Over 53,000 businesses still using Revenue’s Tax Debt Warehousing scheme

Over 53,000 businesses still using Revenue’s Tax Debt Warehousing scheme

The scheme was introduced to assist businesses that experienced cash-flow and trading difficulties during the Covid-19 pandemic. It was announced earlier this year that the 3% interest rate that was to apply to outstanding debt from this year would be reduced to zero.However, companies with an outstanding debt on May 1 are still required to “meaningfully engage” with Revenue to agree a plan for payment of their debt by this date or they will forfeit the zero percent interest rate.

The outstanding balance is owed by 53,172 customers, according to Revenue’s figures. Around 70% – 37,200 customers – owed amounts less than €5,000. The bulk of the debt – €1.35 billion – is being warehoused by approximately 9% of customers (4,800) with outstanding balances greater than €50,000.

“Phased Payment Arrangement applications are being submitted on a constant basis with almost 2,800 agreed since 31 March 2024,” the report noted.

Revenue said that 2023 also saw a continuation of high voluntary compliance rates, at over 99% for large cases and 98% for medium cases.

It added that timely compliance rates for all other cases in 2023 was 91%, up from 88% in 2022

RTE Website 25 April 2024.

2024-04-25T14:46:18+01:00April 25th, 2024|