Michael McGrath (Cork South Central, Fianna Fail)
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I am advised by Revenue that, while the majority of PAYE taxpayers who file returns now do so themselves, a taxpayer may engage an agent to act on their behalf. This is a commercial and professional engagement between the taxpayer and the agent. However it does not remove the responsibility on the taxpayer to ensure that any claim made on their behalf is correct.

Revenue has no role regarding the level of fees charged by an agent or advisor or how those fees are collected. This is a matter between the agent or advisor and the taxpayer. Taxpayer should familiarise themselves with the terms of any agreement with their agent or advisor.

Revenue’s website contains guidance for taxpayers on what it means when they appoint an agent to deal with their tax affairs. This guidance is available at the following link: www.revenue.ie/en/jobs-and-pensions/tax-agent-tax-service/index.aspx

I am further advised by Revenue that the agent authorisation process is comprehensive and includes the following steps:

• When an individual taxpayer signs up with an agent, they provide that agent with personal information, including their PPS number, date of birth and signature.
• The appointed agent then uses this information to complete the relevant Authorisation Form and sends copies to both Revenue and the taxpayer concerned. Form PAYE A1 authorises an agent to act on a taxpayer’s behalf, while Form PAYE A2 authorises an agent to receive tax refunds directly on a taxpayer’s behalf.
• On receipt of this form, Revenue will issue written correspondence to the taxpayer at the address on their Revenue record, informing them that Revenue has been advised by the named agent that they are now acting on the taxpayer’s behalf.
• Where a Form PAYE A2 has been submitted to Revenue, a second letter is issued to the same address, advising the taxpayer that the bank details on their Revenue record have been updated.
• The correspondence issued to the taxpayer by Revenue advises the taxpayer to contact Revenue immediately if there are any issues with the changes made.
• Where a refund is claimed online, Revenue will transfer the refund directly to the bank account details on the individual’s Revenue record.
• Where a Form PAYE A2 has been submitted and the taxpayer has not contacted Revenue to advise that the updated bank account details are incorrect, the refund will issue to the taxpayer’s appointed agent in line with the taxpayer’s authorisation. In some cases, the agent may deduct their fee from the refund before paying the balance of the amount to their client.

Revenue allocates a Tax Agent Identification Number (TAIN) as part of an administrative process by which a tax agent or transaction advisor can be identified as an intermediary that acts on behalf of those taxpayers who have opted to appoint that particular agent or advisor to deal with their tax affairs on their behalf.

Revenue's Tax and Duty Manual (TDM) Part 37-00-04b provides guidance for tax advisors and agents acting on behalf of taxpayers, including information on how to register for a TAIN. There are no prerequisite criteria and being recognised as an agent does not confer any approval or endorsement by Revenue of an agent’s qualifications, experience or other ability to act as a tax agent. The recently updated TDM is available on Revenue’s website at the following link: www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-37/37-00-04b.pdf

I am further advised by Revenue that it engages with all customers who contact it with a complaint regarding an agent. Such complaints are fully investigated by Revenue and so any taxpayers with concerns about their interactions with a tax agent or advisor should be advised to contact Revenue through MyEnquiries.

While the Central Bank of Ireland has no remit over tax agents or intermediaries, I am advised that Revenue operates an Agent Compliance Program, which involves investigating customer complaints with agents, thereby providing assurance that agents are adhering to the process outlined in the TDM and, if there is any deviation, agreeing remedial actions to address this. In that regard, although Revenue cannot comment on individual taxpayers or entities, Revenue has advised that it carried out 14 site visits to PAYE agents in the period 1 September 2022 to 31 December 2023.

In relation to matters raised recently in the media, Revenue has advised me that, where it has been able to identify the individuals concerned, it is following up with them. It also advises me that from the 8 February 2024, it has provided detailed replies to media queries raised with it. Revenue further advises that it regularly reviews its processes for agents and the matters raised in recent weeks will be considered as part of its agent compliance strategy.

Finally, it is worth noting that, in recent weeks, an extensive information campaign was launched to raise awareness among PAYE taxpayers about Revenue’s quick, easy, and free to use myAccount service, which taxpayers can use to finalise their tax position. As of 23 February 2024, PAYE taxpayers have filed more than 800,000 PAYE Income Tax Returns for 2023, of which over 547,000 were eligible for and received refunds amounting to €410 million in respect of the 2023 tax year. Of these returns, approximately 85% were filed directly by the taxpayer.