AITI Chartered Tax Adviser

Tax audits

A visit from a Revenue official can be stressful. Our job is to minimise that stress and ensure that Revenue queries are dealt with promptly and efficiently so you can get on with running your business.

Here are some of the ways we can help:

  • Perform pre audit reviews and prepare a voluntary disclosure
  • Compute tax liabilities including interest and penalties where relevant
  • Negotiate settlements with the Revenue Commissioners
  • Resolve technical tax issues
  • Appeal notices of assessments

Recent cases we have handled:

  • Successfully negotiated settlement with the Revenue Commissioner as part of the National Contractor Project.
  • Finalised a CAT audit where Revenue were claiming €30k plus interest and penalties with a settlement of €10k.
  • Finalised a CAT audit where Revenue were claiming €120k plus interest and penalties with a settlement of NIL.

Revenue enquiry

Revenue make the point that an enquiry into a taxpayer’s affairs is not the same as an audit, although from the taxpayer’s point of view there is often little difference other than that he is denied the ability to make a voluntary disclosure prior to the commencement of the enquiry.

Depending on the nature of what is being enquired into, the matter may be more serious that an audit. If for example, Revenue have evidence of an undisclosed offshore account, or undisclosed sources of income, they may initiate an enquiry with a view to gathering evidence for prosecution. This may involve seizure of records, computers and documentation.

At the other end of the scale, Revenue may use their powers of enquiry simply to cross-check a (sales) transaction in one trader’s records against the equivalent (purchases) transaction in the customer’s records.

Revenue investigations

A Revenue investigation is normally a much more drawn out affair and will usually go beyond the six year time limit for holding records. Settlement penalties for Revenue investigations tend to be heavier, i.e., for “deliberate” as opposed to “careless” behaviour.

We will ensure the client is properly represented and avails of all available legal remedies.

Tax settlements

Where there have been irregularities, we will calculate tax, interest and penalties and negotiate a settlement with Revenue on your behalf.

Recent work we have completed:

  • Revenue investigation of taxi owner – undeclared income of €500k over 10 years, we filed amended returns and agreed a settlement figure of €170 in respect of tax, interest and penalties.
  • Revenue audit of a club – Revenue initially claimed €250k was owing – we agreed a settlement of €75k.
  • Revenue audit of an entertainment venue – Revenue claimed clawback of €500k VAT claimed on acquisition of property – we reduced this to €100k using capital good scheme adjustment for trapped VAT.
  • Revenue audit of a manufacturer – Revenue claimed €120k – we agreed settlement of €60k.
  • Revenue audit of property landlord – Revenue claimed €120k – we agreed settlement of NIL.
  • National Contractors Project Audit – Revenue claimed 75% penalty – we limited the audit  to four years and the agreed penalty of 20%.