In eBrief No. 34/09, Revenue have announced a new practice in relation to the waiver of Interest on the underpayment of Preliminary Corporation Tax where the underpayment arose solely due to movements in the Exchange Rate of the Functional Currency.
Part 41.0.2c of Revenue's Tax and Duty Manuals outlines the circumstances in which Revenue will waive interest charges arising where a company fails to comply with preliminary tax obligations due solely to a fluctuation in currency exchange rates.
This is a welcome development and the practice will apply in respect of preliminary tax payments made after the publication of the eBrief.