As your accountants we are continuing to help those of you who were proprietary directors during 2007 to complete your personal tax return. You will all have received an email and checklist in relation to this however we are still waiting for a number of signed tax returns. We are only in a position to proceed on your behalf when we are in receipt of your signature. Once we have this we are then in a position to follow through on the final step of the process and file your return online.

Please check your emails for correspondence from our Tax return Team and ensure that we have received your:

 --» Completed Checklist
 --» Signed Form 11

and any further information tax returns team are waiting on, i.e. P45s/self employed income etc.

The final deadline as stated by the revenue is 17th November 2008. If you require assistance please email our tax return team taxreturns@cxcglobal.ie.

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As many of you are facing the 17th November 2008 Tax Deadline, you may wish to further reduce your Tax Bill. You still have time to invest in a Single Premium Pension Investment for the 2007 Tax Year!

Our colleagues in CWM Wealth Management Ltd have negotiated with Irelands’ biggest product providers to bring you, the CXC Contractors, the best rates on the market for Single Premium Pension Products.

For those of you who may be cautious and wondering if now is the right time to invest with current market uncertainty, Eagle Stars ‘Secure Cash Deposit Account’ may just be the answer you are looking for. With this option you can invest in a pension and reduce your tax bill while also earning a rate of 6.00%. Investors have the peace of mind knowing that their capital is secure and when the markets recover they can invest in any of the wide range of funds which Eagle Star have on offer for no extra charge.

The Special Rates Agreed with Eagle Star:

 --» The Annual Management Charge is only 1.00%
 --» The Allocation Rate is 100.0%.

All Contractors should be aware of the major Tax Benefits that are available through this type of Pension Investment. Contributions made up to the 17th November qualify for the tax relief for 2007 regardless of whether your tax return has already been filed.

If you require further information, please contact Carol Brick, Managing Director of CWM Wealth Management at carol.brick@cwmwealthmanagement.ie or at 087-2819790

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Throughout CXC our aim is to provide a professional accountancy service to you all. While you may have had dealings with our Business Development Team initially when you were learning about our services, it would not have been long before you were handed over to the care of our Client Services Department. It is their responsibility to ensure your needs are met as effectively and professionally as possible during the set up stage and to continue to support and liaise with you throughout your time with us.

They look after your employment contract, liaise with you in relation to any reference letters you may require as well as responding to additional general queries in a timely and professional manner.

In order to ensure we are in a position to provide this level of assistance to you, it is necessary for us to have an accurate and up to date postal address for you, your PPS number, your bank account details and a copy of your passport or driving licence. Those of you who may be working in Ireland under a Visa, Permit or Green Card also need to provide a copy of this.

As an ISO company we continuously carry out internal and external audits and it is vital that we receive this information for all of you.

If you would like to check the accuracy of your information you can do so by checking your details on ‘MyCXC’ or by contacting our Client Services Department clientservices@cxcglobal.ie.

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We are regularly asked the question: “What mileage is allowable as a deductable business expense by the Revenue?” In an effort to ensure you know what is allowable, here are some of the relevant issues.

Business related mileage which relates to meetings, seminars and conferences for example would be a relevant and allowable expense in the eyes of the revenue. Mileage from your home to your ‘normal place of work’ is not regarded as a deductable expense by the revenue.

According to their guidelines the ‘normal place of work’ is the place where the employee normally performs the duties of his/her employment and therefore in most cases, this should not give rise to difficulty.

The employer’s business premises will be regarded as the normal place of work for an employee where:

 --» Travel is an integral part of the job involving daily appointments with customers
 --» The duties of the employment are performed at the various premises of the employer’s customers but substantive duties are also performed at the employer’s business premises.

Revenue guidelines state that your home would not be regarded as the normal place of work unless there is an objective requirement that the duties of the office or employment must be performed at home. It is not sufficient for you to merely to carry out some of the duties at home

Therefore motor expenses can be claimed where it is necessary to travel from your normal place of work to different sites, clients or customers.

Where applicable mileage is payable at the civil service approved rate based on the engine size of the car. Attached please find a table of the current rates:

The rate payable incorporates a relevant contribution to the running cost of your car in relation to repairs & maintenance, car tax, insurance together with the relevant fuel costs. Once your mileage exceeds 6,437 km in any tax year then the rate payable per km is halved.

The revenue require details in relation to the place of origin for the journey, the final destination, the purpose of the journey and who you were meeting.

A subsistence amount may also be claimed where you are away from your normal place of work for more than 5 hours. If you require any further information or clarification on this please contact your payroll account manager.

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If your tax credits are incorrect you could end up with an underpayment of tax at the year end. As your accountant we want to ensure that this does not happen.

The breakdown of your tax credits are posted to you each year by the revenue. At CXC we only receive the total of your tax credits. We do not get details of the individual tax credits that make up this total. To check the accuracy of your tax credits we need a copy of the breakdown for 2008 that you have received from the revenue.

To verify your tax credits we would be grateful if you could forward a copy of the breakdown of tax credits which you would have received during 2008. We can then check them to ensure they are accurate.

You can also review your tax credit cert to ensure that if you were allocated credits such as the rent credit in the past that you are still entitled to it. Also for those of you who are proprietary directors within a limited company, please ensure that the PAYE credit is removed from your tax credits.

Please contact your payroll account manager if you would like more information on your tax credits.

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