C&AG report criticises tax write offs by Revenue

A substantial amount of tax has been inappropriately written off by the Revenue Commissioners because of weaknesses in its collection…

A substantial amount of tax has been inappropriately written off by the Revenue Commissioners because of weaknesses in its collection system according to a new report.

The annual report of the Comptroller and Auditor General said after undertaking an in depth examination it was concerned that some individuals were employing a "hide and frustrate" approach to tax liability.

A number of cases had been found to involve the use of private limited companies and individuals who had systematically evaded tax for some time.

It said there needed to be closer co-operation between the Revenue and the Companies Registration Office.

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The Comptroller's report recommended that certain categories of write off must be subjected to a sharper review.

"A more time-consuming review of the proposed write off cases over a predetermined monetary value, including cross checking with related registrations and principals and other information sources, should pay dividends in the management and control of future cases," it added.

Eoin Burke-Kennedy

Eoin Burke-Kennedy

Eoin Burke-Kennedy is Economics Correspondent of The Irish Times