Dáil Éireann Debate, Thursday - 14 October 2004
30 Mr. S. Ryan asked the Minister for Finance if he has satisfied himself that all appropriate measures are being taken to stamp out tax evasion, having regard to the continuing number of settlements, some involving huge sums of money, being reported by the Revenue Commissioners each quarter; the policy of the Revenue Commissioners in regard to prosecutions; and if he will make a statement on the matter. [24669/04]
Amharc ar fhreagraI am satisfied that the Revenue Commissioners are pursuing a programme which is dealing in a very determined way with tax evasion. The Revenue Commissioners are taking an approach which combines the use of monetary settlement, publication, criminal investigation and prosecution and which has yielded significant results in recent years.
Having regard to the extensive resources required and the significant evidential requirements in prosecuting cases of serious tax evasion, the majority of cases are dealt with by means of monetary settlement. This involves payment of the tax evaded, interest and penalties and, provided the case meets the criteria in section 1086 of the Taxes Consolidation Act 1997, publication. It is worth noting that in settlement cases the ultimate sum paid is usually a multiple of three to four times the tax originally evaded and that this constitutes a significant and painful penalty.
The Revenue Commissioners also now have a clear policy of prosecuting cases of serious tax evasion each year despite the evidential difficulties involved and the resource intensive nature of this work. This work is dealt with in their investigations and prosecutions division which has a clear mandate to increase the number of such cases coming to court. Recent figures indicate that this new approach is proving successful. Currently, 41 cases are under investigation for prosecution and 11 cases are with the DPP. Directions to prosecute have been received from the DPP in another nine cases and these are proceeding to court. Bench warrants have been issued in two cases and one case is before the courts.
It should be noted that the Revenue Commissioners also take in excess of 1,000 prosecutions in the district courts each year in cases related to non-filing of tax returns.
