Ireland: Ireland’s cooperative compliance framework
International Tax Review is part of the Delinian Group, Delinian Limited, 4 Bouverie Street, London, EC4Y 8AX, Registered in England & Wales, Company number 00954730
Copyright © Delinian Limited and its affiliated companies 2024

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Ireland: Ireland’s cooperative compliance framework

intl-updates-small.jpg
duffy.jpg
stapleton.jpg

Joe Duffy

Kathryn Stapleton

The Irish Revenue Commissioners (Irish Revenue) has relaunched its cooperative compliance framework (CCF) for large cases division (LCD) taxpayers with effect from January 1 2017.

The CCF is designed to promote open communication between Irish Revenue and larger taxpayers, reflecting the mutual interest in being certain about tax liabilities and ensuring there are no surprises in later reviews. It is entirely voluntary.

Ireland originally introduced the CCF in 2005 with a view to managing the tax risks of LCD taxpayers in a more efficient and effective manner. However, following a review of the current operation of the CCF, it was decided to relaunch it. The review included an analysis of feedback received from taxpayers, case managers within Irish Revenue and also the evaluation of best international practice and other frameworks. The results of the review demonstrated that there was a lack of clarity among taxpayers, agents and Irish Revenue case managers regarding the CCF process and what was involved. It was also perceived that there was no clear distinction between taxpayers who opted into the CCF and those who didn't.

The CCF envisages a relationship based on trust and cooperation between Irish Revenue and large businesses where both parties work together to achieve the highest possible level of tax compliance. The main benefits of CCF participation for taxpayers include a dedicated case manager, a reduced level of compliance intervention, an annual face-to-face meeting and an annual risk review plan agreed between the taxpayer and Irish Revenue. On the other hand, taxpayers who do not participate in the CCF will not have a dedicated case manager and instead will be required to route queries or submissions to the Irish Revenue Commissioners through the general LCD customer service team.

The taxpayer has a number of responsibilities under the CCF that include:

  • Compliance with all tax obligations;

  • Performance of self-reviews and to inform Irish Revenue where risks or errors are identified;

  • Consultation with Irish Revenue in advance of undertaking any restructurings, reorganisations or major transactions; and

  • Informing Irish Revenue of economic and sectoral changes/insights.

Irish Revenue has recently undertaken a campaign encouraging eligible taxpayers to sign up to the CCF. Taxpayers wishing to participate in the CCF must make an application to the Irish Revenue LCD division. Acceptance by Irish Revenue of the CCF request is subject to the taxpayer meeting certain compliance criteria and providing certain requested information to the Irish Revenue.

Joe Duffy (joseph.duffy@matheson.com) and Kathryn Stapleton (kathryn.stapleton@matheson.com)

Matheson

Tel: +353 1 232 2000

Website: www.matheson.com

more across site & bottom lb ros

More from across our site

Despite the relief, Brazil’s government has also presented a bill which seeks to re-impose a tax burden on companies’ payroll, one local tax specialist told ITR
Jeremy Brown arrives at the firm after a near 16-year career with Deloitte
PwC could elect a woman into the senior leadership position for the first time; in other news, KPMG Australia has extended its CEO’s term
The Senate report into PwC’s scandal is titled ‘The cover up worsens the crime’
Law firms that are conscious of their role in society are more likely to win work, according to a survey of over 23,000 in-house professionals
The firm’s tax business generated a quarter of HLB’s overall revenues in 2023
While successful pillar two implementation will require collaboration across all units, a combination of internal and external tax advice is at the centre of the effort
Binance has also been accused of manipulating foreign exchange rates via currency speculation and rate-fixing
Six individuals should have raised questions over information they received but did not breach professional standards, according to the firm
The partnership of KPMG UK has installed Holt for a second term as CEO and senior partner; in other news, a Baker McKenzie partner has sued the IRS
Gift this article