Revenue Commission Gears Up For Audits Of Wealthy Non-Residents

by Jason Gorringe, for LawAndTax-News.com, London

18 May 2004

In a letter sent to chairman of the Dail Public Accounts Committee, John Perry, seen by the Sunday Business Post, chairman of Ireland's Revenue Commissioners, Frank Daly revealed that the tax authority is gearing up to undertake audits of non-resident HNWI in the coming months.

Confirming the commencement of the next stage of the Revenue Commission's crackdown on tax evasion, which saw some 15,000 people come forward by the end of March to declare and pay tax on previously undisclosed assets held overseas, Mr Daly announced that:

"The high wealth individuals unit of our Large Cases Division, which deals with individuals with net worth in excess of EUR50 million will be auditing a number of claims to non-residence during 2004."

However, somewhat alarmingly for the Irish government, Mr Daly went on to reveal that:

"Unfortunately, at this stage we have no way of knowing the number of Irish domiciled people there are who are non-resident for Irish tax purposes."

"While returns of income for 2002 onwards ask individuals for this information, it is not captured electronically at this time. We therefore do not know whether there has been growth or decline in the numbers of Irish people in this category in recent years, or the extent, if any, of any exchequer impact."

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