Vol. 515 No. 1
28 Ms Shortall asked the Minister for Finance the investigations, if any, carried out or planned into reports of the operation during the 1980s of a Liechtenstein based tax evasion scheme; and if he will make a statement on the matter. [5270/00]
I understand from the Revenue Commissioners that information became available to them last November concerning the scheme in question and an investigation into the scheme was commenced immediately. The investigation is continuing and is being handled in conjunction with inquiries into other offshore accounts.
The Minister has repeated his response to my colleague, Deputy Rabbitte, in December. Surely he is in a position at this stage to tell us whether the scheme was set up, whether there was a loss to the Exchequer as a result of this and whether he is satisfied Revenue have the information necessary to get to the bottom of it.
I understand the scheme in question was highly secretive and all relevant information is not readily available. Tax liabilities are being reviewed in conjunction with other inquiries and information is emerging from other sources. It is too early to say when the overall inquiry will be concluded or what the outcome will be. The inquiry is being handled in conjunction with other offshore inquiries by a team of officers set up to inquire into the so-called Ansbacher accounts. The Deputy will be aware that Revenue have substantial powers to counter tax evasion, particularly the powers given to them in last year's Finance Bill. However, if further powers or a strengthening of the existing powers are needed, I will consider this matter. I have no further information on the scheme at present.
I am astonished the Minister is telling us that some four months after this programme was first broadcast by RTE he knows nothing more about the matter than he knew then. Is he even in a position to say whether he is satisfied the scheme was set up and that there was an effort at tax evasion? Has he sought any interim report from Revenue?
From inquiries made to the Revenue Commissioners, it is not clear at this stage whether the scheme was ever set up. The Revenue Commissioners are investigating this as part of the investigation into the Ansbacher accounts. The same team of officers are working on the issue. It is not clear at this stage if the scheme went ahead. The answers will be provided in due course when the investigations are completed. The Minister for Finance does not become involved in the direct operations of the Revenue Commissioners nor is he given information on who is being investigated or otherwise.
Has the Minister received any report on this matter from the Revenue Commissioners or has he received advice that amending legislation should be introduced to regulate offshore trusts such as this?
I have not received any correspondence from the Revenue Commissioners suggesting that any strengthening of powers is needed at this time. As I said in reply to Deputy McDowell, it is not clear at this stage whether the scheme referred to ever went ahead at least on a wide scale. As far as I am aware from newspaper reports, perhaps the name of just one person is linked to this scheme. I am sure this will be revealed when the Revenue Commissioners have completed their investigations into these matters.
