State under fire as millions lost on tax loophole

THE Government has been accused of fostering a tax avoidance culture after it emerged that millions have been lost on a tax loophole.

Revenue Commissioners have uncovered a complex tax avoidance scheme linked to the construction of student accommodation, which has cost the Exchequer substantial amounts of money.

However, internal documents show that Finance Minister Charlie McCreevy closed off the loophole within weeks of being alerted by the Revenue Commissioners.