Simon Harris (Wicklow, Fine Gael) | Oireachtas source

I thank the Deputy. There were differing views on this matter on Committee Stage. Deputy Michael McGrath had a view very different from that held by Deputy Pearse Doherty and the Minister listened carefully to what was quite a robust debate.

These amendments concern the holding of public hearings in respect of tax appeals. Part 4, chapter 4, section 949Y of the Bill provides for a default position of public hearings. This is subject to the right of a tax payer to a private hearing on the request to the Appeal Commissioners. It is also subject to the Appeal Commissioners' discretion on whether to hold a hearing or part of a hearing in private where they consider that the circumstances specified in subsection (2) of the new section 949Y Taxes Consolidation Act 1997 apply. These circumstances include the need to maintain the confidentiality of sensitive information, to protect a person’s right to respect for his or her private or family life, or in the wider interests of justice and the public interest. The effect of Deputy Tóibín's and Deputy Pearse Doherty’s amendments would be that all appeal hearings, without exception, would be held in public, with no allowance for Appeal Commissioners' discretion or the wider interest of justice and the public interest as outlined.

The proposal for public hearings was contained in the Revenue Commissioners’ submission to the Minister’s public consultation on the reform of the tax appeals system. The reason given for the proposal was that it would ensure transparency and accountability, issues the Deputy raises, and enhance public confidence in the tax system. The public would see that the tax system was being administered in an even-handed way by Revenue and subject to an oversight by the independent and impartial Tax Appeals Commission. Such a move would also have been in keeping with some examples of international practice and with other Irish administrative appellate fora where public hearings are the norm. Revenue also referred in its submission to the fundamental principle of our law enshrined in the Constitution that court proceedings should be held in public. While justice must be done it is also important for justice to be seen to be done. When the Minister published the Bill, he did so being persuaded of the merits of these views and decided to legislate for a system of public hearings that would contain the necessary safeguards to ensure that certain matters were not in the public domain.

During the pre-legislative scrutiny of the Bill by the Oireachtas Joint Committee on Finance, Public Expenditure and Reform, conflicting views on the matter were expressed by various members from a variety of political parties and none and by other stakeholders also. Support for public hearings was also expressed by Deputy Pearse Doherty and Revenue but other parties, including the Irish Tax Institute and several committee members, expressed strong views against public hearings citing reasons such as the reluctance of taxpayers to take an appeal if hearings were to be held in public and the impact on business of the release of commercially sensitive information. Ultimately, while allowing for the possibility of public hearings, the committee stated in its report to the Minister that it would prefer to give an appellant discretion in the choice of a public or private hearing and the Minister’s decision to accept the committee’s recommendation was influenced by the strong views expressed at its hearings. The Minister sees the potential benefit of public hearings and would like and does intend to keep the matter under review as the new appeals system becomes established. For the reasons I have outlined, however, and following the discussion on Committee Stage and the views presented to the Minister, I am not in a position to accept the amendment.

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