(ii) has made a declaration to the relevant person in relation to the relevant distribution in accordance with paragraph 7 of Schedule 2A.
\nExemption from dividend withholding tax for certain non-resident persons.
\n172D.—(1) Notwithstanding any other provision of this Chapter, section 172B shall not apply where, in the period from the 6th day of April, 1999, to the 5th day of April, 2000, a company resident in the State makes a relevant distribution to a specified person, being— (a) a person whose address on the share register of the company is located in a relevant territory, (b) a company which is not resident in the State and to which subparagraph (i) or (ii) of subsection (3)(b) applies and which before the making of the relevant distribution has given to the company making the relevant distribution a certificate referred to in paragraph 9(f) of Schedule 2A, or (c) an intermediary (in this paragraph referred to as ‘the first-mentioned intermediary’) resident in the State which before the making of the relevant distribution advises the company making the relevant distribution that the relevant distribution is to be received by the first-mentioned intermediary for the benefit of— (i) a person whose address in the records of the first-mentioned intermediary is located in a relevant territory, (ii) a company which is not resident in the State and to which subparagraph (i) or (ii) of subsection (3)(b) applies and which before the making of the relevant distribution has given the first-mentioned intermediary a certificate referred to in paragraph 9(f) of Schedule 2A, or (iii) another intermediary (in this paragraph referred to as ‘the second-mentioned intermediary’) who has advised the first-mentioned intermediary that the relevant distribution, or an amount or other asset representing the relevant distribution, to be given to the second-mentioned intermediary by the first-mentioned intermediary is to be received by the second-mentioned intermediary for the benefit of— (I) a person whose address in the records of the second-mentioned intermediary is located in a relevant territory, or (II) a company which is not resident in the State and to which subparagraph (i) or (ii) of subsection (3)(b) applies and which before the making of the relevant distribution has given the second-mentioned intermediary a certificate referred to in paragraph 9(f) of Schedule 2A.
\nQualifying intermediaries.
\n172E.—(1) Subject to section 172F(6), section 172B shall not apply where a company resident in the State makes a relevant distribution through one or more than one qualifying intermediary for the benefit of a person beneficially entitled to the relevant distribution who is a non-liable person in relation to the relevant distribution.
\nObligations of qualifying intermediary in relation to relevant distributions.
\n172F.—(1) A qualifying intermediary which is to receive on behalf of other persons— (a) any relevant distributions to be made by any company resident in the State, or (b) from another qualifying intermediary amounts or other assets (in this section referred to as ‘payments’) representing such distributions. shall create and maintain, in relation to such distributions and payments, 2 separate and distinct categories to be known, respectively, as the ‘Exempt Fund’ and the ‘Liable Fund’, and the qualifying intermediary shall notify that company or that other qualifying intermediary, as the case may be, by way of notice in writing, whether the relevant distributions to be made to it by that company, or, as the case may be, the payments representing such distributions to be made to it by that other qualifying intermediary, are to be received by it for the benefit of a person included in the Exempt Fund or a person included in the Liable Fund.
\n(I) persons who are beneficially entitled to such distributions or payments, who are the holders of American depositary receipts, whose address on that specified intermediary's register of depositary receipts is located in the United States of America, and who in accordance with paragraph (e)(iii)(I) are to be included in that specified intermediary's Exempt Fund, or (II) any further specified intermediary to which such distributions or payments (or amounts or other assets representing such distributions or payments) are to be given by the first-mentioned specified intermediary and are to be received by that further specified intermediary for the benefit of persons who in accordance with clauses (I) and (II) of paragraph (e)(iii) are to be included in that further specified intermediary's Exempt Fund. (e) For the purposes of paragraph (d), an intermediary shall be treated as a specified intermediary if the intermediary— (i) is not a qualifying intermediary but is a person referred to in paragraph (a), (b), (c) or (d) of section 172E(4) who is operating as an intermediary in an establishment situated in the United States of America, (ii) creates and maintains, in relation to such distributions or payments (or amounts or other assets representing such distributions or payments) to be received by it on behalf of other persons from a qualifying intermediary or another specified intermediary, an Exempt Fund and a Liable Fund in accordance with subsections (1) and (5), but subject to subparagraphs (iii) and (iv), as if it were a qualifying intermediary, (iii) includes in its Exempt Fund in relation to such distributions or payments (or amounts or other assets representing such distributions or payments), only— (I) those persons who are beneficially entitled to such distributions or payments, being persons who are the holders of American depositary receipts and whose address on its register of depositary receipts is located in the United States of America, and (II) any further specified intermediary to which such distributions or payments (or amounts or other assets representing such distributions or payments) are to be given by the intermediary and are to be received by that further specified intermediary for the benefit of persons who in accordance with this subparagraph are to be included in that further specified intermediary's Exempt Fund, (iv) includes in its Liable Fund in relation to such distributions or payments (or amounts or other assets representing such distributions or payments), all other persons (being persons who are the holders of American depositary receipts) on whose behalf such distributions or payments (or amounts or other assets representing such distributions or payments) are to be received by it from a qualifying intermediary or a further specified intermediary, other than those persons included in its Exempt Fund,
\n(v) notifies, by way of notice in writing given in accordance with subsection (1), the qualifying intermediary or, as the case may be, the further specified intermediary from whom it is to receive, on behalf of other persons, such distributions or payments (or amounts or other assets representing such distributions or payments), whether such distributions or payments (or amounts or other assets representing such distributions or payments) are to be so received by it for the benefit of persons included in its Exempt Fund or persons included in its Liable Fund, (vi) notifies the qualifying intermediary or, as the case may be, the further specified intermediary, by way of notice in writing or in electronic format, at the time it gives such distributions or payments (or amounts or other assets representing such distributions or payments) to other persons, of the name and address of each such person, and (vii) agrees that the information given in accordance with subparagraph (vi) to the qualifying intermediary or, as the case may be, the further specified intermediary shall be returned by the qualifying intermediary to the Revenue Commissioners in accordance with subsection (7)(f). (f) Where, by virtue of the preceding provisions of this subsection, any person, being a person who, apart from this paragraph, would not be a non-liable person in relation to the distributions or payments (or amounts or other assets representing such distributions or payments) to be received on that person's behalf by a qualifying intermediary or a specified intermediary, is included in the Exempt Fund of the qualifying intermediary or, as the case may be, of the specified intermediary, that person shall, notwithstanding any other provision of this Chapter, be treated as a non-liable person in relation to such distributions.
