Deadline for warehoused tax could be extended if needed, says minister

As of the end of 2023, €1.76bn is owed to Revenue from businesses involved in the scheme

Business and Retail Minister Neale Richmond said extension to the tax warehousing deadline of May 1 will be considered if it poses a difficulty to certain sectors.

An extension to the tax warehousing deadline of May 1 will be considered if it poses a difficulty to certain sectors, Business and Retail Minister Neale Richmond has said as concerns mount over the growing cost of doing business.

As of the end of 2023, there is €1.756bn still owed to Revenue under the debt warehousing scheme. Businesses with debt in the scheme have until May 1 to either pay off the debt or have a payment plan in place.

When asked about the deadline for the scheme, Mr Richmond said there had been no “direct request” for an extension yet but if it is “something that’s going to pose a massive difficulty to certain sectors” then his department, along with the Department of Finance, and Revenue will “look at all options”.

His comments come as concerns mount over the growing cost of doing business in Ireland. So far this year, the minimum wage has increased to €12.70 an hour, with sick day entitlements also increasing from three to five. 

Mr Richmond said the changes the Government had made were good for workers, adding the economy was in a good place and now is the time to “make those long term sustainable changes that will make this place an even better place to set up a business”.

"We appreciate that there's certain sectors that are being hit harder — hospitality, restaurants cafes across the country and indeed the retail sector. So we are reflecting on that and seeing what we can do in terms of legislative and budgetary measures,” he said.

Mr Richmond also pointed out that over the coming months, small- and medium-sized businesses would receive a cash payment of up to €5,000 through the Increased Cost of Business grant.