Taxes Consolidation Act 1997 section 991A

Payment of tax by direct debit

Section 991A enables employers to pay PAYE tax by monthly direct debit under an agreement with the Collector-General.

• The Collector-General may agree with an employer to pay the year's PAYE liability by monthly direct debits, based on the employer's best estimate of total tax due
• Each monthly payment must be made by the due date for the preceding income tax month, and any balance outstanding must be paid by the due date for the final income tax month of the year
• If total direct debit payments for the year fall below 90 per cent of the actual tax due, the agreement is deemed never to have come into effect
• Either the Collector-General or the employer may terminate the agreement, in which case it is also deemed never to have had effect