tax & Accounting, the
global market leader in tax, accounting and audit solutions and services.
With more than 80,000 administrations managed online via Twinfield software, it is an undisputed
leader in online, SaaS-based collaborative accounting solutions in Europe. The acquisition further
advances Wolters Kluwer Tax & Accounting’s strategy to expand its offering of software solutions that
contribute to the productivity of accountants and SMEs in Europe. It also responds to the growing
demand for ‘Software as a Service’ (SaaS), applications, enabling Wolters Kluwer to further build out its
SaaS business model to meet customer demand.
“Through continuous investment and innovation, Wolters Kluwer has advanced its position as the
European market leader in information and software solutions for finance professionals and SMEs,” says
Henri Van Engelen, Managing Director of Wolters Kluwer Tax & Accounting Europe. “This acquisition
strategically expands our offering of state-of-the-art accounting software solutions. It also uniquely
positions us as the only provider today capable of offering both information and software solutions to
accountants and SMEs in the Dutch market.”
“We are very pleased to be joining Wolters Kluwer. This acquisition allows Twinfield to remain focused
on our core competency: offering accountants and finance professionals in SMEs the best online
accounting solution. At the same time, with Wolters Kluwer’s global reach and commitment, we can
further strengthen and expand the Twinfield product offerings and SaaS delivery,” said André
Kwakernaat, founder of Twinfield.
Terms of the acquisition are not being disclosed. Twinfield was founded in 2000. The company’s head
office is in the Netherlands and it has two branches in the United Kingdom and the Ukraine. Twinfield
has 75 employees

Full press release here
http://hugin.info/130682/R/1523108/459178.pdf

Tax treatment of locums




The tax treatment of locums has been topical with the revenue for the last year or so. There have been a number of audits particularly to out of hours doctor services.

The revenue have published some information in tax briefing 82 which clarifies the situation. Its important to remember that is a complex area of taxation and getting it wrong can be costly.

If you have any queries or would like any assistance on this subject please do not hesitate to contact Do My Books on info@domybooks.ie or 01-4800531

1. Background
Revenue, in conjunction with the Department of Social and Family Affairs and the National Employment Rights Authority (as appropriate), will continue to focus on the issue of employed v self-employed across a multiplicity of sectors for the foreseeable future.

The purpose of this article is to set out Revenue’s position as regards the status (employed or self-employed) of individuals described, correctly or otherwise, as ‘locums’ in the fields of medicine, health care and pharmacy.

2. ‘Locums’
The term ‘locum’ (and, in particular, as regards engagements in the fields of medicine, health care and pharmacy) now appears to be a colloquial term used to cover a wide and disparate range of engagements and, perhaps, to describe non-permanent appointments or engagements.

Notwithstanding that an individual may, in relation to an engagement, be described, correctly or otherwise, as a ‘locum’, Revenue’s approach is to examine cases having regard to the Code of Practice for Determining Employment or Self-employment Status of Individuals and having regard to relevant case law on the subject of contract of service (employed) and contract for service (self-employed).

3. Code of Practice for Determining Employment or Self-employment Status of Individuals.
This is not a Revenue Code of Practice. It has its origins in the Employment Status Group (set up under the Programme for Prosperity and Fairness) which sought to provide clarity as to whether, in relation to an engagement, an individual is employed or self-employed. As outlined in the Code, “that group was set up because of a growing concern that there may be increasing numbers of individuals categorised as ‘self employed’ when the ‘indicators’ may be that ’employee’ status is more appropriate”.

The Code of Practice was updated in 2007 with the assistance of –

Irish Business and Employers Confederation
Construction Industry Federation
Small Firms Association
Irish Congress of Trade Unions
Department of Social and Family Affairs
National Employment Rights Authority
Department of Enterprise, Trade and Employment
Revenue Commissioners
The Code does not espouse a “one cap fits all” approach but rather stresses that “it is important that the job as a whole is looked at, including working conditions and the reality of the relationship, when considering the guidelines. The overriding consideration or test will always be whether the person performing the work does so ‘as a person in business on their own account’.” As stated in the Code of Practice –

“Its purpose is to eliminate misconceptions and to provide clarity”; and
“It is not meant to bring individuals who are genuinely self-employed into employment status”.
The Code of Practice is available on a number of websites including Revenue’s (www.revenue.ie).