\nAuthorised withholding agent.
\n172G.—(1) Subject to section 172H, section 172B shall not apply where a company resident in the State makes a relevant distribution to an authorised withholding agent for the benefit of a person beneficially entitled to the relevant distribution, not being the authorised withholding agent.
\nObligations of authorised withholding agent in relation to relevant distributions.
\n172H.—(1) An authorised withholding agent which is to receive, on behalf of other persons, any relevant distributions to be made to it by any company resident in the State shall notify that company, by way of notice in writing, that it is an authorised withholding agent in relation to those distributions.
\nStatement to be given to recipients of relevant distributions.
\n172I.—(1) Every person (in this section referred to as ‘the payer’) who makes, or who (being an authorised withholding agent) is treated as making, a relevant distribution shall, at the time of the making of the relevent distribution or, in the case of an authorised withholding agent, at the time of the giving by the authorised withholding agent of the relevant distribution, or an amount or other asset representing that distribution, to another person, give the recipient of the relevant distribution or, as the case may be, that other person a statement in writing showing— (a) the name and address of the payer and, if the payer is not the company making the relevant distribution, the name and address of that company, (b) the name and address of the person to whom the relevant distribution is made, (c) the date the relevant distribution is made, (d) the amount of the relevant distribution, and (e) the amount of the dividend withholding tax (if any) deducted in relation to the relevant distribution.
\nCredit for, or repayment of, dividend withholding tax borne.
\n172J.—(1) Where, in relation to any year of assessment, a person is within the charge to income tax and has borne dividend withholding tax in relation to a relevant distribution to which the person is beneficially entitled which tax is referable to that year of assessment, the person may claim to have that dividend withholding tax set against income tax chargeable for that year of assessment and, where that dividend withholding tax exceeds such income tax, to have the excess refunded to the person.
\nReturns, payment and collection of dividend withholding tax.
\n172K.—(1) Any person (in this section referred to as ‘the accountable person’), being a company resident in the State which makes, or an authorised withholding agent who is treated under section 172H as making, any relevant distributions to specified persons in any month shall, within 14 days of the end of that month, make a return to the Collector-General which shall contain details of— (a) the name and tax reference number of the company which actually made the relevant distributions, (b) if different from the company which actually made the relevant distributions, the name of the accountable person, being an authorised withholding agent, in relation to those distributions, (c) the name and address of each person to whom a relevant distribution was made or, as the case may be, was treated as being made by the accountable person in the month to which the return refers, (d) the date on which the relevant distribution was made to that person, (e) the amount of the relevant distribution made to that person, (f) the amount of the dividend withholding tax (if any) in relation to the relevant distribution deducted by the accountable person or, as the case may be, the amount (if any) to be paid to the Collector-General by the accountable person in relation to that distribution as if it were a deduction of dividend withholding tax, and (g) the aggregate of the amounts referred to in paragraph (f) in relation to all relevant distributions made or treated under section 172H as being made by the accountable person to specified persons in the month to which the return refers.
\nReporting of distributions made under stapled stock arrangements.
\n172L.—(1) For the purposes of this section, a distribution made to a person by a company which is not resident in the State (in this section referred to as ‘the non-resident company’) shall be treated as made under a stapled stock arrangement where— (a) the person has, under any agreement, arrangement or understanding, whether made or entered into on, before or after the 6th day of April, 1999, exercised a right, whether directly or through a nominee or other person acting on behalf of the person, to receive distributions from the non-resident company instead of receiving relevant distributions from a company resident in the State (in this section referred to as ‘the resident company’), and (b) that right has not been revoked.
\nDelegation of powers and functions of Revenue Commissioners.
\n172M.—The Revenue Commissioners may nominate any of their officers to perform any acts and discharge any functions authorised by this Chapter or Schedule 2A to be performed or discharged by the Revenue Commissioners.”, (b) in section 1078(2), by the insertion of the following paragraph after paragraph (d): “(dd) (i) fails to make any deduction of dividend withholding tax (within the meaning of Chapter 8A of Part 6) required to be made by the person under section 172B(1), (ii) fails, having made that deduction, to pay the sum deducted to the Collector-General within the time specified in that behalf in section 172K(2), (iii) fails to make any reduction required to be made by the person under section 172B(2), (iv) fails, having made that reduction, to pay to the Collector-General the amount referred to in section 172B(2)(d), which amount is treated under that section as if it were a deduction of dividend withholding tax (within the meaning of Chapter 8A of Part 6), within the time specified in that behalf in section 172K(2), or (v) fails to pay to the Collector-General, within the time specified in that behalf in section 172K(2), an amount referred to in section 172B(3)(a) which is required to be paid by the person to the Collector-General and which is treated under that section as if it were a deduction of dividend withholding tax (within the meaning of Chapter 8A of Part 6),”, (c) by the insertion of the following Schedule after Schedule 2: “Section 172A.
\nSCHEDULE 2A DIVIDEND WITHHOLDING TAX Interpretation 1. In this Schedule— ‘appropriate person’, in relation to a pension scheme, means— (a) in the case of an exempt approved scheme (within the meaning of section 774), the administrator (within the meaning of section 770) of the scheme, (b) in the case of a retirement annuity contract to which section 784 or 785 applies, the person lawfully carrying on in the State the business of granting annuities on human life with whom the contract is made, and (c) in the case of a trust scheme to which section 784 or 785 applies, the trustees of the trust scheme; ‘beneficiary’, in relation to a trust, means any person (in this definition referred to as ‘the first-mentioned person’) who, directly or indirectly, is beneficially entitled under the trust, or may, through the exercise of any power or powers conferred on any person or persons, reasonably expect to become so beneficially entitled, to income or capital or to have any income or capital applied for the first-mentioned person's benefit or to receive any other benefit; ‘settlor’, in relation to a trust, includes any person who has provided or undertaken to provide assets or income directly or indirectly for the purposes of the trust; ‘trust’ means any trust, disposition, settlement, covenant, agreement or arrangement established, made or entered into by one or more than one settlor, whereby— (a) assets, which may or may not change from time to time in the course of the management of the trust, or (b) income, the sources and nature of which may or may not also so change from time to time, beneficially owned by the settlor or settlors are or is vested in a person or persons (in this Schedule referred to as the ‘trustee’ or ‘trustees’) to be— (i) either or both held and managed for, (ii) paid over to, or (iii) applied for, the benefit of any beneficiary or beneficiaries, but does not include a pension fund, charity or undertaking for collective investment in transferable securities which is established or regulated under the law of any relevant territory.
