I am advised by the Revenue Commissioners that the following information provides the up to date position on court prosecutions initiated for tax evasion.
In 1997, there was one prosecution initiated for tax evasion. A fine of €635 was imposed with no custodial sentence. In 1998, there were six cases initiated and six convictions secured; fines totalling €42,854 were imposed. There were two custodial sentences, one of six months suspended and one of two years suspended. In 1999, there were two cases. In one case a fine of €19,046 was imposed with no custodial sentence. In 2000, three cases were initiated and three convictions were secured. Fines totalling €952 were imposed. There were two custodial sentences, one of two years, reduced to 18 months on appeal, and another of 12 months suspended.
In 2001, there were four cases and fines totalling €14,284 were imposed. There were four custodial sentences, one of 12 months, two of six months suspended and another of three months. In 2002, there were three cases initiated and three convictions secured. Fines totalling €5,540 were imposed and one custodial sentence of six months suspended. In 2003, there were six cases initiated and six convictions secured. Fines totalling €29,365 were imposed and one custodial sentence of two years suspended.
In 2004, there was one case, a fine of €5,000 was imposed and 180 hours community service was imposed in lieu of a three month custodial sentence. In 2005 to date, there have been eight cases, four of which are still in the court process. In the completed four cases, fines totalling €22,200 have been imposed. There has been one custodial sentence of three months, another sentence of 240 hours community service in lieu of a six months custodial sentence, another of 120 hours community service in lieu of three months custodial sentence and there is one case adjourned awaiting sentence.
The Revenue Commissioners have a clear policy of prosecuting cases of serious tax evasion. This function is tasked to their investigations and prosecutions division. Following Revenue Commissioners restructuring in 2003, all investigation activity was consolidated in this division with a remit to co-ordinate all Revenue Commissioners prosecution work and, in particular, to increase the number of criminal investigations for serious tax offences and ultimately to increase the number of prosecutions. The number of investigators was also increased for this purpose.
Recent figures indicate that this approach is proving successful. There are currently 47 cases under investigation for potential prosecution, the Director of Public Prosecutions is considering a further 13 cases and has given directions to prosecute in another six. Bench warrants have been issued in two cases for failure to attend court and, as I have stated, four cases are still in the court process. Combined with the four successful prosecutions to date in 2005, it is the highest overall figure to date and vindicates the decision to concentrate Revenue Commissioners' prosecution resources in one area.
