Farmers feature most on bogus accounts list

The latest tax defaulters' list shows that farmers were among the biggest users of bogus non-resident accounts as a means to …

The latest tax defaulters' list shows that farmers were among the biggest users of bogus non-resident accounts as a means to evade taxes in the 1980s and 1990s.

More than 120 farmers were among the 419 tax defaulters who made settlements of more than €12,700 with the Revenue Commissioners between April and June after being contacted by the tax authorities.

Company directors were the second-largest group of individuals to regularise their tax affairs and publicans, hoteliers and restaurateurs also made hefty payments.

The tax defaulters' list shows that most of the €36.9 million in settlements reached during the three months was gathered in tax districts outside of Dublin.

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Almost 60 individuals in Co Cork paid a total of €3.2 million in taxes, interest and penalties on funds the Revenue Commissioners discovered had been concealed in bogus non-resident accounts. Just over 40 tax evaders in Co Limerick contributed another €3 million. About half of the tax defaulters in the current list were from Munster.

In Mayo, the tax inspectors took €1.8 million from people. In the small town of Bunbeg in Co Donegal, a painting contractor, a retired chemist and a concrete supplier together paid more than €500,000 after receiving letters from the Revenue Commissioners identifying them as account holders.

Some 25 people throughout the State who feature on the list are now, retired while more than 30 individuals are deceased.

The tax defaulters paid substantial interest and penalties on top of the taxes owed.

One Cork farmer paid €77,000 in interest and penalties on tax of €25,979. Another defaulter in Co Kildare had to pay interest and penalties of €246,127 alongisde taxes of €278,474. In Limerick, one farmer and shopkeeper had tax outstanding of €13,402 but had to pay interest and penalties of €81,402.

Bogus non-resident account-holders have said they often opened the accounts on the advice of local bank officials. The individuals who are now being forced to make payments had ignored a previous Revenue campaign to encourage them to come forward and disclose their tax liabilities voluntarily.

An action group has been established providing advice to individuals who have found themselves in the sights of the Revneue Commissioners. It is exploring the possiblity of taking legal action against various financial institutions for advising and encouraging individuals to evade taxes.