\nCurrency of certain certificates 2. A certificate referred to in paragraph 8(f) or subparagraph (f) or (g) of paragraph 9 shall be treated as a current certificate for the period from the date of the issue of the certificate to the 31st day of December in the fifth year following the year in which the certificate was issued.
\nDeclaration to be made by company resident in the State 3. The declaration referred to in section 172C(2)(a) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a company resident in the State, (e) contains the name and tax reference number of the company, (f) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (g) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.
\nDeclaration to be made by pension scheme 4. The declaration referred to in section 172C(2)(b) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a pension scheme, (e) contains the name and tax reference number of the pension scheme, (f) contains a certificate by the appropriate person in relation to the pension scheme that, to the best of that person's knowledge and belief, the declaration made in accordance with subparagraph (d) and the information furnished in accordance with subparagraph (e) are true and correct, (g) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (h) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.
\nDeclaration to be made by qualifying employee share ownership trust 5. The declaration referred to in section 172C(2)(c) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a qualifying employee share ownership trust, (e) contains the name and address of that person, (f) contains a statement that at the time when the declaration is made the relevant distributions in respect of which the declaration is made will form part of the income of the qualifying employee share ownership trust and will be applied in accordance with the provisions of paragraph 13 of Schedule 12, (g) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (h) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.
\nDeclaration to be made by collective investment undertaking 6. The declaration referred to in section 172C(2)(d) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a collective investment undertaking, (e) contains the name and tax reference number of the collective investment undertaking, (f) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (g) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.
\nDeclaration to be made by charity 7. The declaration referred to in section 172C(2)(e)(ii) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a person referred to in section 172C(2 (e)(i), (e) contains the name and address of that person, (f) contains a statement that at the time when the declaration is made the relevant distributions in respect of which the declaration is made will be applied to charitable purposes only and— (i) form part of the income of a body of persons or trust treated by the Revenue Commissioners as a body or trust established for charitable purposes only, or (ii) are, according to the rules or regulations established by statute, charter, decree, deed of trust or will, applicable to charitable purposes only and are so treated by the Revenue Commissioners, (g) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (h) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.
\nDeclaration to be made by qualifying non-resident person, not being a company 8. The declaration referred to in section 172D(3)(a)(iii) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a qualifying non-resident person, (e) contains the name and address of that person, (f) is accompanied by a certificate given by the tax authority of the relevant territory in which the person is, by virtue of the law of that territory, resident for the purposes of tax certifying that the person is so resident in that territory, (g) in the case where the relevant distributions (or amounts or other assets representing such distributions) are to be received by a trust, is accompanied by— (i) a certificate signed by the trustee or trustees of the trust which shall show the name and address of— (I) the settlor or settlors in relation to the trust, and (II) the beneficiary or beneficiaries in relation to the trust, and (ii) a certificate from the Revenue Commissioners certifying that the certificate referred to in clause (i) has been furnished to the Revenue Commissioners and that they are satisfied that that certificate is true and correct, (h) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be a qualifying non-resident person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (i) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.
\nDeclaration to be made by qualifying non-resident person, being a company 9. The declaration referred to in section 172D(3)(b) shall be a declaration in writing to the relevant person in relation to the relevant distributions which— (a) is made by the person (in this paragraph referred to as ‘the declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made, (b) is signed by the declarer, (c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distributions is a company which is a qualifying non-resident person, (e) contains— (i) the name and address of that company, and (ii) the name of the territory in which the company is resident for the purposes of tax, (f) is accompanied by a certificate signed by the auditor of the company certifying that the company is a company which is not resident in the State and— (i) is under the control (within the meaning of section 172D(4)(a)), whether directly or indirectly, of a person or persons who, by virtue of the law of a relevant territory, is or are resident for the purposes of tax in such a relevant territory and who is or are, as the case may be, not under the control (within the meaning of section 172D(4)(b)), whether directly or indirectly, of a person who is, or persons who are, not so resident, or (ii) the principal class of the shares of— (I) the company, or (II) another company of which the company is a 75 per cent subsidiary (within the meaning of section 172D(5)), is substantially and regularly traded on a recognised stock exchange in a relevant territory or territories or on such other stock exchange as may be approved of by the Minister for Finance for the purposes of Chapter 8A of Part 6, (g) is accompanied by a certificate from the Revenue Commissioners certifying that the certificate referred to in subparagraph (f) has been furnished to the Revenue Commissioners and that they are satisfied that that certificate is true and correct, (h) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be a qualifying non-resident person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distributions accordingly, and (i) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.”, and (d) in Schedule 29, in column 2, by the insertion after “section 128(11)” of the following:
\n“section 172K(1) section 172L(2)”.
\nDistributions to certain non-residents.
\n28.—(1) The Principal Act is hereby amended by the substitution of the following section for section 153: “153.—(1) In this section— ‘non-resident person’, in relation to a distribution, means the person beneficially entitled to the distribution, being— (a) a person, other than a company, who— (i) is neither resident nor ordinarily resident in the State, and (ii) is, by virtue of the law of a relevant territory, resident for the purposes of tax in the relevant territory, or (b) a company which is not resident in the State and— (i) is under the control, whether directly or indirectly, of a person or persons who, by virtue of the law of a relevant territory, is or are resident for the purposes of tax in such a relevant territory and who is or are, as the case may be, not under the control, whether directly or indirectly, of a person who is, or persons who are, not so resident, or (ii) the principal class of the shares of— (I) the company, or (II) another company of which the company is a 75 per cent subsidiary, is substantially and regularly traded on one or more than one recognised stock exchange in a relevant territory or territories or on such other stock exchange as may be approved of by the Minister for Finance for the purposes of this section; ‘relevant territory’ means— (a) a Member State of the European Communities other than the State, or (b) not being such a Member State, a territory with the government of which arrangements having the force of law by virtue of section 826 have been made; ‘tax’, in relation to a relevant territory, means any tax imposed in that territory which corresponds to income tax or corporation tax in the State.
\nAmendment of section 831 (implementation of Council Directive No. 90/435/EEC concerning the common system of taxation applicable in the case of parent companies and subsidiaries of different Member States) of Principal Act.
