The recession has stress tested many areas of law and found them wanting. Among these is the tax legislation governing receivers. Chartered Accountants working in the area will be well aware of the problems now arising as a consequence of the overall framework not being up to date, with income tax and VAT consequences in particular.

The Minister for Finance launched a public consultation on the tax implications of appointing a receiver. This joint consultation by the Department of Finance and Revenue Commissioners’ boils down to twelve questions on practical issues to underpin proposed changes.

Interested parties are invited to respond to the consultation paper by 4 September. It seems that representative organisations such as Chartered Accountants Ireland will also be contacted, although we have already been pointing out the problem issues for some time.

The consultation paper is to be found at http://taxpolicy.gov.ie/