Prepayments on rental income or sales profits
Prepayments refer to advance taxes that must be paid on various types of income, including rental income, capital gains on assets and income from foreign sources (such as pension income). Prepayments must be paid if tax is not withheld directly from the income. “Prepayment” is therefore not the same as the amount withheld from your wage income, etc. based on the tax rate shown on your tax card.
You can request prepayments, changes to your prepayments or cancellation of prepayments up until the completion of your tax assessment.
The minimum prepayment amount is €170. If your calculated prepayment amount is less than €170, you do not have to pay it in advance but it will be included in your regular tax assessment.
The due date for prepayments is the 23rd of the month. If the 23rd does not fall on a banking day, the due date is the next business day.
Instructions for different situations
You can request prepayments, changes to your prepayments or cancellation of prepayments up until the completion of your tax assessment. Your prepayment instalments remain in effect until you receive a new decision. If you have not received a new decision by the due date, pay the prepayment in accordance with the previous decision.
See the guidance: How to request or change prepayments in MyTax
You can also use these paper forms:
Additional instructions on the following types of income:
- Rental income
- Profit from sales of apartments
- Profit from sales of investments (such as shares and fund units)
Business income is also subject to tax prepayment. Read more about prepayments related to business operations.
If you have paid too little tax in prepayments
If at the end of the tax year you notice that you have not paid enough tax, you can make an additional prepayment at the beginning of the next year. In other words, you can request an additional prepayment for the previous year’s taxes.
We recommend that you make the request at the beginning of January. If the due date for the additional prepayment is in January, you do not have to pay late-payment interest with relief. If the additional prepayment you make is sufficient, you do not have to pay back taxes.
Example: You sold shares on 15 August 2021. Your profit from the sales was €2,000. You can request an additional prepayment and pay tax on the sales profit without late-payment interest with relief between 1 January 2022 and 31 January 2022.
If you do not make the additional prepayment until after January or if you pay the missing amount as back taxes, you will also have to pay late-payment interest with relief.
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