\n29.—Section 831 of the Principal Act is hereby amended— (a) in subsection (1)(a) by the substitution for the definition of “parent company” of the following definitions: “‘parent company’ means a company (referred to in this definition as the ‘first-mentioned company’) being— (i) a company resident in the State which owns at least 25 per cent of the share capital of another company which is not so resident, or (ii) a company not resident in the State which owns at least 25 per cent of the share capital of another company which is resident in the State, but where a bilateral agreement contains a provision to the effect— (I) that a company shall only be a parent company during any uninterrupted period of at least 2 years throughout which at least 25 per cent of the share capital of the other company is owned by the first-mentioned company, or (II) that— (A) the requirement (being the requirement for the purposes of this definition) that a company own at least 25 per cent of the share capital of another shall be treated as a requirement that the first-mentioned company holds at least 25 per cent of the voting rights in the other company, or (B) that requirement shall be so treated and a company shall only be a parent company during any uninterrupted period of at least 2 years throughout which at least 25 per cent of the voting rights in the other company is held by the first-mentioned company, then, in its application to a company to which the provision in the bilateral agreement applies, this definition shall apply subject to that provision and shall be construed accordingly; ‘tax’, in relation to a relevant territory, means any tax imposed in that territory which corresponds to income tax or corporation tax in the State.”, (b) in subsection (2)— (i) by the insertion after “a parent company” of “which is resident in the State”, and (ii) by the insertion after “subsidiary” of “which is a company not resident in the State”, and (c) by the addition after subsection (4) of the following subsections: “(5) Chapter 8A of Part 6, other than section 172K, shall not apply to a distribution made to a parent company which is not resident in the State by its subsidiary which is a company resident in the State.
\nIncome Tax, Corporation Tax and Capital Gains Tax Construction of references to oaths, etc.
\n30.—Part 48 of the Principal Act is hereby amended by the insertion of the following section after section 1096: “Construction of references to oaths, etc.
\n1096A.—(1) Without prejudice to any express provision made elsewhere in those Acts in that behalf, references in the Tax Acts and the Capital Gains Tax Acts to an oath shall, in the case of persons for the time being allowed by law to affirm instead of swearing, be construed as including references to an affirmation, and references in those Acts to the administration, taking or swearing of an oath shall be construed accordingly.
\nAmendment of section 97 (computational rules and allowable deductions) of Principal Act.
\n31.—(1) Section 97 of the Principal Act is hereby amended by the substitution in paragraph (a) of subsection (2B) (inserted by the Finance (No. 2) Act, 1998 ) and in paragraph (b) of subsection (2C) (as so inserted) of “31st day of March, 1999” for “31st day of December, 1998”, and the said paragraphs (a) and (b), as so amended, are set out in the Table to this section.
\nTABLE (a) on or before the 31st day of March, 1999, in the purchase of a residential premises in pursuance of a contract which was evidenced in writing prior to the 23rd day of April, 1998, for the purchase of that premises, (b) In any case where paragraph (a) applies, subsection (2B)(a) shall apply only where the money is employed on or before the 31st day of March, 1999, and the person chargeable— (i) has before the 23rd day of April, 1998, either— (I) an estate or interest in land, or (II) entered into a contract evidenced in writing to acquire an estate or interest in land, and (ii) in respect of any building or part of any building for use or suitable for use as a dwelling to be constructed on that land, either— (I) has entered into a contract evidenced in writing before the 23rd day of April, 1998, for the construction of that building or that part of that building, or (II) if no such contract exists, satisfies the Revenue Commissioners that the foundation for that building or that part of that building was laid in its entirety before the 23rd day of April, 1998.
\nAmendment of section 110 (securitisation of assets) of Principal Act.
\n32.—Part 4 of the Principal Act is hereby amended by the substitution for section 110 of the following section: “Securitisation of assets.
\n110.—(1) In this section— ‘initial period’ in relation to any one originator or original lender means the 3 month period commencing on the day on which any qualifying assets were first acquired from that originator or original lender, as the case may be; ‘original lender’ means any government, public or local authority, company or other body corporate; ‘originator’ means an original lender who is not resident in the State; ‘qualified company’ has the same meaning as in section 446; ‘qualifying asset’ in relation to a company means— (a) in a case where the company is a qualified company, an asset of an originator which the qualified company acquired directly or indirectly from the originator other than an asset which was created, acquired or held by or in connection with a branch or agency through which the originator carries on a trade in the State, and (b) in any other case, an asset of an original lender which the company acquired directly or indirectly from the original lender, where the asset— (i) in a case where paragraph (a) applies, consists of, or of an interest in or a contractual right to, any loan, lease, trade or consumer receivable or other debt or receivable whether secured or unsecured, (ii) and in the case of a company to which paragraph (b) applies, consists of, or of an interest in any financial asset (within the meaning of section 496); ‘qualifying company’ means a company— (a) which is resident in the State, (b) which carries on in the State a business of management of qualifying assets, (c) which, apart from activities ancillary to that business, carries on no other activities in the State, and (d) in relation to which the market value throughout the initial period of all qualifying assets acquired from any one originator or original lender, as the case may be, is not less than £10,000,000, but a company shall not be a qualifying company if any transaction is carried out by it otherwise than by way of a bargain made at arm's length.
\nAmendment of section 118 (benefits-in-kind: general charging provision) of Principal Act.
\n33.—Section 118 of the Principal Act is hereby amended, as respects the year of assessment 1999-2000 and subsequent years of assessment, by the insertion of the following subsection after subsection (5): “(5A) Subsection (1) shall not apply to expense incurred by the body corporate in or in connection with the provision for a director or employee of a monthly or annual bus or train pass issued by or on behalf of Córas Iompair Éireann or any of its subsidiaries, or by or on behalf of a holder of a passenger licence granted under section 7 of the Road Transport Act, 1932 , or by or on behalf of a person who provides a passenger transport service under an arrangement entered into with Córas Iompair Éireann in accordance with section 13
\nExemption from benefit-in-kind of certain childcare facilities.
\n34.—The Principal Act is hereby amended in Chapter 3 of Part 5 by the insertion of the following section after section 120: “120A.—(1) In this section— “childcare service” means any form of child minding service or supervised activity to care for children, whether or not provided on a regular basis; “qualifying premises” means premises which— (a) are made available solely by the employer, (b) are made available by the employer jointly with other persons and the employer is wholly or partly responsible for financing and managing the provision of the childcare service, or (c) are made available by any other person or persons and the employer is wholly or partly responsible for financing and managing the provision of the childcare service, and in respect of which it can be shown that the requirements of Article 9, 10 or 11, as appropriate, of the Child Care (Pre-School Services) Regulations, 1996 ( S.I. No. 398 of 1996 ), have been complied with.
