Dáil Éireann díospóireacht -
Tuesday, 21 May 1996

Vol. 465 No. 6

Written Answers. - Revenue Commissioners Powers.

Willie O'Dea

Ceist:

97 Mr. O'Dea asked the Minister for Finance the number of occasions during 1994 and 1995 that the Revenue Commissioners exercised their powers to search a premises for records under section 34 of the Finance Act - 1976, to search a person under section 181 of the Finance Act, 1992 or section 18 of the VAT Act, 1972, to arrest an individual under either section 27 of the VAT Act, 1972 or section 189 of the Finance Act, 1992, to seize goods under section 27 of the VAT Act, 1972 or section 189 of the Finance Act, 1992, or to enter and inspect property under section 34 of the Finance Act, 1976 or section 232 of the Finance Act, 1992. [10143/96]

Minister for Finance (Mr. Quinn)

I understand that the use of the powers referred to was authorised in a total of 25 cases in 1994 and 1995 but that actual use of the formal powers was necessary in ten cases only, details of which are as follows under the headings mentioned by the Deputy.

1. Section 34 (2) B Finance Act, 1976. (Power to search a premises for records or property)

Used 1994 0

Used 1995 2

2. Section 18 (ii) (a) VAT Act, 1972 as amended by section 181 Finance Act, 1992. (Power to search a person where an authorised officer has reason to believe that he-she has evidence which may be required in criminal proceedings in relation to VAT about his-her person and does not produce it on request)

Used 1994 0

Used 1995 0

3. Section 27 [(9A)] VAT Act, 1972 as amended by section 189 Finance Act, 1992. (Power to arrest where there are grounds for suspecting that a criminal offence in relation to VAT has been committed by an individual who is not established in the State or who is thought likely to leave the State).

Used 1994 0

Used 1995 0

4. Section 27 [(9A)] VAT Act, 1972 as amended by section 189 Finance Act, 1992. (Power to detain goods liable to forfeiture and to seize those goods)

	Detention	Seizure
Used 1994	1	1
Used 1995	3	2*

*A third seizure took place in 1996 which had been authorised in 1995.

5. Section 34 Finance Act, 1976, as amended by section 232 Finance Act, 1992.

(Power to enter premises and examine property listed in any records).

Used 1994 0

Used 1995 1

I stress that the figures relate only to cases where formal recourse to the relevant powers was necessary. In this context the Commissioners' experience has been that, in most cases, co-operation from taxpayers as regards provision of information and access to records is forthcoming with the result that the Commissioners do not have to consider formally using the powers in question. In fact, between 1994 and 1995 the Commissioners undertook 51,762 tax audits of various kinds and as can be inferred from the statistics above, it was possible to resolve almost all of these cases with the co-operation of taxpayers and using only very basic powers as distinct from the non-routine powers referred to by the Deputy.

Finally, the fact that these powers are available must be a consideration in Revenue's success in promoting voluntary compliance and, of course, they are essential for dealing with the small minority who seek to evade their obligations and do not wish to co-operate with Revenue requirements.