Monthly direct debit

Preliminary Income Tax

Revenue collects direct debit payment for preliminary Income Tax on the ninth day of the month, or nearest working day. You cannot select a different deduction date.

Setting up a preliminary Income Tax direct debit

To be eligible to set up a direct debit for Income Tax you must:

  • apply through Revenue Online Service (ROS)
  • ensure that your monthly payments are large enough to cover your preliminary Income Tax amount
  • make a minimum of three equal monthly payments in the first year you join the direct debit scheme
  • make a minimum of eight equal monthly payments in the following years.

Amending a preliminary Income Tax direct debit

You can increase or decrease the amount you pay monthly at any stage during the year on ROS. You can also change your bank details for your direct debit on ROS. You must make sure that after amending the direct debit you will still meet your expected preliminary Income Tax amount.

Revenue can charge you interest and penalties if there is an underpayment.

Suspending a preliminary Income Tax direct debit

You can choose to suspend your direct debit payments for preliminary Income Tax during the year. If you suspend your payments, you must still ensure that:

  • you make three equal payments in your first year
  • you make eight equal payments in the following years.

If you make the relevant number of payments, you can take the option to pay your preliminary Income Tax under the 105% rule.

Cancelling a preliminary Income Tax direct debit

You can cancel your direct debit at any stage through ROS.

Missed or unpaid preliminary Income Tax payments

Your bank may return your payment as ‘unpaid’. If it does we will send a letter to inform you that the payment was unsuccessful.

It is your responsibility to pay the missed payment. You can pay the missed payment:

  • through ROS
  • by debit or credit card.

We may remove you from the direct debit scheme when direct debits are unpaid.

Next: Local Property Tax (LPT)