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Press Release - Revenue Commissioners Case Summaries (Annual Report 1994)

Press Release - Revenue Commissioners Case Summaries (Annual Report 1994)

Revenue Commissioners - Notes

o A company complained that the Revenue Commissioners, in raising interest charges on late payments of VAT, should have taken into account a refund of VAT subsequently made to the company. The company had applied for a VAT refund which was eventually allowed some eight months later. In the meantime, the Revenue Commissioners raised full interest charges on late payments of VAT made during this period. The Ombudsman examined the case and the Revenue Commissioners eventually accepted that the VAT repayment was due to the company from the date of application and that this could be offset against VAT due. The company's interest charges were reduced by more than half.

o A firm of accountants complained on behalf of a client company that it was unreasonable of the Revenue Commissioners to charge interest on late payments of VAT, PAYE, and PRSI when at the same time substantial amounts of Withholding Tax had not been refunded to the company. The Ombudsman's examination of the relevant legislation showed that in the case of applications for interim refunds of Withholding Tax under Section 19 of the Finance Act, 1967, the Commissioners, before making an interim refund, are obliged to deduct from the amount payable any VAT, PAYE or PRSI due but unpaid. The Revenue Commissioners agreed to recaculate the interest charges and the company saved �1,115