Debt warehousing notices to issue this week

Revenue has provided us with samples of the letters that will issue this week to taxpayers availing of the Debt Warehousing Scheme. Where a business has filed all due returns, the notice will set out a breakdown of the debt that has been warehoused including the tax type, the period and the amount that has been warehoused.

For taxpayers who have any returns outstanding, the notices will outline the outstanding returns (by tax type, period, and due date) which must be filed in order to quantify the total warehoused debt and to benefit fully from the scheme. Revenue advises in the letters that taxpayers have until 30 April 2022 to file all the outstanding returns; otherwise, the benefits of the scheme will be lost i.e., debt will become payable immediately and the reduced 0 and 3 percent interest rates will be unavailable.

Revenue has informed us that it expects that about 40 percent of letters will be delivered to the ROS inbox, with the remaining 60 percent delivered via post.

Taxpayers will receive one of four types of notice depending on their individual circumstances i.e., Period 1 has ended for the business on 31 December 2021, whether the warehouse period has been extended to 30 April 2022 and whether tax returns are outstanding. The notices set out any actions that are required to be taken by taxpayers (if any).

Sample notices are set out below:

1. Warehouse customers with Period 1 end date 31 December 2021 – all returns up to date
2. Warehouse customer with Period 1 end date 31 December 2021 – outstanding returns
3. Warehouse customer with extended Period 1 end date 30 April 2022 – all returns up to date
4. Warehouse customer with extended Period 1 end date 30 April 2022 – outstanding returns

We previously included an explainer in Tax News on Period 1, 2, and 3.

For taxpayers that wish to discuss the warehoused debt or who are experiencing difficulties in meeting their return and payment obligations, they are advised to make contact with Revenue by telephone at 01-7383663 or via My Enquiries by selecting the ‘Collector-General’s’ option and then ‘General Query’.