Dáil Éireann Debate, Thursday - 14 July 2022
298. Deputy Pearse Doherty asked the Minister for Finance the total value of unclaimed tax, through Revenue for overpaid tax; the number of persons to whom this applies; and if he will make a statement on the matter. [39436/22]
View answerI assume that the Deputy’s question relates to PAYE taxpayers.
I am advised by Revenue that, where an income tax return is not completed, it is not possible for Revenue to know if a taxpayer may be due additional credits or reliefs and as such it is not possible to provide the Deputy with final details on the amount of overpaid tax as individual taxpayer circumstances differ. Some taxpayers may have overpaid tax in some years and underpaid in others and some may be entitled to additional credits or reliefs which they have not yet claimed while others may have additional income on which tax may be due.
I am further advised that, to date, Revenue has refunded €430m to 620,000 taxpayers in respect of the 2021 tax year. In respect of tax year 2020, €440m has been refunded to 660,000 taxpayers, while just over €500m was refunded to 800,000 taxpayers in respect of 2019.
Revenue has further advised that a Preliminary End of Year statement is made available to PAYE taxpayers through the myAccount service after the end of each tax year. The Preliminary End of Year Statement sets out each taxpayer’s provisional tax position for that tax year, based on information available on Revenue records.
To claim a refund of overpaid tax, taxpayers should complete an income tax return. The quickest and easiest way to do this is online through Revenue’s myAccount facility. The information on Revenue’s records is prepopulated on the individual’s income tax return. This simplified facility encourages taxpayers to claim their entitlements and ensure as far as possible, that they pay the right amount of tax at the right time.
Revenue is currently writing to taxpayers who may have overpaid or underpaid tax in these years, inviting them to submit returns to finalise their tax position and over 50,000 taxpayers have been written to in the past month in this regard.
Based on the provisional end-of-year position for PAYE taxpayers who have not submitted an Income Tax return, Revenue records indicate that there are approximately 300,000 customers who have not filed a tax return for 2019 and who may have overpaid tax in that year by €10 or more. The provisional figures indicate that the potential amount overpaid is €170m.
The equivalent provisional figures for 2020 are €150m potentially overpaid in respect of 270,000 customers, while provisional figures for 2021 indicate that approximately €300m is potentially overpaid in respect of 450,000 customers in 2021.
Revenue further advises that the overall numbers of taxpayers who may have overpaid tax is less than the aggregate of the above figures as some customers may have overpaid tax in one or more of the years shown. Similarly, the net amount of tax overpaid will be less than the aggregate of the figures shown as Revenue records indicate that taxpayers may have overpaid in some years and underpaid in others.
Revenue will continue to communicate directly with taxpayers who have over/underpaid balances per their Preliminary End of Year statement.
