Clare Daly (Dublin Fingal, Independent)
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273. To ask the Minister for Environment, Community and Local Government if he is aware that a revenue audit held on 30 March 2016 at the offices of Sligo County Council resulted in a liability of €256,521.51 for relevant contracts tax, value added tax and related penalties; if he issued misleading guidelines to the council and other local authorities in respect of payments for works carried out under the special resolution fund; if he will compensate the council to cover the cost of the said tax liability and penalties; and if he will make a statement on the matter. [16024/16]

Simon Coveney (Cork South Central, Fine Gael)
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It is a matter for local authorities, as individual corporate bodies, to ensure that they have adequately met their tax obligations in all cases and, if doubt arises, to seek appropriate clarification from the Revenue Commissioners. My Department does not direct or advise local authorities in relation to specific taxation matters. My Department issued a note for information following a workshop on the Special Resolution Fund with local authorities held in May 2014. Local authorities have been advised that the note does not in any way constitute a direction or advice in relation to specific taxation matters.