O’Brien battles €57m tax liability

Billionaire businessman Denis O’Brien is fighting a bid by Revenue to overturn a decision that he was not liable to pay nearly €57m in tax in Ireland around the same time he started living in Portugal.

A Revenue appeals commissioner decided Mr O’Brien’s permanent home in 2000/2001 was Quinta do Lago, Almanscil, Portugal, and not Ireland, which meant he was therefore not liable for capital gains tax of €56.8m on €285m he received for 5.7m shares he owned in Esat Digifone when it was sold to British Telecom in 2000.

The inspector of taxes was unhappy with that decision and the appeals commissioner agreed to refer the matter to the High Court to determine whether he was wrong in law.