Value Added Tax Consolidation Act 2010 section 100

Unjust enrichment

Section 100 sets out the rules governing refunds of overpaid VAT and the circumstances in which Revenue may withhold a refund on the grounds that it would result in unjust enrichment of the claimant.

• A person who has overpaid VAT due to a mistaken assumption may claim a refund, but Revenue may refuse the refund in whole or in part if repayment would result in unjust enrichment — essentially, a windfall gain where the cost of the overpaid tax was already passed on to customers in prices charged
• The claim must be made in writing, setting out full details of the circumstances and identifying the overpaid amount for each taxable period, supported by whatever documentation Revenue requests
• Where a claimant undertakes to reimburse the overpaid VAT to the customers who actually bore the cost, Revenue will refund the amount withheld on unjust enrichment grounds (plus interest), provided the claimant has adequate arrangements in place to identify and repay those customers
• If a claimant receives such a refund but fails to reimburse the customers within 30 days, the unreimbursed amount is treated as VAT due for the taxable period in which the 30th day falls