Revenue eBrief No. 162/19
The purpose of this eBrief is to advise of amendments to Tax and Duty Manual Part 47-06-03, which deals with the surcharge on late returns for directors. It confirms how a surcharge is calculated and the treatment of tax paid under the PAYE system for the purposes of that calculation – for both proprietary and non-proprietary directors and in joint assessment cases.
Surcharge on late returns by directors and tax paid under PAYE
Directors who are required to file a self-assessment return are liable to pay a surcharge if the return is not filed on time. That surcharge will be based on theirincome tax liability before credit for tax paid under the PAYE system, even if significant tax has already been paid by the director via PAYE (section 1084(3) Taxes Consolidation Act 1997 (TCA)).