Research has shown most people are reluctant to set up online direct debit arrangements to pay their tax returns on concern the Revenue will take too much, or deduct the tax too soon.
The survey by the Institute of Chartered Accountants in Ireland found that, although over 80% are happy to file their accounts online, two thirds of respondents prefer to write a cheque instead of paying online.
ICAI Director of Taxation, Brian Keegan said: 'Our findings show that Revenue have got it right in terms of how electronic filing should work, but have some distance to go to persuade taxpayers that it is safe to make tax payments over the internet.'
He said the take up of electronic filing in Ireland is very high by international standards, but electronic payments lag behind.
He said the Revenue needs to market the advantages of making tax payments online such as the likelihood of paying more accurate amounts, and less risk of penalties and fines for less timely returns.