Surcharge on Income Tax return with refund

[andymc]

I've come across a few cases recently of 2023 Form11 Income Tax returns being drafted for filing now (late, I know) , with a refund due, but also a surcharge calculated (seems to be for late filing) as part of the overall net amount. I have never seen a surcharge calculated on a tax return that has a refund. In some cases, it turns the refund into a payable amount. I've asked 3 different people in Revenue why this is appearing, especially as the amount is not a obvious percentage (eg 5% or 10%) of any amount on the form - they didn't know why. I have also submitted a query via MyEnquiries a few days ago, and am awaiting a reply. But for now I'm wondering if anyone else here has come across this, as it's new to me?

 

[Slim]

This happened to me last year, in respect of 2023 return. I was late submitting the return and was surcharged, I think 3% of tax 'due'. Revenue attempted to debit this amount from our bank account but it was returned due to insufficient funds(I was not expecting the debit). Subsequently, Revenue rechecked the return and we were issued a refund but still out the surcharge and a €10 bank charge.

Today, I rang Revenue about 2024 return and refund, submitted on time this month. Helpful guy explained, in relation to the surcharge, that I could submit a case through MyEnquiries explaining why the return was late and the 'management' would consider the matter, taking into account my previous record of returns.

Important to point out that I have been registered as a business and this was Form 11.

 

[Ciru75]

refund due, but also a surcharge calculated

The late filing surcharge is a percentage of the tax owed for the year (10% for 2023 at this stage) without taking preliminary tax paid into account. If you owed €10k for the year and had paid €12k in preliminary tax, the late filing surcharge would be 10% of €10k = €1k even though you'd be due a refund of overpaid preliminary tax.