\nAmendment of section 472A (relief for the long-term unemployed) of Principal Act.
\n35.—Section 472A (inserted by Finance Act, 1998) of the Principal Act is hereby amended— (a) in paragraph (a) of subsection (1) by— (i) the insertion before the definition of “director” of the following definitions: “‘the Act of 1993’ means the Social Welfare (Consolidation) Act, 1993 ; ‘continuous period of unemployment’ has the meaning assigned in section 120(3) of the Act of 1993;”, (ii) the substitution of the following for the definition of “qualifying individual”: “‘qualifying individual’ means an individual who commences a qualifying employment and who— (i) (I) immediately prior to the commencement of that qualifying employment has been unemployed throughout the period of 12 months immediately preceding the commencement of the employment and has, in respect of that period of unemployment, been in receipt of— (A) unemployment benefit under Chapter 9 of Part II of the Act of 1993, in respect of a continuous period of unemployment of not less than 312 days, or (B) unemployment assistance under Chapter 2 of Part III of the Act of 1993, in respect of a continuous period of unemployment of not less than 312 days, or (C) one-parent family payment under Chapter 9 of Part III of the Act of 1993, in respect of a continuous period of unemployment of not less than 312 days, or (II) is in any other separate category of persons approved of for the purposes of this section by the Minister for Social, Community and Family Affairs with the consent of the Minister for Finance, and (ii) was not previously a qualifying individual for the purposes of this section;”, (b) in paragraph (b) of subsection (1) by— (i) the substitution in subparagraph (ii) of “of such period, and” for “of such period.”, and (ii) the insertion after subparagraph (ii) of the following subparagraph: “(iii) every Sunday in any period of consecutive days shall not be treated as a day of unemployment and shall be disregarded in computing any such period.”, and (c) in paragraph (b) of subsection (5) by the substitution of “subsection (1)(b)(i)” for “subsection (2)”.
\nAmendment of section 485 (relief for gifts to third-level institutions) of Principal Act.
\n36.—(1) Section 485 of the Principal Act is hereby amended in subsection (1) by the substitution of the following definition for the definition of “approved institution”: “‘approved institution’ means— (a) an institution of higher education within the meaning of section 1 of the Higher Education Authority Act, 1971 , or any body established in the State for the sole purpose of raising funds for such an institution, or (b) an institution in the State in receipt of public funding which provides courses to which a scheme approved by the Minister under the Local Authorities (Higher Education Grants) Acts, 1968 to 1992, applies or any body established in the State for the sole purpose of raising funds for such an institution;”.
\nRelief for gifts to the Scientific and Technological Education (Investment) Fund.
\n37.—The Principal Act is hereby amended in Chapter 2 of Part 15, by the insertion of the following section after section 485A: “Relief for gifts to the Scientific and Technological Education (Investment) Fund.
\n485B.—(1) In this section— ‘Minister’ means the Minister for Education and Science; ‘relevant gift’ means a gift of money which— (a) on or after the 6th day of April, 1998, is made to STEIF, (b) is or will be applied by STEIF solely for the purposes for which the fund was established, and (c) apart from this section is not deductible in computing for the purposes of tax the profits or gains of a trade or profession, or is not income to which section 792 applies or is not a gift of money to which section 484 applies; ‘STEIF’ means the Scientific and Technological Education (Investment) Fund established under the Scientific and Technological Education (Investment) Fund Act, 1997 (as amended by the Scientific and Technological Education (Investment) Fund (Amendment) Act, 1998 ).
\nAmendment of section 225 (employment grants) of Principal Act.
\n38.—(1) Section 225(1) of the Principal Act is hereby amended by the substitution of the following paragraphs for paragraphs (a) and (b): “(a) section 3 or 4 (as amended by the Shannon Free Airport Development Company Limited (Amendment) Act, 1983 ) of the Shannon Free Airport Development Company Limited (Amendment) Act, 1970 , (b) section 25 of the Industrial Development Act, 1986 , or (c) section 12 of the Industrial Development Act, 1993 .”.
\nAmendment of section 246 (interest payments by companies and to non-residents) of Principal Act.
\n39.—Section 246 of the Principal Act is hereby amended— (a) in subsection (1)— (i) by the insertion before the definition of “company” of the following: “‘a collective investment undertaking’ means— (a) a unit trust scheme which is or is deemed to be an authorised unit trust scheme (within the meaning of the Unit Trusts Act, 1990 ) and which has not had its authorisation under that Act revoked, (b) any other undertaking which is an undertaking for collective investment in transferable securities within the meaning of the relevant Regulations (within the meaning of section 734) being an undertaking which holds an authorisation, which has not been revoked, issued pursuant to the relevant Regulations, (c) a limited partnership which— (i) has as its principal business, as expressed in the partnership agreement establishing the limited partnership, the investment of its funds in property, and (ii) has been authorised to carry on that business, under any enactment providing for such authorisation, by the Central Bank of Ireland and which has not had its authorisation under such enactment revoked, and (d) any authorised investment company (within the meaning of Part XIII of the Companies Act, 1990 )— (i) which has not had its authorisation under that Part of that Act revoked, and (ii) (I) which has been designated in that authorisation as an investment company which may raise capital by promoting the sale of its shares to the public and has not ceased to be so designated, or (II) where all the holders of units are collective investors; ‘collective investor’ has the same meaning as in section 734(1);”, (ii) by the insertion after the definition of “company” of the following: “‘relevant person’ means— (a) a company, or (b) a collective investment undertaking;”, (iii) in the definition of “relevant security”— (I) by the substitution of “in the course of carrying on relevant trading operations within the meaning of section 445 or 446” for “on or before the 31st day of December, 2005”, and (II) by the substitution of “issued;” for “issued.”, and (iv) by the insertion after the definition of “relevant security” of the following: “‘relevant territory’ means— (a) a Member State of the European Communities other than the State, or (b) not being such a Member State, a territory with the government of which arrangements having the force of law by virtue of section 826 have been made.”, (b) in subsection (3)— (i) in paragraph (f), by the substitution of “section 700,” for “section 700, or”, (ii) in paragraph (g), by the substitution of “distribution, or” for “distribution.”, and
\n(iii) by the insertion after paragraph (g) of the following: “(h) interest, other than interest referred to in paragraphs (a) to (g), paid by a relevant person in the ordinary course of a trade or business carried on by that person to a company resident in a relevant territory except where such interest is paid to that company in connection with a trade or business which is carried on in the State by that company through a branch or agency.”, and (c) in subsection (4), by the substitution of the following paragraphs for paragraphs (a) and (b): “(a) as if in section 445 the following subsection were substituted for subsection (2) of that section: ‘(2) Subject to subsections (7) and (8), the Minister may give a certificate certifying that such trading operations of a qualified company as are specified in the certificate are, with effect from a date specified in the certificate, relevant trading operations for the purposes of this section.’, and (b) as if in section 446 the following subsection were substituted for subsection (2) of that section: ‘(2) Subject to subsections (7) and (9), the Minister may give a certificate certifying that such trading operations of a company as are specified in the certificate are, with effect from a date specified in the certificate, relevant trading operations for the purposes of this section.’.”.
