Revenue Measures to Support SMEs

Please appreciate the comments below are based on preliminary guidance from Government and we have sought clarification on certain aspects of the announcements. We hope to be in a better position to deal with detailed queries as further information becomes available. 

Revenue Measures to support SME Businesses

Revenue has provided the following updated advice which will further assist SME businesses that are experiencing trading difficulties caused by the impacts of COVID-19.

SME businesses are those with turnover under €3M. For non-SME businesses Revenue recommend contacting your local district who can deal with taxpayers on a 1-1 basis.

Information for SMEs

• Tax Returns: businesses experiencing temporary cash flow difficulties should continue to send in tax returns on time.
• Application of Interest: the application of interest on late payments is suspended for January/February VAT and both February and March PAYE (Employers) liabilities.
• Debt Enforcement: All debt enforcement activity is suspended until further notice.
• Tax Clearance: current tax clearance status will remain in place for all businesses over the coming months.

Cancellation of Direct Debits: The Collector General’s office have provided instructions to SME’s where for cash flow reasons they need to amend or cancel direct debits in respect of tax payments due. Links to instructions on how to do this are attached below.

Information for Subcontractors

• RCT (Relevant Contract Tax): the RCT rate review scheduled to take place in March 2020 is suspended.
• Subcontractors and agents are reminded that RCT rate reviews can be self-managed in ROS. Subcontractors can check if their rate should be lower and can then ‘self-review’ to get that lower deduction rate.

Information on importing goods

• Customs: critical pharmaceutical products and medicines will be given a Customs ‘green routing’ to facilitate uninterrupted importation and supply.

Businesses, other than SMEs, who are experiencing temporary cash flow or trading difficulties should contact the Collector-General’s office on (01) 7383663.

Revenue will continue to closely monitor the evolving situation regarding COVID-19 and will issue further updated guidance for businesses when required and particularly in good time before the March/April VAT returns, and other future returns are due.