Irish Revenue has released eBrief No. 198/24, detailing updated guidelines for charging interest on late payments of income tax, corporation tax, capital gains tax, VAT, and other taxes on 15 July 2024.
Revenue supports voluntary compliance by undertaking targeted and risk focused interventions which deliver a proportionate and effective response to noncompliance and which secure voluntary compliance for the future. The charging of interest is one such response where there is late payment of taxes due and owing.
The purpose of this guideline is to clarify several key aspects of interest charges. It explains why interest is imposed, how these charges are calculated and applied through the ‘Debt Management Services’ (DMS) system, and the process for raising interest charges as part of the Fixed Direct Debit system.
