Simon Harris (Wicklow, Fine Gael)
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Less risky in terms of the chances of one actually paying one's taxes. It is a judgment that Revenue makes. I outlined in my speaking note, which I know was quite technical, the position on people who are registered and known to Revenue versus people who Revenue do not have any knowledge of. It is a technical change. I appreciate it is an important change but this principle already exists. We are bringing in a sliding scale of penalties and making it clear that when it comes to the issue of a penalty, it cannot be argued that this is taxing somebody twice; it is a penalty.

The new regime under this section will reflect the level of risk associated with the incorrect operation of the RCT by a principal contractor by determining the level of penalty to be applied by reference to the deduction rate applicable to the sub-contractor. It is incentivising the contractor to be compliant and anything we can do to incentivise compliance in a sector that has had difficulties over the years of which we all have read is to be welcomed. There is nothing hidden, suspect or controversial in this.