Fears for return of black economy

THE emergence of the black economy is a very real threat to Ireland’s economic recovery, according to the president of the Institute of Certified Public Accountants (CPA).

Gail McEvoy said that in times of recession there is a reversion to cash-based transactions, which are extremely damaging economically.

Ms McEvoy said: “The danger is that with the increase in personal taxes and income levies, the temptation will be too great and sole traders, contractors and companies will revert to cash if they think they can get away with it.