The Institute has been warning for some time that the earlier scheduling of Budget Day required to meet our Euro area obligations would also result in earlier pay and file dates for the self-employed.  As we all know, for many years the Self-Assessment pay and file date has been 31 October, and usually is extended to mid-November for those filing and paying electronically.  On 11 October 2013 the Department of Finance issued a consultation paper with a number of alternative dates, which could be set as new Self-Assessment pay and file deadlines by the forthcoming Finance Bill.  Any changes will take effect in 2014. Changes to the Pay and File deadlines will not only necessitate the filing of Income Tax returns earlier, but also the earlier payment of Preliminary Tax.  This will create significant cash flow difficulties for self assessed taxpayers, typically small indigenous service businesses.  The options being offered within the consultation paper are:

• Moving the Pay and File date to 30 June
• Moving the Pay and File date to a date in September, or
• Moving the Pay and File date to September but with modified payment arrangements for farmers and others receiving State payments

The consultation document does not rule out other arrangements being proposed by interested parties.