Revenue Commissioners Collect EUR9 Million In Offshore Crackdown

by Jason Gorringe, Tax-News.com, London

12 March 2004

Ireland's Revenue Commissioners announced this week that EUR9 million in tax arrears has been collected as part of a planned crackdown on offshore assets held by Irish residents.

In February, the tax authority announced that it would be undertaking a “comprehensive investigation” of bank accounts and other investments held outside the country in cases where it is suspected that the income has not been declared for tax purposes.

Using the familiar carrot and stick approach, the Revenue has offered reduced penalties and omission from the quarterly defaulters list if suspects make a ‘Qualified Disclosure’ before an investigation commences.

In a statement released last month, the Irish tax authority pledged to “employ all its increased powers” to ensnare taxpayers who continue to evade its grasp.

Since the clampdown was announced, 10 banks and financial institutions have written to around 120,000 Irish resident customers urging them to come forward before the Revenue investigation officially begins.

However, according to reports, the tax authority expects that less than 10% of those potentially affected by the crackdown will come forward before the March 29 deadline

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