Rabodirect apologises for glitch

DUTCH-OWNED online bank Rabodirect has apologised to its Irish customers after mistakenly applying the new higher rate DIRT tax to savers’ accounts at the end of last year.

Rabodirect sent emails to affected customers this week telling them it had “messed up” by applying the new 2011 rate of DIRT tax at 27% on all personal on demand savings accounts, sole trader accounts, and term deposit accounts maturing on December 31, 2010, when it should have applied the old rate of 25%.