\nReturns of interest paid to non-residents.
\n40.—Part 38 of the Principal Act is hereby amended by the addition, after section 891, of the following section— “Returns of interest paid to non-residents.
\n891A.—(1) In this section— ‘appropriate inspector’ has the same meaning as in section 950(1); ‘chargeable period’ has the same meaning as in section 321(2); ‘relevant interest’ means interest to which subsection (2) of section 246 does not apply by virtue only of paragraph (h) (inserted by the Finance Act, 1999) of subsection (3) of that section; ‘relevant person’ has the same meaning as in section 246; ‘specified return date for the chargeable period’ has the same meaning as in section 894(1).
\nAmendment of Schedule 29 (provisions referred to in sections 1052, 1053 and 1054) to Principal Act.
\n41.—Schedule 29 to the Principal Act is hereby amended— (a) in column 1 by the insertion after “section 951(1) and (2)” of “section 986 and Regulations under that section”, and (b) in column 2 by the insertion after “section 891” of “section 891A”.
\nAmendment of section 2 (commencement) of Urban Renewal Act, 1998.
\n42.—
\nof the Urban Renewal Act, 1998 , is hereby amended by the substitution of the following for subsection (5): “(5) Subsection (1) of section 20 shall come into operation on such day or days as the Minister for Finance may appoint by order or orders and different days may be so appointed for different provisions of that subsection or for different purposes and, in particular, different days may be so appointed for the coming into operation of that subsection as respects different provisions of the definition of ‘specified period’ inserted in section 322 of the Taxes Consolidation Act, 1997 .”.
\nAmendment of section 330 (interpretation (Chapter 2)) of Principal Act.
\n43.—Section 330 of the Principal Act is hereby amended, in subsection (1), by the substitution of the following for the definition of “qualifying period”: “‘qualifying period’ means the period commencing— (a) for the purposes of any provision of this Chapter other than section 334, 335 or 336, the 6th day of April, 1991, or (b) for the purposes of sections 334 to 336, the 30th day of January, 1991, and ending on— (i) the 5th day of April, 1999, or (ii) the 31st day of December, 1999, where, in relation to the construction of, conversion into, refurbishment of, or, as the case may be, construction or refurbishment of a house which is a qualifying premises within the meaning of section 334, 335, 336 or 337, the corporation of the country borough of Dublin gives a certificate in writing, on or before the 31st day of July, 1999, to the person constructing, converting or refurbishing, as the case may be, the house stating that it is satisfied that not less than 50 per cent of the total cost of the house and the site thereof had been incurred on or before the 5th day of April, 1999;”.
\nAmendment of Chapter 3 (designated areas, designated streets, enterprise areas and multi-storey car parks in certain urban areas) of Part 10 of Principal Act.
\n44.—Chapter 3 of Part 10 of the Principal Act is hereby amended— (a) in section 339(2), by the insertion after paragraph (c) of the following paragraph: “(d) Where, in relation to the construction of, conversion into, refurbishment of, or, as the case may be, construction or refurbishment of a building or structure which complies with the requirements of subparagraphs (i), (ii) and (iii) of paragraph (c), being a qualifying premises within the meaning of section 346, 347, 348 or 349, where— (i) the expenditure to be incurred on the house has not been fully incurred by the 31st day of December, 1998, and (ii) the relevant local authority gives a certificate in writing on or before the 28th day of February, 1999, to the person constructing, converting or refurbishing, as the case may be, the house stating that it is satisfied that not less than 50 per cent of the total cost of the house and the site thereof had been incurred on or before the 31st day of December, 1998, then, the reference in paragraph (a) of the definition of ‘qualifying period’ in subsection (1) to the period ending on the 31st day of July, 1997, shall be construed as a reference to the period ending on the 30th day of April, 1999.”, (b) in section 340(1)(b), by the insertion after “the 31st day of July, 1997” of “, or, as the case may be, after the day to which the reference to the 31st day of July, 1997, is, by virtue of section 339(2), to be construed”, (c) in section 343— (i) in subsection (1), by the substitution for the definition of “qualifying company” of the following: “‘qualifying company’ means a company— (a) (i) which has been approved for financial assistance under a scheme administered by Forfás, Enterprise Ireland, the Industrial Development Agency (Ireland) or údarás na Gaeltachta, or (ii) which is engaged in a qualifying trading operation within the meaning of paragraph (c) of the definition of ‘qualifying trading operations’, and (b) to which the Minister has given a certificate under subsection (2) which has not been withdrawn in accordance with subsection (5) or (6);”, (ii) in subsection (2), by the substitution for paragraph (a) of the following: “(a) on the recommendation of Forfás (in conjunction with Enterprise Ireland, the Industrial Development Agency (Ireland) or údarás na Gaeltachta, as may be appropriate, or the Minister for Public Enterprise in the case of a company to which paragraph (a)(ii) of the definition of ‘qualifying company’ refers) in accordance with guidelines laid down by the Minister, and”,
\nand (iii) in subsection (8)(a), by the substitution, with effect as on and from the 1st day of January, 1998, for subparagraph (iv) of the following: “(iv) the following subsection were substituted for subsection (4) of that section: “(4) An industrial building allowance, in the case of a qualifying building (within the meaning of section 343(1)), shall be of an amount equal to— (a) 25 per cent, or (b) in the case of such a building the site of which is wholly within an area described in an order referred to in section 340(2)(i), 50 per cent, of the capital expenditure mentioned in subsection (2).',”, (d) in section 344— (i) in subsection (1) in the definition of “qualifying period”— (I) in paragraph (b), by the substitution of “of this definition, or” for “of this definition;”, and (II) by the insertion after paragraph (b) of the following paragraph: “(c) the 31st day of December, 2000, where, in relation to the construction or refurbishment of the qualifying multi-storey car park concerned (not being a qualifying multi-storey car park any part of the site of which is within either of the county boroughs of Cork or Dublin), the relevant local authority gives a certificate in writing on or before the 30th day of September, 1999, to the person constructing or refurbishing the qualifying multi-storey car park stating that it is satisfied that not less than 15 per cent of the total cost of the qualifying multi-storey car park and the site thereof had been incurred on or before the 30th day of June, 1999;”, (ii) in subsection (2)(a), by the substitution