In 2023, the Revenue Commissioners gathered a considerable sum, with voluntary compliance playing its role at an impressive rate, according to their yearly review. The gross income reached more than €127.9 billion including €26.3 billion from non-exchequer receipts on behalf of government departments and other agencies. The net income that went into the exchequer amounted to €87.2 billion.
As of 23rd April, the debt that mounted up during the Covid-19 crisis and is now warehoused, was nearly €1.6 billion. This debt was attributed to over 53,000 clients with the majority, about 70 per cent, owing under €5,000. The larger part of the amount, estimated at €1.35 billion was held by approximately 4,800 clients.
Non-warehoused debt was elevated to €1.4 billion by the end of 2023, ready for collection. Throughout the year, over 291,000 compliance interventions yielding €787 million, alongside 85 cases of tax evasion resulting in €16.5 million were accomplished.
In recent years, the Revenue’s systems have been upgraded greatly, leading to an increased number of taxpayers handling their tax matters independently via the online service, MyAccount. In the last year, it successfully managed 1.4 million 2022 PAYE IT Returns.
The Revenue aims to continue with the modernisation of taxes and charges this year in conjunction with other Government departments, globally recognised organisations like the Organisation for Economic Co-operation and Development (OECD), European Commission and other international bodies.
It also intends to support the development of digital age VAT proposals by the European Commission, implement further phases of VAT consultation and assess the Pillar Two Global Anti-Base Erosion regulations.
Assisting businesses impacted by the new UK import regulations will be another area of focus, as well as classifying employment status. This follows a decision made by the Supreme Court the previous year, stipulating that pizza delivery drivers should be regarded as employees, not contractors. “The ruling did not alter existing laws surrounding employment classification, but it did provide significant clarity on the determining factors when assessing an individual’s employment status for income tax purposes,” said Niall Cody from Revenue.
“We’ve collaborated with both the Department of Social Protection and the Workplace Relations Commission to refresh the standards of practice relevant to determining one’s employment status. Additionally, we are striving to develop our own advice regarding the implications of the recent judgment. It’s crucial to underline that the classification of employment status will persist as a central area of interest for our regulatory operations in the future.”