Dáil Éireann Debate, Tuesday - 24 October 2023
190. Deputy Ged Nash asked the Minister for Finance the number of taxpayer units who may have either underpayments or overpayments for the 2021 and 2022 tax years, respectively, and who have not yet submitted a tax return; and if he will make a statement on the matter. [46222/23]
View answerAt the end of every year, Revenue makes a Preliminary End of Year Statement available to employees. The Preliminary End of Year Statement sets out a provisional tax position, based on information available on Revenue records. It will show whether an employee has paid the correct amount of Income Tax and Universal Social Charge (USC) for the year.
I am advised by Revenue that the final position for PAYE taxpayers can only be quantified when taxpayers submit their tax returns at the end of the year and claim any additional credits or reliefs that may be due or declare any additional income they may have.
To assist taxpayers balance their tax, Revenue regularly issues letters to taxpayers who according to their Preliminary End of Year Statement, may have either overpaid or underpaid tax in a particular tax year. These letters advise the recipients to submit an Income Tax return to claim any additional tax credits or reliefs that they may be due and/or to declare any additional income they may have received. These letters also remind taxpayers of a four-year time limit in respect of submitting such claims.
Revenue advises that to date 1,043,123 PAYE taxpayers filed an Income Tax return for 2021 and 898,028 PAYE taxpayers have filed for 2022. I am further advised by Revenue that 674,838 PAYE taxpayers have yet to file an Income Tax return for 2021 with 831,762 PAYE taxpayers yet to file for 2022. The analysis of those PAYE taxpayers indicates that 255,637 (38%) and 313,236 (37%) taxpayers in 2021 and 2022 respectively have a balanced tax position. Of the remainder, 161,361 (24%) taxpayers in 2021 and 201,472 (24%) taxpayers in 2022 potentially underpaid tax with 257,840 (38%) taxpayers in 2021 and 317,054 (39%) taxpayers in 2022 potentially overpaid tax.
