asked the Minister for Finance the reason there is now an underpayment of £125.75 in relation to the tax paid by a person (details supplied) in County Limerick.
Written Answers. - Underpayment of Tax.
85.
The Revenue Commissioners have advised me that the restriction of the taxpayer's tax free allowances for 1984-85 to take account of a social welfare invalidity pension paid to his wife without deduction of tax, with effect from 24 April 1984 was understated. The error which occurred in the tax office is regretted. The amount of tax referred to in the question which, as a consequence of the error, was not deducted for 1984-85 is being collected by restricting the taxpayer's tax free allowances for 1986-87.
On the basis of the taxpayer's most recent completed return of income, he has been granted all the allowances and reliefs to which he is entitled. The inspector will now communicate with the taxpayer requesting him to furnish the details necessary to enable a review of his liability for 1985-86 to be carried out.