Written Answers. - Tax Evasion.
Michael Noonan
Question:
91
Mr. Noonan
asked the
Minister for Finance
if the report he has received from the Central Bank on alleged breaches of exchange regulations arising from the McCracken Tribunal makes reference to possible incidences of tax evasion; if so, if he intends discussing this matter with the Revenue Commissioners; if not, if he will inquire if the Revenue Commissioners have plans to investigate the Ansbacher accounts; and if he will make a statement on the matter.
[19641/97]
I have already made a statement indicating that the report from the Central Bank has been referred to the Director of Public Prosecutions for his consideration and any action he considers necessary. The report was also sent to the Revenue Commissioners for any necessary action and to the Tribunal of Inquiry (Payments to Messrs. Charles Haughey and Michael Lowry).
Having consulted the Attorney General, I have asked the Director of Public Prosecutions for his views as to whether communicating the Central Bank response to the Houses of the Oireachtas would prejudice consideration and possible prosecution by the DPP. His reply is awaited and until I receive it, the Deputy will appreciate that I cannot disclose any information contained in the Central Bank report.
On the question of the Ansbacher accounts, I would like to make it clear that the examination of the tax affairs of any individual or institution in the State is a matter solely for the Revenue Commissioners. The Minister for Finance does not get involved in such cases for obvious reasons. The Revenue Commissioners have already made it clear, following the publication of the tribunal report, that any action needed to uphold the implementation of the tax code in the light of the information contained in the McCracken report is being taken. Clearly any additional information in the Central Bank report and any other relevant information that emerges will also be taken into account by the Revenue Commissioners.
As regards access to bank accounts, the principal legislative provisions governing such access by Revenue are contained in section 18 of the Finance Act, 1983, and section 13 of the Waiver of Certain Tax, Interest and Penalties Act, 1993. These sections, which are similar in effect, provide that an authorised officer of the Revenue Commissioners may, in certain circumstances, seek an order from the High Court, or a determination of the Appeal Commissioners, to require a financial institution to provide particulars of undisclosed bank accounts. Information may be sought only in relation to a named individual who is ordinarily resident in the State and only in circumstances where that person has not made a return or the authorised officer has reason to believe that a return made by that person is incorrect.
Immediately on the publication of the McCracken Tribunal report, I requested the Revenue Commissioners, in conjunction with my Department, to carry out a review of their existing powers. If this review indicates that additional powers are required and these are shown to be desirable and likely to be effective, they will be included in the Finance Bill.
