Further to our previous reminder in relation to Debt Warehousing Compliance notices, Revenue will commence issuing final Debt Warehousing warning notices this week to taxpayers availing of Debt Warehousing who have outstanding tax returns. The notice outlines the immediate action required for taxpayers to file all outstanding tax returns within 10 days of the date of the notice to remain eligible for the Debt Warehousing Scheme.
Where returns are not filed within the 10-day period, the taxpayer will lose the benefits of the Debt Warehousing Scheme. This means that all the taxpayer’s debt will be payable immediately and the normal interest rates of 8 percent and 10 percent will apply instead of the schemes reduced interest rates of 0 percent and 3 percent. It is very important that taxpayers act now and file all outstanding tax returns.
Taxpayers should start to receive the notices from tomorrow, 25 May. It is expected that about 40 percent of the letters will be delivered to the ROS inbox with 60 percent delivered via post.
Revenue have provide a sample copy of a notice which can be found here.
Phased Payment Arrangement Consolidation
Revenue has now enhanced its Phased Payment Arrangement (PPA) system to allow consolidated Phased Payment Arrangements. This will allow both warehoused debt and non-warehoused debt to be included in one PPA. It will also allow taxpayers who currently have a PPA arrangement in place to include their warehoused debt as part of that PPA at the reduced interest rate of 0 percent and 3 percent as applicable. The facility was made available from 24 May.