Preliminary Corporation Tax (“PCT”)
PCT for “large companies" i.e. corporation tax (“CT”) liability of greater than €200,000 in the preceding accounting period (“AP”), is due in two instalments:
1. 23rd day of the sixth month of the AP, and must equal either 50% of the preceding period liability or 45% of the current AP liability.
2. 23rd day of the second last month of the AP, and must bring the total PCT paid up to 90% of the liability of the current AP.
As PCT is due before the end of the AP, companies are required to estimate their final tax liability in order to ensure that payment is sufficient and interest charges do not arise.
For a small company i.e. CT liability of less than €200,000 in the preceding AP, PCT is payable in one instalment due by the 23rd day of the second last month of the AP. For example, PCT for the period ended 31 December 2013 is due by 23 November 2013.
A small company can pay 100% of its CT liability for the preceding AP as PCT, thus eliminating the need to estimate the final tax liability.
Corporation Tax
The CT return and the final tax payment are due by the ninth month after the AP end but no later than the 23rd day of that month; for example the CT return and payment for the period ended 31 December 2018 are due by 23 September 2019.
The penalty for the late filing of a tax return is 5% of the tax liability, up to a maximum of €12,695, where the tax return is filed within two months of the due date and 10% of the liability, up to a maximum of €63,485 if filed thereafter.
Where a company does not make the correct payment by the due date it will be liable to an interest charge of approximately 8% per annum from the due date of payment until the amount is paid.
Close Company Surcharge (“CCS”)
The CCS may be avoided where estate/investment income is distributed during the AP in which it arises or within 18 months of the end of that AP.
Dividend Withholding Tax (“DWT”)
DWT returns in respect of all profit distributions, including where an exemption from DWT applies are due by the 14th day of the month after the month in which the distribution was made; for example, a distribution made on 21 March 2019, DWT return must be filed by 14 April 2019.
Payroll
With the introduction of PAYE Modernisation in January 2019 new compliance and filing deadlines have come into practice for payroll tax agents. All payments made to employees must be reported to Revenue on or before the payday by way of an online Payroll Submission. From the payroll, submissions Revenue generates a payroll statement of account per company. This will be available by the 5th day of the following month and will show a summary of the total liability owed to Revenue. If no corrections or amendments are made before the 14th day of the month Revenue will deem the statement to be the correct return. The tax liabilities must then be paid either monthly or quarterly on the 23rd day, depending on the companies filing deadlines.
VAT & VIES
In most cases VAT returns and VIES returns are due on the 23rd day of the month following the period for which the return relates; for example, March/April.
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Disclaimer: This blog is intended as a brief overview of a Refresher on tax deadlines in Ireland. The blog does not represent taxation or legal advice and that independent advice should always be sought in respect of such matters etc.
