THERE HAS been an increase in individuals filing tax returns, despite the economic downturn. A total of 411,167 returns were filed this year, compared to 402,718 for the last tax year – an increase of 2 per cent.

The deadline for people filing income tax returns through the Revenue’s online system was Monday, November 16th, while those using the traditional method were required to file two weeks earlier. At a time when credit is tight, it seems many self-employed individuals may have decided to benefit from the two weeks of extra cash flow. The number using the online method increased this year – 316,599 tax returns were filed electronically compared to 303,066 last year. This represents 77 per cent of the total number of returns filed.

The Revenue has been encouraging more people to switch to the online method in recent years. Mark Redmond, chief executive of the Irish Taxation Institute, said the increase in electronic tax returns was welcome but that indications are the yield will be lower.