Team of consultants to examine controversial tax shelters
The Government is reportedly planning to hire a team of consultants to examine tax shelters used by the wealthy to reduce their tax liabilities.
Reports this morning said the Department of Finance was seeking consultants to carry out a review of “property-based tax incentive schemes” and area-based schemes such as urban renewal.
Such schemes came to public attention earlier this year when it emerged that dozens of wealthy people were using them to significantly reduce their tax bills.
Figures obtained by the Labour Party showed that 41 people earning more than €500,000 and 11 earning more than €1m paid no income tax in the 2001 tax year, mainly because of these controversial incentives.
The consultants being sought by the Government will reportedly be asked to conduct cost-benefit analyses on a range of tax shelters and to examine whether they have helped to achieve certain policy objectives.
