Tax take of €28bn is below estimate

The Revenue collected €28 billion in tax last year, some €236 million below the Budget day's estimate. Chairman Mr Frank Daly blamed slower economic growth and foot-and-mouth disease for the slump in income tax, VAT and excise duties. US weakness also had an impact, as did the difficulties experienced by the tech sector.

Tax revenue to the Exchequer remains under pressure in 2002, although Mr Daly suggested there were hopeful signs that income tax and corporation tax in particular would improve in the second half of this year. Income taxes are running significantly behind Budget estimates.

Tax collection this year has been hit by timing factors caused by changes in the dates when key taxes are paid to the Exchequer. Budget tax cuts have also reduced the Revenue's take.

The chairman noted that economic conditions were likely to improve modestly in the second half of 2002 and said this should trigger an increase in the income tax and corporation tax collected in the months ahead.

Mr Daly welcomed this week's High Court decision to publish the Ansbacher list of depositors in full next Tuesday. Most people identified in the report have so far not co-operated with the Revenue, forcing the State's tax-collection agency to use its full legal powers to gather information.

Eight special investigators are working full-time on the inquiry. "It is a highly complex investigation. We are getting quite a lot of information but are getting little or no co-operation from people we believe to be account-holders."

Just five individuals with tax liabilities arising out of their use of the Ansbacher scheme have settled with the Revenue. A few others have made payments on account ahead of a settlement, bringing the total collected so far to €17.3 million.

The inquiry concerning NIB customers is near completion. The Revenue has collected €37.2 million from NIB customers and seven face prosecution. The Revenue's general audit work yielded a further €354 million from 16,403 cases.