Administration

The Revenue Commissioners are responsible for the administration of VAT (s 106).

Audit

A taxable person must:

(a) keep full and true records of all transactions which affect or may affect his VAT liability (ss 8485),

(b) issue customers with a VAT invoice containing the details required by regulations (ss 6672).

An authorised officer may at all reasonable times enter a business premises and require the owner, or his employees, to produce for inspection any records relating to the business (s 108).

An inspector may make an assessment of VAT he believes to be underpaid (s 111).

Collection

Interest is charged at 0.0274% for each day the VAT is unpaid.

Penalties

A person who fails to comply with VAT obligations is liable to a penalty of €5,000 (s 115). If the failure is negligent, the penalty is €125 plus the difference between the correct liability and the tax paid. If the failure is fraudulent, the penalty is €125 plus twice the difference between the correct liability and the tax paid (s 116).

Revenue may not seek a civil penalty wishes unless a court has determined that the penalty is due. Revenue may enforce collection of a penalty confirmed by a court, as if it were tax. Revenue may not recover penalties from the estate of a deceased person unless that person agreed, or a court confirms that the penalties are due. Revenue practice in relation to tax-geared penalties is given effect in the legislation.

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