LONDON: The Revenue Commissioners has opened talks with the UK customs authorities about the implications of Britain leaving the European customs union after Brexit. Revenue Chairman Niall Cody said this was one of a number of scenarios that the organisation was examining along with Her Majesty’s Revenue and Customs, the tax agency in the UK. The meetings are part of discussions between the European Union 27 states and the UK.
The customs union allows free trade within the European Union and is seen as an important part of the existing trading relationship between the UK and Ireland. Following the Apple tax row, the Revenue Commissioners said it was reviewing tax opinions issued to companies prior to 2012. These opinions guide companies on particular tax issues. A tax opinion issued to Apple has been disputed by the EU which has directed Ireland to collect €13bn from the multinational. Ireland is fighting the case in the General Court of the EU. At the launch of its annual report, The Revenue Commissioners said it secured 17 criminal convictions for tax evasion last year and a further 31 cases are before the courts. The organisation said there were a further 108 cases under investigation with a view to prosecution. It said its audits and interventions to ensure compliance had yielded €555m.
Revenue’s annual report for 2016 also showed that it collected €47.95 billion for the Exchequer in 2016. Significant year-on-year increases were recorded in each of the main taxes, with income taxes up 4.5%, VAT up 4.2% and Corporation Tax up by 7%. Mr Cody noted that the overwhelming majority of taxpayers want to do the right thing and be tax compliant. “This is demonstrated by the very high timely return filing and payment rates in the 90%+ range,” he added. Mr Cody also said that Revenue’s response to fuel laundering including the introduction of a new marker in fuel had been a “game changer” in terms of reducing laundering. There was one mobile laundering unit detected last year.
