Vol. 403 No. 8
55 Mr. Gilmore asked the Minister for Finance the estimated number of self-employed persons who failed to make tax returns last year; the proportion of tax returns made by the self-employed last year which were audited; if he intends to provide any additional staff for auditing returns of the self-employed; and if he will make a statement on the matter.
There are approximately 210,000 self-employed taxpayers on the Revenue Commissioners' records and of these 39,000, that is 18.5 per cent, had failed to lodge their statutory return of income for 1989-90 as at 1 October 1990. Following on their successful return compliance programme for the year 1988-89, which resulted in an overall income tax return filing rate of 92 per cent, the Revenue Commissioners are about to initiate a similar programme for the year 1989-90. The return of income is one of the cornerstones of a self assessment system and it is therefore the policy of the Revenue Commissioners to ensure that taxpayers who do not meet their statutory obligation to submit a return of income will be vigorously pursued and, if necessary, prosecuted.
A total of 96 inspectors have been trained for the purpose of carrying out audits under the self assessment system. Thirty-five of these are actually engaged on audit work at present and they had completed an examination of 563 returns for 1989-90 as at 30 November 1990. A further 349 audits were in progress as at that date. The remaining inspectors who have been trained for audit work will be progressively deployed in the audit area during the coming year. I might also add that in the six months to the 30 June 1990 a total of 31,329 audit visits were carried out by officials in connection with the drive against the black economy and in connection with Revenue programme for the PAYE, VAT and construction industry taxes.
