Rose Conway-Walsh (Mayo, Sinn Fein)
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296. To ask the Minister for Finance the total volume of warehouse taxes currently due; if he will include a sectoral breakdown; the timelines within which businesses are required to make these payments; and if he will make a statement on the matter. [9135/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Tax Debt Warehousing (TDW) scheme was introduced in May 2020 to provide vital liquidity support to businesses impacted by COVID-19 trading restrictions, thereby helping to support their long-term economic viability and survival. The scheme allowed businesses to temporarily ‘park’ eligible taxes on an interest-free basis, the vast majority of which related to VAT and payroll taxes deducted by employers from their employees.

The scheme has now ended but relevant businesses had until 1 May 2024 to engage meaningfully with Revenue in respect of their individual circumstances and discuss arrangements to pay their warehoused tax liabilities.

At its peak in January 2022, almost 105,000 customers had warehoused circa €3.2 billion debt, the vast majority of which related to VAT and payroll taxes. The pro-active management of the TDW was a key priority for Revenue during 2024. I am advised by Revenue that €3 billion (93%) of that warehoused debt had, at end 2024, been either settled (€1.9 billion) or secured under a Phased Payment Agreement (PPA) (€1 billion). A further €172 million was deemed uncollectable debt for reasons such as liquidation, examinership, bankruptcy and the remaining €54 million constitutes pursuable arrears.

At the end of 2024, 11,399 taxpayers had a PPA in respect of warehoused debt, of which over 94% are expected to be completed within the next five years. The average amount of outstanding warehoused debt owed per taxpayer is €91,000, with an average PPA term of four years.

The majority of those taxpayers (6,822 taxpayers, i.e. 60% of the taxpayers with outstanding warehoused debt) operated in one of the following four sectors – ‘Wholesale and Retail’, ‘Professional, Scientific and Technical Services’, ‘Accommodation and Food service activities’ and ‘Construction’ and were responsible for €606 million in warehoused debt. Broken down by sector, the largest aggregate amount of outstanding warehoused debt is in ‘Wholesale and Retail’ trade, 22% of the overall warehoused debt, 2,057 taxpayers. Further breakdown of warehoused debt by sector is included in the following table, as advised by Revenue: