Dáil Éireann Debate, Tuesday - 21 October 2014
235. Deputy Jim Daly asked the Minister for Finance if he is satisfied with a small business being imposed with a fine of €4,000 for a late filing of a VAT return noting the tax compliant history of the business and in view of the fact that the VAT was overpaid and in a refund; if he will request the Revenue Commissioners to review their decision; and if he will make a statement on the matter. [40216/14]
Amharc ar fhreagraI am advised by the Revenue Commissioners that the company in question remits its VAT liabilities using the Direct Debit payment system. I am further informed by Revenue that they facilitates the company in making payments during its busy summer trading months only rather than on a monthly basis, which is the norm for Direct Debit customers.
Revenue acknowledges that the company fully meets its payment obligations, but has said that the company has an unacceptable compliance record in regard to the filing of statutory VAT Returns, despite the fact that it is only required to file an annual VAT return as distinct from non-Direct Debit Customers who are obliged to file on a bi-monthly basis.
Revenue has informed me that they have consistently warned the company of the requirement and importance of timely filing but it has failed to respond to the various reminders. For example, the last 3 Returns have been 3 months, 5 months and 6 months late. The Deputy will be aware that timely filing of tax returns is a statutory requirement and Revenue must apply the law as set down in a consistent manner in fairness to the vast majority of taxpayers who arrange their affairs in a manner that ensures payment and filing obligations are met as they fall due.
Notwithstanding the above, Revenue has carried out a further review of the case on foot of correspondence received from the company's accountants. The senior official examining the case will shortly make contact with the accountants to discuss the issue. However Revenue has clearly indicated to me that any possible mitigation must be predicated on the timely filing of all future tax returns.
