General welcome from accountancy bodies

The new Revenue powers have received a broad welcome from the main accountancy bodies, although they have differed over whether…

The new Revenue powers have received a broad welcome from the main accountancy bodies, although they have differed over whether there is a need for additional safeguards for taxpayers.

Responding to calls from the Institute of Taxation for a new ombudsman on taxation to protect taxpayers, the Institute of Chartered Accountants of Ireland (ICAI) said there already was an ombudsman whose remit covered Revenue matters. The chief executive, Mr Brian Walsh, said "rather than create a new structure, a review of the existing ombudsman's role and resources should suffice".

He said an ombudsman was "reactive", dealing with complaints after the event. The institute instead suggested the Government appoint an "oversight board" made up of independent people drawn from the social partners, to ensure policy is being implemented in "a fair and consistent manner". The Certified Public Accountants of Ireland (CPA) said people had to expect the Revenue to apply its new powers fairly. The chief executive, Mr Eamonn Siggins, said there were already structures in place for accountants and other tax practitioners to deal problems involving the Revenue Commissioners.

He said the Taxation Administration Liasion Committee (TALC), which included the four main accountancy bodies and the Law Society, already dealt with difficulties which arise.

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He said CPA "regretted" that the new powers were necessary, but recent events had shown there was no other way.

The Association of Chartered Accountants (ACCA) said "innocent taxpayers needed protection" and that an independent professional, like the Director of Consumer Affairs, should assess applications from Revenue for access to accounts.

"There should be statutory safeguards to protect the public from overzealous use of investigative powers," it said.

Mr Siggins said the Revenue had no track record of exceeding its powers and there was no reason to believe it would this time. He added that the Minister for Finance, Mr McCreevy, would continue to monitor how the powers were being used and this was re-assuring.

The Irish Bankers Federation said it was studying the powers in the Finance Bill, but said it was too early to comment.