More than €100m has been lost to the State because some company directors exploit their limited liability when their businesses become insolvent, according to the Dáil's Public Accounts Committee.
It recommends that directors of limited companies be held personally liable for unpaid taxes.
The kind of taxes involved are those collected by companies on behalf of the State and then paid over to the Revenue Commissioners, including PRSI, PAYE and VAT.
In most instances, the tax man loses out because of genuine cases and over ten years €1bn was written-off.
Last year alone the State lost more than €200m because of insolvencies.
There is concern about 15 % of liquidations where money owed to the Revenue may have been withheld fraudulently.
The Committee is worried that this is a growing problem.
