Revenue freezing bank accounts over unpaid VAT?

[Brendan Burgess]

How common is this practice?

I was told of a case where the Revenue froze a bank account where the VAT or PAYE was 6 weeks late. I expressed severe doubt over the accuracy of the story but was told this was a common practice.

I am surprised that I had not heard it before.

What is the process? Do they need a court order?

Brendan

 

[papervalue]

How common is this practice?

I was told of a case where the Revenue froze a bank account where the VAT or PAYE was 6 weeks late. I expressed severe doubt over the accuracy of the story but was told this was a common practice.

I am surprised that I had not heard it before.

Brendan

I would not think it is common at all. To freeze a bank account you would have to have a large liablity and maybe a few years outstanding taxes.
They could be a lot more to this story.

 

[onlineprint]

I would not think it is common at all. To freeze a bank account you would have to have a large liablity and maybe a few years outstanding taxes.
They could be a lot more to this story.

I had a friend who had his bank account froze by the Revenue for unpaid PRSI and VAT repayments outstanding for over 1 year and has been ongoing for over 2 years

 

[Graham_07]

This would be an extremely unusual practice. In 20 years in practice as an accountant I have never encountered it being resorted to by Revenue.

 

[Bank Manager]

Brendan,

This is becoming a more common tactic by the Revenue - they serve an attachment order and in effect they freeze the customer's account - until we get the all clear from the revenue; account stays frozen. We are never privy as to how long the the debt is overdue to the revenue (though we are advised of the amount), which can be relatively small - have seen one for E6k.

On the other side - it seems to solve their problem - as in most cases the order is lifted within a few days (next day in some cases).

Regards,


BM

 

[simplyjoe]

I have seen it in a few cases. Both cases were severely late and the clients had no excuses. It did however work in both cases.