Vol. 436 No. 1
79 Mr. Callely asked the Minister for Finance if his attention has been drawn to the difficulties that can arise, in particular, cash flow difficulties for businesses, due to the bureaucratic administrative work involved in the processing of a VAT refund; if he has received submissions on the matter; and if he intends revising regulations in this area with a view to introducing a more business friendly system.
I am informed by the Revenue Commissioners that they are very conscious of the cash flow implications for businesses of VAT repayments for both registered and unregistered taxpayers. In this regard the form VAT3 which is the claim form for the bulk of repayments was significantly simplified earlier this year. For the past two years a level of service has been maintained which ensures that in excess of 80 per cent of repayable claims are repaid within 10 days of receipt. This service is provided in the context of a situation where in excess of 5 per cent of claims are found to be faulty on initial examination and must be referred back to the taxpayer or agent for correction.
A selection of claims are referred to Inspector of Taxes for examination and the turn around time for such claims has been reduced significantly.
In the case of claims by unregistered taxpayers, in excess of 70 per cent of claims are repaid within 10 days. The nature of such claims demands a more careful examination as poor presentation is often a feature of the claims.
The Collector-General and Chief Inspector of Taxes monitor repayments on a continuing basis and at all times endeavour to improve the service to the public in the area of VAT repayments.
