93% of the €3.2 billion of debt warehoused by Revenue has now been either paid in full, or has had a phased payment arrangement agreed in relation to it.
The scheme, which has now ended, allowed businesses to temporarily defer VAT and Employer PAYE, certain self-assessed income tax liabilities, and Temporary Wage Subsidy Scheme and Employment Wage Subsidy Scheme overpayments on an interest-free basis for an extended period of time.
Businesses had until 1 May to engage with Revenue in respect of their individual circumstances and discuss arrangements to pay their warehoused tax liabilities.
A new report from Revenue shows a significant level of engagement in the weeks leading up to the May deadline.
€100 million of warehoused debt was collected in May, while 9,987 payment arrangements, covering €973 million of warehoused debt, were secured after 1 April.
Revenue said the phased payment arrangements already agreed cover almost €1.2 billion of warehoused debt owed by 12,747 businesses.
The majority of these arrangements will be completed within the standard five year period, while the remaining 600 have been agreed for extended timeframes.
"This additional flexibility was agreed by Revenue based on individual circumstances and where the business concerned was able to demonstrate it future viability," Revenue said in a statement.
Revenue said it will monitor compliance with the terms of the payment arrangements.
It reminded businesses availing of these arrangements that in order to continue availing of the 0% interest rate, all current returns and liabilities should be submitted and paid on time.
"Where businesses are struggling to pay current taxes, the advice remains to engage with Revenue as soon as these difficulties arise, so that a mutually acceptable solution can be found," Revenue said.
On 9 May, Revenue issued demands to around 11,700 businesses that had debt in the warehouse but had not engaged with Revenue to address this debt ahead of the deadline of 1 May.
It said almost 40% of businesses that received this demand engaged with Revenue.
The remaining 7,024 businesses, with a total debt of €100 million, did not engage and have now been removed from the warehouse.
"This debt is now subject to normal collection and enforcement proceedings, and is subject to interest at the standard rate of 8% or 10% as appropriate," Revenue said.
In a statement, Minister for Finance Michael McGrath acknowledged the work of the Collector General's division in Revenue.
"Thanks to their efforts, the scheme successfully offered valuable and practical liquidity support to businesses by assisting with their cash-flow, thereby preventing business failure," he said.
"I also wish to acknowledge the significant levels of engagement to date by taxpayers and their agents in agreeing realistic payment plans tailored to their particular circumstances.
"As a result of their engagement, the amount of warehoused tax debt has reduced by a substantial €284 million since January of this year," he added.
