Taxes Consolidation Act 1997 section 904C

Power of inspection (returns and collection of appropriate tax) assurance companies

Section 904C gives Revenue authorised officers the power to enter the premises of life assurance companies, audit their exit tax returns, examine their procedures and records, and impose penalties for non-compliance.

• An authorised officer may enter an assurance company's premises at any reasonable time to audit its returns of appropriate tax (exit tax) for a financial year.
• The officer may examine the company's compliance procedures, review declarations and a sample of life policies, and verify that the correct amount of exit tax has been deducted on chargeable events.
• Where the officer believes exit tax has been incorrectly underpaid, further enquiries may be made to establish whether any person has a tax liability.
• Penalties apply for non-compliance: €1,265 for an employee and €19,045 for the assurance company, with an additional €2,535 per day for continued failure.