Value Added Tax Consolidation Act 2010 section 105

Interest on refunds of tax

Section 105 sets out the rules under which Revenue must pay interest on delayed or wrongly withheld VAT refunds.

• Revenue must pay interest on VAT refunds where a mistaken assumption in the operation of the tax by Revenue gave rise to the refund, or where a valid claim is not paid within 93 days of receipt.
• Where the delay results from a Revenue error, interest runs from the date Revenue received the overpayment, or from the return due date or date of receipt of the return, to the date the refund is paid.
• Where the delay is administrative, interest runs from the expiry of 93 days after receipt of a valid claim to the date the refund is paid.
• Interest is simple interest at 0.011% per day or part of a day, and is not payable if it amounts to less than €10.