Legislation: Tax & Data Protection

Legal Obligations on Becoming Self Employed

As a Childminder working in your own home, you are considered self-employed for tax purposes. You will be asked to make self assessed tax returns annually.

• You need to register as a sole trader with Revenue Commissioners. Use the Revenue Commissioners TR1 form. This is used to register persons for income tax, VAT and as an employer for PAYE/PRSI.  As a childminder, registering for income tax is sufficient; childminders are not liable for VAT, and are not employers, since by definition you work “single-handedly”.
• You can obtain the TR1 form from your local Revenue Commissioners office, to whom you should return it after completion.  You can also download the form.
• On receipt of the TR1, the Revenue Commissioners will post out a “Notice of Registration” to you which confirms that you are registered for income tax. It will also state your Tax Registration Number and the effective date of registration.
• Under the Self Assessment system, October 31st is the deadline for filing your tax return for the previous year.
• If you care for fewer than 3 children at any one time, and earn less than €15,000 per annum, you may qualify for the Childminders’ Tax Relief.

Data Protection Acts (1988 & 2003)

When you keep information about children and their families, you have certain key responsibilities in relation to the information which you keep on computer or in a structured manual file about them.

There are eight main “Rules” with which you must comply, listed below.

• Obtain and process the information fairly
• Keep it only for one or more specified and lawful purposes
• Process it only in ways compatible with the purposes for which it was given to you Keep it safe and secure
• Keep it accurate and up-to-date
• Ensure that it is adequate, relevant and not excessive
• Retain it no longer than is necessary for the specified purpose or purposes
• Give a copy of his/her personal data to any individual, on request