You can supplement the prepayment amount after the tax year by making an additional prepayment
If the tax withheld or prepayments made during the tax year do not cover the taxes for the entire year, you must pay the missing amount as back taxes after the tax assessment has been completed. If you want to pay the missing amount before that, you can request an additional prepayment. If you make an additional prepayment, you can reduce the amount of back taxes and the interest calculated on them.
For individual taxpayers (private individuals, self-employed individuals), the minimum additional prepayment is €170. For corporate entities, the minimum additional prepayment is €500. Smaller amounts must be paid as back taxes after the final tax assessment.
When can I make an additional prepayment?
You cannot make an additional prepayment until after the tax year has ended. During the tax year, you cannot make an additional prepayment to supplement your tax payments. Instead, you must request a prepayment calculation or a change to your prepayment amount.
For individual taxpayers, the tax year is the calendar year. Individuals can make additional prepayments without late-payment interest with relief up until the end of January.
If the due date of the additional prepayment is after 31 January, you will also have to pay late-payment interest with relief. Read more about late-payment interest with relief.
If the accounting period of a self-employed individual is other than the calendar month, the tax year comprises all the accounting periods that end during the calendar year.
For corporate taxpayers, the tax year is usually the accounting period. If the accounting period is not the calendar year, the tax year is determined by the end date of the accounting period. The tax year comprises all the accounting periods that end during the calendar year. Corporate taxpayers can make additional prepayments without late-payment interest with relief for a period of one month after the end date of the tax year.
If the due date of the additional prepayment is a later date, you will also have to pay late-payment interest with relief. Read more about late-payment interest with relief.
How to request and make an additional prepayment
You must submit an application for an additional prepayment before actually paying it so that the payment can be allocated to the right tax.
Note: If the due date you select for the additional prepayment is the last day of the month, the Tax Administration will use your other unused payments or refunds to cover the additional prepayment at the end of the month.
Example: Your company pays a VAT of €1,000 for March. The due date for the March VAT is 12 May, but you pay it in advance on 20 April. Because the VAT has not fallen due yet, the payment cannot be used for it at this point. The payment must wait for the due date.
In April, you make an additional prepayment of €1,500 to supplement your company’s income tax amount. The due date you select is 30 April. It takes 1–2 days for the payment to be transmitted to the Tax Administration, so the payment does not arrive on the day it is paid. Because of this, the €1,000 you paid on 20 April will be used to pay the additional prepayment on 30 April. Consequently, you must pay the VAT for March again.
When your payment of €1,500 arrives at the Tax Administration, €500 will be used to cover the rest of the additional prepayment. Part of the payment will be used for late-payment interest with relief, calculated for the period 1 February–30 April. The remaining amount will be used for your other income taxes. If you have no such taxes, the amount will be refunded to you.