EP6605 - Underpayments/Overpayments: ESC A19: Basic tests to be applied

For tax to be given up all the conditions must be met, and several factors have to be considered. These factors are listed below. Apply each of them in turn to every case that you review for ESC A19 to help you decide whether or not the concession should be granted.

• For CY-2 or earlier is there an underpayment (EP6606+) that we have not previously notified to the taxpayer, or otherwise warned him about?

• Is there an over-repayment (EP6609) that we are notifying to the taxpayer more than 12 months after the end of the tax year in which the repayment was made?

• Do the arrears arise wholly or partly because of the Revenue's failure to make proper and timely use of information received from the taxpayer, his or her employer or the Department of Work and Pensions? (EP6611)

• Did the information indicate that more tax was due?

• Are we notifying the taxpayer of the arrears more than 12 months after the end of the tax year in which we received the information? (EP6615)

• Do the "exceptional circumstances" apply? (In which case CY-1 may also be eligible for remission) (EP6616)

• If you are satisfied that we are notifying the arrears outside the time limits, was it reasonable for the taxpayer to believe that his or her affairs were in order? (EP6618) For the concession to apply this test must be satisfied in every case.