4. Assistance
Local Revenue Offices or Scope Section in the Department of Social and Family Affairs may be contacted for assistance in deciding the appropriate status of an individual or groups of individuals. The relevant contact details are in the Code of Practice.

5. Questions & Answers
Q.1. What is the tax treatment of payments to a ‘locum’?

A.1. Whether or not an individual is described, correctly or otherwise, as a locum is not the deciding factor. The deciding factor is whether, in relation to an engagement, the individual is engaged under either –

a contract of service [i.e. an employee]; or
a contract for service [i.e. self-employed]
If an Employee:-
If, having examined the facts, circumstances and evidence relating to an engagement, an individual is, in relation to that engagement, an employee, then his or her remuneration from that engagement is subject to deductions at source under the PAYE system.

If Self-employed:-
If, having examined the facts, circumstances and evidence of an engagement, an individual is, in relation to that engagement, self-employed, then –

the individual pays his/her tax under the self-assessment Pay & File system; and
depending on the nature of the service being provided –
the individual may be obliged to charge VAT on the provision of the service, opinion, etc; and
the payer (if a public body) may be obliged to deduct Professional Services Withholding Tax at source from payments made to the individual.
Q.2. I am a GP and I am about to engage a doctor and a nurse to work in my practice. I have put into the contract of engagement a specific clause that states – “Dr. / Mr. / Ms. XX is a self-employed doctor/nurse and is not an employee of this practice”. What is the Revenue view on this?

The content of written contracts between parties is, of course, a matter for those parties and/or their legal advisors. However, as outlined in the Code of Practice – “statements in contracts (considered by the Supreme Court in the case of ‘Denny’) such as –

“You are deemed to be an independent contractor”,
“It shall be your duty to pay and discharge such taxes and charges as may be payable out of such fees to the Revenue Commissioners or otherwise”,
“It is agreed that the provisions of the Unfair Dismissals Act 1977 shall not apply etc”,
“You will not be an employee of …….”,
are not contractual terms and have little or no contractual validity. While they may express an opinion of the contacting parties, they are of minimal value in coming to a conclusion as to the work status of the person engaged.”

Therefore, regardless of how the parties to an engagement may describe themselves in contracts, all the relevant factors (including written, oral and implied details) that bear on the relationship between the parties are to be examined, given their proper weight and a decision made on their overall effect. In other words, Revenue may examine matters other than those contained in written contracts.

Q.3. I run a GP practice and the doctors and/or nurses that I wish to engage to work in my practice have informed me that they do not wish to pay tax via the PAYE system and that they will only work for me if they are engaged as a “self-employed contractor”. What is the Revenue view on this?

A.3 If, on examination of the facts, circumstances and evidence of an engagement, the individuals are employees, then they cannot simply ‘opt out’ of paying tax under the PAYE system (and paying PRSI) on the remuneration from that engagement (nor, indeed, can the payer of the remuneration opt out of PAYE / PRSI obligations).

In some instances, individuals or practices may be of the erroneous opinion that they can simply elect or decide that such individuals can be engaged either under a contract of service (i.e. an employee) or under a contract for service (i.e. self-employed). In such cases, it may be beneficial for both parties to examine the Code of Practice referred to above.

Q.4. What is the position as regards an individual who works only a few hours per week?

A.4. Depending on the facts, circumstances and evidence of an engagement, an individual may be a full-time employee, a temporary employee, a part-time employee or a casual employee or, indeed, may be self-employed. The fact that an individual may not have continual work under an engagement does not, of itself, make such individual a self-employed contractor in relation to that engagement.

Q.5. What is Revenue’s view as to the tax treatment of ‘agency workers’?

A.5. Revenue does not regard the taxation of workers engaged through agencies any differently to the taxation of workers engaged by any other means. The article “Taxation of individuals engaged through agencies” published in Tax Briefing (Issue 31) in April 1998 refers. This may be accessed through the following link http://www.revenue.ie/en/practitioner/tax-briefing/archive.html#year1998

Q.6. We are a group of GPs which operates the doctor element of our local “Doctors Out of Hours Service”. We engage other doctors to do the work. What is Revenue’s view as to the status (employed or self-employed) of these ‘other doctors’?

A.6. From Revenue’s experience to date in such cases, the Revenue view is that such ‘other doctors’ are engaged under a contract of service (i.e. they are employees).

Q.7. I own a pharmacy and have engaged a ‘locum’ pharmacist to work for me. What is the correct tax treatment of the payments I make to the locum?

A.7. Once again, whether or not an individual is described, correctly or otherwise, as a locum is not the deciding factor. From Revenue’s experience to date in such cases, the Revenue view is that such “locum” pharmacists are engaged under a contract of service (i.e. they are employees) and the remuneration from that engagement is subject to deductions at source under the PAYE system.

Tax Calculator

Free online accounting software

 

I’ve been expecting a free online accounting software to pop up for a while now. The model is quite popular in CRM with Capsule and Zoho. But so far in finance I’ve only found free invoicing tools.

Wave Accounting has a nice simple user interface, is very easy to use and even manages to handle Irish VAT if set up correctly. Its an ideal solution for very small sole traders who are currently using excel (or worse!) and require a simple package. The great thing is if you keep your own books and records in good order in Wave you will pay less for your accountancy.

If you would like to discuss using wave and saving money on your tax return please call us on 01-4800531 or email info@domybooks.ie

NPPR Charge

Its that time of year again. The NPPR (Non principal private residence charge) is due on or before the 30th of June 2011.

The 2011 charge is based upon the ownership and status of the property on the 31st March 2011.

What is the NPPR (Non Principal Private Residence) charge?

The NPPR charge is an annual charge of €200 introduced by the Local Government (Charges) Act 2009 in respect of all residential property not used as the owner’s sole or main residence.

What is a Non Principal Private Residence?

Essentially, a non principal private residence is any dwelling which is not used by its owner as his or her sole or main residence.

Does the charge apply to residential property outside of Ireland?

The charge only applies to properties situated in Ireland.

What types of properties are liable for the NPPR Charge?

The main types of residential properties that are liable for the charge are, private rented properties; vacant properties (except new but unsold residences, which have never been used as a dwelling and are part of a trading stock of a business) and holiday homes. What types of properties are NOT liable for the NPPR Charge? certain heritage buildings approved under section 482 of the Taxes Consolidation Act 1997, newly constructed but unsold buildings which have never been used as dwellings and that form part of the trading stock of a business, buildings let by the Government, housing authorities and the Health Service Executive, a building occupied under a shared ownership lease within the meaning of section 2 of the Housing (Miscellaneous Provisions) Act 1992, accommodation provided by a voluntary housing body, a building let under the Rental Accommodation Scheme, accommodation provided on behalf of the Health Service Executive a building in respect of which commercial rates are paid.

Is a building divided into flats or bedsits liable for the NPPR Charge?

The charge is payable in respect of each unit of accommodation. Where a building is divided into flats or bedsits, the charge applies to each flat or bedsit e.g. if the dwelling is divided into four bedsits a charge of €200 x 4 = €800 would apply.

Is a house let as one unit to a number of occupants liable for the NPPR charge?

Yes, the charge is €200 for the house.

I own a mobile home. Is this liable for the charge?

A mobile home is not liable for the non principal private residence charge.


Exemptions

Are there any exemptions from the NPPR Charge?

You are advised to check section 4 of the Act for detail.  However, the following abbreviated list should act as a guide:

Exemptions:

1.    Principal Private Residences

2.    Where a person partly occupies a dwelling as his or her sole or main residence and avails of the Revenue Commissioners’ Rent-a-Room Scheme

3.    Discretionary trusts or corporate bodies that are accorded charitable status

4.    Where a person is moving house and, in the process, owns two houses for a relatively short period.

5.    Joint ownership of a property after a divorce or separation agreement where the second residence becomes the primary residence of one party.

6.    Where a person who owns a principal private residence vacates the dwelling in question because he or she is long-term incapacitated as a result of physical or mental illness

7.    Where a residence is occupied rent-free by a relative of the owner and the owner resides on the same property or within two kilometres of .the residence in question.

8.   Where a landlord and a Local Authority have a signed contract in place under the Rental Accommodation Scheme for a property, on the liability date i.e. 31st July 2009 and 31st March in 2010 and each subsequent year, the property is exempt from the NPPR charge.

Contact the relevant local authority if you are in any doubt about the liability of your property i.e. the County Council or City Council in which the property is located.

To pay visit https://www.nppr.ie/
Rental Income