Revenue Commission Blames Workers For PAYE Overpayment

by Jason Gorringe, for LawAndTax-News.com, London

01 February 2005

Responding to widespread confusion regarding the overpayment of tax by PAYE (Pay As You Earn) workers in 2003, Ireland's Revenue Commission has denied responsibility for the mix-up.

According to the tax authority, the overpayments occurred either as a result of PAYE taxpayers' failure to inform it of expenses that could not be assumed, or of other unanticipated changes in their circumstances.

Although the Revenue has estimated the amount overpaid to be in the region of EUR306 million, opposition commentators and various sectors of the media have put the figure much higher.

Speaking to the Irish Independent this week, Revenue spokesman Denis Harkin attempted to clarify the situation, announcing that:

"The vast majority of PAYE workers have not overpaid their tax. There's not a pot of gold, as suggested by the way some people are reporting this."

He also went on to deny suggestions that the tax authority's computer systems can identify underpayments but not overpayments.

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