Breeda Moynihan-Cronin (Kerry South, Labour)
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Question 25: To ask the Minister for Finance if all certificates for tax allowance and credits have been sent out to all taxpayers; the reason for the delays that arose in 2006; if he has satisfied himself with the accuracy of the certificates sent out; and if he will make a statement on the matter. [12384/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I am advised by the Revenue Commissioners that the issue of approximately 2.2 million individual tax credit certificates to PAYE customers reflecting the budget changes was completed at the end of February. The timescale for completion of the bulk issue this year was of the order of two to three weeks longer than usual. A dimension for 2006 was the new PAYE computer system put in place by Revenue last October that will form the bedrock for a range of improved services for PAYE customers later this year. The bulk issue of tax credit certificates for 2006 was the first in the new system and Revenue advises me that it took some additional time as part of the process of bedding in the new system. The issue of the tax credits notices to employers was prioritised by Revenue so as to ensure that payroll benefits arising from the budget changes were put into effect as quickly as possible.

At the time of the bulk issue each year Revenue may not be aware of changed circumstances of customers and this can result in tax credit certificates issuing that do not reflect the most up-to-date position for a customer. Revenue advises me that tax credit entitlements for a minority of customers were affected in the major changeover process to the new computer system. Revenue assures me that it has a very active process of identifying any such customers and, where appropriate, issued amended notices to employers to enable them to adjust the payroll deductions. Amended tax credit certificates for individuals subsequently issued as part of this process and any entitlements were backdated to the start of the year.