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Tax officials in Ireland are set to target pensioners, benefit cheats, and they will impose penalties, interest and surcharges on those found to have deliberately evaded tax. The Revenue Commissioners plan to investigate the finances of suspected tax evading pensioners and welfare benefit claimants. Revenue officials predict that they will collect around €45 million in additional taxes this year following their purchase of new computer systems that allow them to access information retained by the Department of Social Protection. The technology has enabled Government departments to share valuable information with ease and it allows tax information to be referenced against welfare benefit payments. The system has already unearthed 115,000 pensioners who had failed to notify officials that they were underpaying tax. Many of these pensioners now face meeting the cost of additional taxes, after failing to inform the authorities of their private pensions.
The Department of Social Protection, meanwhile, has suspended child benefit payouts to in excess of 5,600 parents who failed to respond to checks on their residency and entitlements. The department contacted 63,000 child benefit recipients last September. Those who failed to respond within 42 days of receiving their letter had their child benefit payments suspended. A spokesperson for Joan Burton, the Social Protection Minister, claimed that payments to parents would be reinstated and arrears paid in the event that they provided the information requested.
Duncan Lewis’ welfare benefit advisers and employment law solicitors are able to provide parents and pensioners with advice on the way in which their income, whether earned through employment or through financial support from the state, affects their taxes.