Bernard Durkan (Kildare North, Fine Gael)
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84. To ask the Minister for Finance the extent to which the Revenue Commissioners have to date facilitated the restructuring of a business in the case of persons (details supplied) having particular regard to the efforts being made by the persons to meet their targets and in view of the fact that their agents have indicated an improvement in the business in the context of which it should be possible to enter into an agreement acceptable to the Revenue Commissioners and the proprietors and with particular reference to the need to maintain the employment associated with the business; and if he will make a statement on the matter. [33969/16]

Michael Noonan (Limerick City, Fine Gael)
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I previously referred to this case in my reply to Parliamentary Question No. 134 of 4 October 2016.

As advised in my reply, it was not possible for Revenue to agree any phased payment arrangement with the business at that time because there were a number of returns outstanding and the full extent of the debt could not be quantified.

The business subsequently filed the outstanding returns and a phased payment arrangement was agreed on 6 October 2016. The arrangement was agreed on the understanding that all future taxes would be paid on a timely basis and all returns filed as they became due.

Revenue has advised me that the taxpayer has not adhered to the conditions of the arrangement and no payments in respect of current taxes have been received to date despite assurances given in the context of a business restructuring. Revenue has also advised me that where payments were received, they were returned unpaid and as a consequence the debt has continued to increase.

The continuing failure of the business to meet its tax obligations and in particular to pay current taxes as they fall due left Revenue with no option but to recently deploy debt collection/enforcement action to secure the outstanding liabilities.

Before Revenue can consider any change to its debt collection/enforcement action, the business needs to immediately honour the recent cancelled payments and to fully commit to the terms of the phased payment arrangement.