Vol. 410 No. 3
7 Mr. Noonan (Limerick East): asked the Minister for Finance if his attention has been drawn to the fact that the Revenue Commissioners are now referring cases to the Revenue sheriffs at a very early date in the collection process; if he will ensure that all normal procedures are undergone before cases are referred to the Revenue sheriff; and if he will make a statement on the matter.
The key to a successful tax collection system is to secure timely payment of current taxes. Timely payment not only maximises the cashflow benefit to the Exchequer but also reduces the risk of default when accumulated arrears may ultimately exceed the taxpayer's capacity to pay.
I am advised by the Revenue Commissioners that since the 1988 tax amnesty they have consistently maintained a firm pursuit policy in order to secure timely payment of current taxes. Timely payment normally means payment every month for PAYE/PRSI, payment every second month for VAT or payment once or twice per year for other taxes as appropriate.
Enforcement through the sheriffs, court proceedings or attachment is initiated only after a taxpayer has failed to respond to the normal requests for payment and arises at a stage when the vast majority of taxpayers have already complied.
The commissioners are conscious of the need to ensure that the non-compliant minority of taxpayers do not secure an unfair commercial advantage over those who pay their taxes on time.
