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Debt warehousing

  1. Overview
  2. Taxes included in the Warehousing Scheme
  3. Warehouse periods
  4. Warehouse extension 2022
  5. Qualifying terms and conditions
  6. Removal from warehouse
  7. Debt Warehousing benefits
  8. Repayment of warehouse debt

Debt Warehousing benefits

If you are in the Debt Warehouse Scheme, you can:

  • defer payment of the warehoused debt until 1 May 2024
  • reduce the warehoused debt at any stage by making payments using any of the Ways to make an online payment.
  • avail of the reduced interest warehouse Phased Payment Arrangements (PPA).

The following examples show the interest savings you could make with a reduced interest warehouse PPA.

  • Example 1

    A small nail bar in Co. Cork owes €10,000 in tax to Revenue.

    Tax owed to Revenue
    Tax description €5,000 VAT + €5,000 PREM = €10,000
    Tax periods covered  2020
    Warehouse period 2 end date  31 December 2022
    PPA application and interest breakdown
    PPA application date  January 2023
    PPA duration 24 months 36 months 
    Last instalment date 31 December 2024 31 December 2025
    Interest payable where the business benefits
    from Debt Warehousing reduced rates    		 €274.80  €400.32
    Interest payable where the business cannot
    benefit from Debt Warehousing reduced rates    		 €3,327.60  €3,633.12
    Interest savings with a warehouse PPA €3,052.80  €3,232.80
  • Example 2

    A popular takeaway restaurant in Co. Clare owes €50,000 tax to Revenue.

    Tax owed to Revenue
    Tax description €30,000 VAT + €20,000 PREM = €50,000
    Tax periods covered 2021
    Warehouse period 2 end date 31 December 2022
    PPA application and interest breakdown
    PPA application date  January 2023
    PPA duration 24 months 36 months 
    Last instalment date 31 December 2024 31 December 2025
    Interest payable where the business benefits €1,374.00  €2,001.60
    Interest payable where the business cannot
    benefit from Debt Warehousing reduced rates    		 €10,471.44  €12,139.20
    Interest savings with a warehouse PPA €9,097.44  €10,137.60
  • Example 3

    A HR consultancy company in Co. Galway owes €75,000 tax to Revenue.

    Tax owed to Revenue
    Tax description €75,000
    Tax periods covered 2020 and 2021
    Warehouse period 2 end date 30 April 2023

    PPA application and interest breakdown
    PPA application date January 2023
    PPA duration 24 months 36 months
    Last instalment date 31 December 2024 31 December 2025
    Interest payable where the business benefits €1,492.40 €2,463.32
    Interest payable where the business cannot
    benefit from Debt Warehousing reduced rates    		 €19,487.84 €22,006.64
    Interest savings with a warehouse PPA €17,995.44 €19,543.32
  • Example 4

    A small manufacturing company in Co. Kildare owes €100,000 tax to Revenue.

    Tax owed to Revenue
    Tax description €100,000 VAT
    Tax periods covered 2020 and 2021
    Warehouse period 2 end date 30 April 2023
    PPA application and interest breakdown
    PPA application date January 2023
    PPA duration 24 months 36 months
    Last instalment date 31 December 2024 31 December 2025
    Interest payable where the business benefits
    from Debt Warehousing reduced rates    		 €1,919.04 €3,166.92
    Interest payable where the business cannot
    benefit from Debt Warehousing reduced rates    		 €25,006.32 €28,246.32
    Interest savings with a warehouse PPA €23,087.28 €25,079.40
  • Example 5

    A large local supermarket in Dublin owes €250,000 tax to Revenue.

    Tax owed to Revenue
    Tax description €150,000 VAT + €100,000 PREM  = €250,000
    Tax periods covered 2020 and 2021
    Warehouse period 2 end date 31 December 2022
    PPA application and interest breakdown
    PPA application date January 2023
    PPA duration 24 months 36 months
    Last instalment date 31 December 2024 31 December 2025
    Interest payable where the business benefits from Debt Warehousing reduced rates €7,010.08 €10,219.00
    Interest payable where the business cannot benefit from Debt Warehousing reduced rates €58,964.80 €67,361.80
    Interest savings with a warehouse PPA €51,954.72 €57,142.80

Next: Repayment of warehouse debt

Published: 28 February 2023 Print this page

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