Power of attachment to Wages/Salaries

Finance Act 2011 extended the power of attachment to wages/salaries in the enforcement of debt due to the Revenue Commissioners. This means that the Revenue Commissioners can demand that an employer pays part of the employee’s wages directly to the Revenue Commissioners when that employee owes tax. The Revenue Commissioners have now issued guidelines on this issue. A power of attachment can only be issued when: 

-  the total tax debt (including interest & penalties) is a minimum of €10,000

-  the debt is in default for at least 6 months

-  gross earnings are in excess of €50,000 per annum

-  a demand notice has first been issued to the taxpayer

20.01.2012. 09:19