of “subsections (3) to (6A)” for “subsections (3) to (6)”, and (iii) by the insertion after subsection (6) of the following subsection: “(6A) Subsection (6) shall apply and have effect as respects capital expenditure referred to in subsection (2)(b), which is incurred after the 31st day of July, 1998, only if a qualifying lease, within the meaning of section 345, is granted in respect of the qualifying multi-storey car park in respect of which that expenditure is incurred.”, and (e) in section 345— (i) in subsection (1), by the substitution for the definition of “qualifying lease” of the following: “‘qualifying lease’ means, subject to subsections (1A) and (8), a lease in respect of a qualifying premises granted in the qualifying period, or within the period of one year from the day next after the end of the qualifying period, on bona fide commercial terms by a lessor to a lessee not connected with the lessor, or with any other person entitled to a rent in respect of the qualifying premises, whether under that lease or any other lease but, notwithstanding the foregoing, a lease which would otherwise be a qualifying lease shall not be such a lease if granted in respect of a building or structure within the meaning of paragraph (a)(iii) of the definition of ‘qualifying premises’ the site of which is wholly within an area—
\n(a) described in an order referred to in section 340(1)(a), if the lease is granted on or after the 31st day of July, 1999, or (b) described in Schedule 7, if the lease is granted on or after the 31st day of December, 1999, or (c) described in an order referred to in section 340(2)(i), irrespective of the date of the granting of the lease;”, and (ii) by the insertion of the following subsection after subsection (1): “(1A) Notwithstanding any other provision of this Chapter, including this section, ‘qualifying period’ for the purposes of this section in the case of a building or structure within the meaning of paragraph (a)(v) of the definition of ‘qualifying premises’ in subsection (1) means the period commencing on the 1st day of August, 1994, and ending on— (a) the 31st day of July, 1997, or (b) the 30th day of June, 1998, where, in relation to the construction or refurbishment of the qualifying multi-storey car park concerned, the relevant local authority has certified in accordance with the requirements of paragraph (b) of the definition of ‘qualifying period’ in section 344(1).”.
\nAmendment of section 351 (interpretation (Chapter 4)) of Principal Act.
\n45.—Section 351 of the Principal Act is hereby amended by the substitution of the following for the definition of “qualifying period”: “‘qualifying period’ means the period commencing on the 1st day of July, 1995, and ending on— (a) the 30th day of June, 1998, or (b) the 31st day of December, 1999, where, in relation to the construction of, conversion into, refurbishment of, or, as the case may be, construction or refurbishment of the building or structure concerned, being— (i) a building or structure to which section 352 applies, or (ii) a qualifying premises within the meaning of section 353, 354, 356, 357 or 358, the relevant local authority gives a certificate in writing, on or before the 30th day of September, 1999, to the person constructing, converting or refurbishing, as the case may be, the building or structure stating that it is satisfied that not less than 50 per cent of the total cost of the building or structure and the site thereof had been incurred on or before the 30th day of June, 1999, and, in considering whether to give such a certificate, the relevant local authority shall have regard only to guidelines in relation to the giving of such certificates issued by the Department of the Environment and Local Government for the purposes of this definition;”.
\nAmendment of section 360 (interpretation (Chapter 5)) of Principal Act.
\n46.—Section 360 of the Principal Act is hereby amended— (a) by the substitution of the following for the definition of “qualifying period”: “‘qualifying period’ means the period commencing on the 1st day of August, 1996, and ending on— (a) the 31st day of July, 1999, or (b) the 31st day of December, 1999, where, in relation to the construction of, conversion into, refurbishment of, or, as the case may be, construction or refurbishment of a house which is a qualifying premises within the meaning of section 361, 362, 363, or 364, the relevant local authority gives a certificate in writing, on or before the 31st day of October, 1999, to the person constructing, converting or refurbishing, as the case may be, the house stating that it is satisfied that not less than 50 per cent of the total cost of the house and the site thereof had been incurred on or before the 31st day of July, 1999;”, and (b) by the insertion of the following definition after the definition of “qualifying period”: “‘the relevant local authority’, in relation to the construction of, conversion into, refurbishment of, or, as the case may be, construction or refurbishment of a house of the kind referred to in paragraph (b) of the definition of ‘qualifying period’, means the council of a county or the corporation of a county or other borough or, where appropriate, the urban district council, in whose functional area the house is situated;”.
\nAmendment of Chapter 8 (qualifying rural areas) of Part 10 of Principal Act.
\n47.—(1) Chapter 8 of Part 10 of the Principal Act is hereby amended— (a) in section 372L— (i) in the definition of “qualifying period” (inserted by the Finance (No. 2) Act, 1998 ), by the substitution of the following for paragraph (b): “(b) for the purposes of sections 372P, 372Q, 372R and (in so far as it relates to those sections) section 372S, the period commencing on the 1st day of June, 1998, and ending on the 31st day of December, 2001, and (c) for the purposes of section 372RA and (in so far as it relates to that section) section 372S, the period commencing on the 6th day of April, 1999, and ending on the 31st day of December, 2001;”, and (ii) in the definition of “refurbishment”, by the substitution of “sections 372R and 372RA” for “section 372R”, (b) in section 372M(1), by the substitution of “paragraph (a) or (b) of section 268(1)” for “section 268(1)(a)”, (c) in section 372(1)— (i) in the definition of “qualifying lease”, by the substitution of “3 months” for “12 months”, and (ii) in the definition of “qualifying premises”, by the substitution of “140 square metres” for “125 square metres”, (d) in section 372Q(1)— (i) in the definition of “qualifying lease”, by the substitution of “3 months” for “12 months”, and (ii) in the definition of “qualifying premises”, by the substitution of “150 square metres” for “125 square metres”, (e) in section 372R(1)— (i) in the definition of “qualifying lease”, by the substitution of “3 months” for “12 months”, and (ii) in the definition of “qualifying premises”, by the substitution of “150 square metres” for “125 square metres”, (f) by the insertion of the following section after section 372R: “Residential accommodation: allowance to owner-occupiers in respect of certain expenditure on construction or refurbishment.
