The Minister for Finance Mr Michael Noonan TD, has today published the Finance (Tax Appeals Bill) 2015. This follows the commitment given by the Minister in his Budget statement 2014 to reform the role, functions and structure of the Office of the Appeal Commissioners. The objective of the proposed reforms is to improve the administration of the tax system, and provide enhanced arrangements for an independent, efficient, well-defined, clear and transparent system for appeals relating to decisions of the Revenue Commissioners, while delivering value for money and increased certainty for both taxpayers and the State.
Following the Minister’s announcement, the Department of Finance conducted a public consultation on the proposed reforms. Submissions were received in the main from representative bodies within the industry, from some tax practitioners, and from the Citizens Information Board on behalf of the taxpayer, as well as from the Revenue Commissioners. The Department has also had further engagement with the Revenue Commissioners and the representative bodies. These consultations have identified a wide range of proposals for reform.
One of the main proposals was to strengthen the independence, and the perceived independence, of the Appeal Commissioners. The measures to achieve this contained in this Bill include the establishment of a new Tax Appeals Commission to operate the revised arrangements. The Bill defines the functions of the new body and provides for appropriate selection and appointment provisions for Appeal Commissioners involving the Public Appointments Service, fixed-term appointments, a clear statutory statement of independence and new staffing arrangements. The proposed reforms will end the practice of appeals being made via the Revenue Commissioners.
Commenting in the Bill Minister Noonan said “I am pleased to publish this reforming legislation which should help to ensure a modern and responsive tax appeals system in Ireland. I want to thank the current Appeal Commissioners who have assisted with the preparation of these reforms and acknowledge the work they have performed on behalf of taxpayers over the last twenty plus years.”
The texts of the Bill and associated Explanatory Memorandum are at:
http://www.oireachtas.ie/ViewDoc.asp?DocId=-1&CatID=59&m=b).
ENDS
16th July 2015
Notes for Editors
Current tax appeals process
The Office of the Appeal Commissioners is the first appeal tribunal for decisions of the Revenue Commissioners concerning Income Tax, Corporation Tax, Capital Gains Tax, Stamp Duty, Capital Acquisitions Tax, Residential Property Tax, Customs Classification Cases, Excise Duty, Vehicle Registration Tax, Value Added Tax, and the Local Property Tax.
The Appeal Commissioners, who are appointed by the Minister for Finance, are completely independent of the Revenue Commissioners.
Reform of the appeal process
The appeal system has been under consideration over a number of years. There have been proposals for changes to the appeals system from representative bodies, and the following reports or tribunals have made recommendations on this area in that time:
the Steering Group on the Revenue Commissioners (2000)
the Dáil Committee of Public Accounts Final Report on the DIRT inquiry (2001)
the Revenue Powers Group Report (November 2003)
the Law Reform Commission Report on a Fiscal Prosecutor and A Revenue Court (2004)
the Commission on Taxation Report (2009)
