Revenue publishes list of tax defaulters

Today (27 June 2017), Revenue published the List of Tax Defaulters in respect of the period 1 January 2017 to 31 March 2017. The list is published in Iris Oifigiúil in two parts.

Subject to certain criteria, Revenue publishes details of persons in whose case the Court has determined a penalty relating to a settlement, or has imposed a fine, imprisonment or other penalty in respect of a tax or duty offence (Part 1), and where Revenue has accepted a settlement offer instead of initiating court proceedings, or a settlement has been paid in full (Part 2).

Following changes introduced by the Minister for Finance in the Finance Act 2016, today (22 June 2017), for the first time, Part 2 of the published list reflects the amount of a settlement that remained unpaid at the end of the period (31 March 2017). Such unpaid amounts are subject to Revenue’s normal debt collection and enforcement procedures.

Part 1: Court Determinations

  • Court Determination of Penalty: Subject to certain criteria, in settlement cases where a person does not agree liability to a penalty, or fails to pay an agreed penalty, the Court determines the penalty. Details are published when the Court determined penalty exceeds 15% of the total tax and the total of the tax, interest and penalty is more than €35,000 and a qualifying disclosure has not been made:
    • 7 such cases are published and €735,005.01 is the total amount of the Court determined penalties.
  • Court imposed fine, imprisonment or other penalty: Details are published when a fine or other Court penalty is imposed in respect of tax or duty offences. These other Court penalties include imprisonment, partly suspended or suspended sentences, community service in lieu of imprisonment, and closure orders.
    • 252 such cases are published and €566,778 is the total of court fines imposed. This includes:
      • 143 cases of failure to file a tax return, failure to remit tax, failure to maintain books and records, or delivery of an incorrect return. Court fines of between €12,000 and €750 were imposed; other court penalties included imprisonment, partly suspended and suspended sentences;
      • 3 cases of claiming VAT repayments to which not entitled, in respect of each of which the Court imposed partly suspended prison sentence;
      • 58 cases of misuse of marked mineral oil, in respect of which Court fines of between €7,500 and €2,500 were imposed;
      • 3 cases of oil laundering in respect of which court penalties of 21 months’ imprisonment, 18 months’ imprisonment, and 2 years’ imprisonment suspended for 2 years were imposed;
      • 45 cases of excise, licencing and VRT offences including smuggling of tobacco or alcohol products, illegal selling of cigarettes, keeping untaxed tobacco for sale, failure to hold a liquor licence, possession of counterfeit alcohol for sale, illegal betting, and possession of an unregistered vehicle. Court fines of between €2,500 and €500 were imposed and other Court penalties included suspended sentences, community service orders and a closure order.

Part 2: Settlements

Settlements are published when the extensive voluntary disclosure options are not availed of and the default arises as a result of careless or deliberate behaviour:

  • 86 cases are published today and €14.40m is the total settlement amount in these cases;
  • 41 cases were for amounts exceeding €100,000
    • of which 5 exceeded €500,000
    • and 1 of which exceeded €1m;
  • 29 are cases in which the settlement was not fully paid as at 31 March 2017;
  • €4,100,064.59 was the amount unpaid as at 31 March 2017. Revenue vigorously pursues collection/enforcement of unpaid settlements. In some cases collection/recovery of the full unpaid amount will not be possible (for example, company liquidation).

Revenue Compliance Yield

These published settlements reflect only a portion of all Revenue audits and investigations.

In the 3 month period to 31 March 2017, a total of 1,351 Revenue audit and investigations, together with 23,233 Risk Management Interventions (Aspect Queries & Profile Interviews), were settled, resulting in yield of €109.37 million in tax, interest, and penalties.

List of tax defaulters

[ENDS 27/06/2017]