Money due following the European Commission's ruling that Ireland granted Apple illegal State aid will have to be calculated and collected by Revenue despite the Government's appeal of the ruling, the Public Accounts Committee has been told.

Senior management from Revenue presented their annual report to the Committee today.

Revenue Chairman Niall Cody told the Committee that the overall tax take in 2015 increased by over 10% to €45.8 billion on the previous year, with corporation tax almost doubling.

Several PAC members raised the implications of the European Commission's negative ruling on Apple.

Mr Cody repeated the position that the full tax due under Irish law was collected.

However, despite the Government's appeal, Mr Cody said Revenue would have to calculate and collect the money due and that that process was now under way.

Cullinane raises Cook comments

Sinn Féin TD David Cullinane put it to Mr Cody that Apple Chief Tim Cook had given evidence to a US Senate hearing a number of years ago, that "the Irish Government gave us a tax incentive agreement". 

Mr Cullinane said Mr Cook talked about a "special arrangement" and his head of tax, when pressed about what that meant, said "we negotiated a tax rate which meant that our tax was calculated at less than 2%".

Mr Cullinane asked Mr Cody was Mr Cook wrong when he said that he and his company had negotiated a tax incentive agreement with the Government and if his head of tax was wrong when he said that negotiation meant taxes could be calculated at less than 2%.

Mr Cody responded that he was bound by taxpayer confidentiality, but added that "the issue around what Mr Cook said in the Senate hearings is absolutely in Revenue's opinion not correct".

Mr Cullinane said it was very serious to accuse the head of a multinational company of giving false information under oath to a Senate hearing.

Mr Cody replied he could only talk about what happened in relation to Revenue and Apple in 1991 and 1997.

He said he could not answer as to whether what was said in the Senate hearing was right or wrong; he could only say what happened in Ireland, and the impact of that is Mr Cook was wrong, he said.

On the implications of Brexit, Mr Cody said an upgrade of the Revenue's IT system would cost €3m if new customs barriers between Ireland and the UK were introduced.

A scoping exercise is under way and extra resources had been sought and approved, he said.

Questioned on the cost of fuel smuggling, Mr Cody said while it was not quantifiable, there was no doubt that it was very significant. 

New measures to combat smuggling, including monthly oil supply chain reports, are estimated to have saved the exchequer €200m.

Mr Cody also said that random tax audits carried out by Revenue showed that 60% of tax payers declared the correct amount, with 40% under-declaring.