Róisín Shortall (Dublin North West, Labour)
Link to this: Individually | In context

Question 90: To ask the Tánaiste and Minister for Finance the number of random audits carried out by the Revenue Commissioners in 2006 and to date in 2007; the way this compares with each year from 2003; the number expected to be undertaken during this year; and if he will make a statement on the matter. [23694/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I have been advised by the Revenue Commissioners that 401 cases were selected for random audit as part of their 2007 programme. As of 30 September 2007, 148 cases have been concluded, 253 cases are still ongoing. In 2006, 402 cases were selected for random auditing and 352 of these cases have been completed leaving 50 cases ongoing.

In 2005, 410 cases were selected for random audit. Of these, 62 cases did not proceed to final audit due to the particular circumstances of the taxpayer (e.g. trading had discontinued, the taxpayer was deceased or the case had been recently audited), 346 cases have been completed leaving 2 cases ongoing. Revenue's approach to random compliance testing changed significantly for their 2005 programme. The new approach introduced both better design and improved statistical vigour.

In 2004, the traditional random audit programme was not carried out due to the change in Revenue's approach following a review of the programme. However, 25 cases selected under the programme for previous years were completed in 2004. In 2003, 274 random audits were completed. Revenue plan to conduct a further Random programme in 2008, which again will consist of a sample size of at least 400 cases.