Dáil Éireann Debate, Tuesday - 16 October 2012
200. Deputy James Bannon asked the Minister for Finance the number of winding up petitions presented on behalf of the Revenue Commission in 2011 to date in 2012; and if he will make a statement on the matter. [44475/12]
View answerIn 2011 Revenue presented 62 petitions to the High Court to wind up companies that failed to meet their tax obligations and has presented 32 petitions to the High Court up to the 8th of October this year. Revenue has a strong focus on making sure that businesses comply with their tax and duty responsibilities by paying the right amount of tax on time. While Revenue is conscious of facilitating and supporting businesses, they expect businesses to continue, notwithstanding the more difficult economic circumstances in which they are now operating, to maintain a clear focus and organise their financial affairs to ensure that tax debts are paid as they fall due. Apart from the importance of timely compliance to the Exchequer, unfair competitive advantage achieved through persistent late or non-payment of tax undermines compliant businesses.
I am advised by the Revenue Commissioners that tax debts are only referred for collection enforcement, including the presentation of winding up petitions to the courts, where a taxpayer or business has failed to comply with their tax payment obligations and where no satisfactory proposals to address the debt have been made. Revenue will not initiate enforcement proceedings in situations where there is meaningful engagement and where the terms of any agreement are being adhered to. Revenue will petition the courts to wind up a company as only a last resort when all other options to encourage the business to meet its tax obligations have been exhausted.
