asked the Minister for Finance the reason a person (details supplied) in Dublin 5 who is on a contributory old age pension is being assessed for lump sum tax of £676.98; if his Department will reduce this tax assessment in view of the circumstances of the case; and if he will make a statement on the matter.
Written Answers. - Reduction of Lump Sum Tax.
104.
I have been advised by the Revenue Commissioners that, following a request from the taxpayer on 4 April 1985 a review of his liability for the year 1984-85 was carried out by the inspector of taxes. The review took account of a social welfare old age (contributory) pension which had become payable to the taxpayer for the first time during that year and which is chargeable to income tax. An underpayment amounting to £676.98 emerged and an assessment was made on the taxpayer to enable the tax due to be collected. If payment of the amount involved in one sum would cause hardship to the taxpayer he should submit proposals to the Collector General for payment by instalments over a reasonable period.