\n372RA.—(1) In this section— ‘qualifying expenditure’, in relation to an individual, means an amount equal to the amount of the expenditure incurred by the individual on the construction or, as the case may be, refurbishment of a qualifying premises which is a qualifying owner-occupied dwelling in relation to the individual after deducting from that amount of expenditure any sum in respect of or by reference to— (a) that expenditure, (b) the qualifying premises, or (c) the construction or, as the case may be, refurbishment work in respect of which that expenditure was incurred, which the individual has received or is entitled to receive, directly or indirectly, from the State, any board established by statute or any public or local authority; ‘qualifying owner-occupied dwelling’, in relation to an individual, means a qualifying premises which is first used, after the qualifying expenditure has been incurred, by the individual as his or her only or main residence; ‘qualifying premises’, in relation to the incurring of qualifying expenditure, means, subject to subsections (4) and (5) of section 372S, a house— (a) the site of which is wholly within a qualifying rural area, (b) which is used solely as a dwelling, (c) in respect of which, if it is not a new house (for the purposes of section 4 of the Housing (Miscellaneous Provisions) Act, 1979 ) provided for sale, there is in force a certificate of reasonable cost the amount specified in which in respect of the cost of construction or, as the case may be, refurbishment of the house is not less than the expenditure actually incurred on such construction or refurbishment, as the case may be, and (d) the total floor area of which is not less than 38 square metres and not more than— (i) in the case where the qualifying expenditure has been incurred on the construction of the qualifying premises, 210 square metres, or (ii) in the case where the qualifying expenditure has been incurred on the refurbishment of the qualifying premises, 210 square metres; ‘refurbishment’ has the same meaning as in section 372R.
\nCapital allowances for private convalescent homes.
\n48.—Part 9 (as amended by the Finance Act, 1998 ) of the Principal Act is hereby amended— (a) in section 268— (i) in subsection (1)— (I) in paragraph (g), by the substitution of “section 4 of that Act,” for “section 4 of that Act, or”, (II) in paragraph (h), by the substitution of “paragraph (f) relates, or” for “paragraph (f) relates,” and (III) by the insertion after paragraph (h) of the following paragraph: “(i) for the purposes of a trade which consists of the operation or management of a convalescent home for the provision of medical and nursing care for persons recovering from treatment in a hospital, being a hospital that provides treatment for acutely ill patients, and in respect of which convalescent home the health board, in whose functional area the convalescent home is situated, gives a certificate in writing to the person operating or managing the convalescent home stating that it is satisfied that the convalescent home meets the requirements and standards set out in the guidelines in relation to the operation and management of convalescent homes issued by the Minister for Health and Children with the consent of the Minister for Finance,”, and (ii) in subsection (9)— (I) in paragraph (d), by the deletion of “and”, (II) in paragraph (e), by the substitution of the following for subparagraph (ii): “(ii) by any other person on or after the date of the passing of the Finance Act, 1998 , and”, and (III) by the insertion after paragraph (e) of the following paragraph: “(f) by reference to paragraph (i), as respects capital expenditure incurred on or after the 2nd day of December, 1998.”, (b) in section 272— (i) in subsection (3), by the substitution of the following for paragraph (f): “(f) in relation to a building or structure which is to be regarded as an industrial building or structure within the meaning of paragraph (g) or (i) of section 268(1), 15 per cent of the expenditure referred to in subsection (2)(c), and”, and (ii) in subsection (4), by the substitution of the following for paragraph (f): “(f) in relation to a building or structure which is to be regarded as an industrial building or structure within the meaning of paragraph (g) or (i) of section 268(1), 7 years beginning with the time when the building or structure was first used, and”, and (c) in section 274(1)(b), by the substitution of the following for subparagraph (ii): “(ii) in relation to a building or structure which is to be regarded as an industrial building or structure within the meaning of paragraph (c), (e), (g) or (i) of section 268(1), 10 years after the building or structure was first used,”.
\nCapital allowances for buildings used for certain childcare purposes.
\n49.—The Principal Act is hereby amended— (a) in section 409A (inserted by the Finance Act, 1998 ), by the insertion in paragraph (b) of the definition of “specified building” in subsection (1), after “section 843”, of “or 843A”, and (b) in Part 36, by the insertion after section 843 of the following section: “Capital allowances for buildings used for certain childcare purposes.
\n843A.—(1) In this section— ‘pre-school child’ and ‘pre-school service’ have the meanings respectively assigned to them by section 49 of the Child Care Act, 1991 ; ‘qualifying expenditure’ means capital expenditure incurred on or after the 2nd day of December, 1998, on the construction, conversion or refurbishment of a qualifying premises; ‘qualifying premises’ means a building or structure which— (a) apart from this section is not an industrial building or structure within the meaning of section 268, and (b) is in use for the purposes of providing— (i) a pre-school service, or (ii) a pre-school service and a day-care or other service to cater for children other than pre-school children, and in respect of which it can be shown (to the extent that it is being used for the purposes of providing a pre-school service) that the requirements of Article 9, 10(1) or 11, as appropriate, of the Child Care (Pre-School Services) Regulations, 1996 ( S.I. No. 398 of 1996 ), have been complied with, but does not include any part of a building or structure in use as or as part of a dwelling-house.
\nRelief for provision of certain student accommodation.
\n50.—The Principal Act is hereby amended by the insertion after Part 11 of the following: “PART 11A Income Tax and Corporation Tax: Deduction for Expenditure on Construction, Conversion and Refurbishment of Certain Residential Accommodation for Certain Students Interpretation (Part 11A).
\n380A.—In this Part— ‘lease’, ‘lessee’, ‘lessor’, ‘premium’ and ‘rent’ have the same meanings respectively as in Chapter 8 of Part 4; ‘market value’, in relation to a building, structure or house, means the price which the unencumbered fee simple of the building, structure or house would fetch if sold in the open market in such manner and subject to such conditions as might reasonably be calculated to obtain for the vendor the best price for the building, structure or house, less the part of that price which would be attributable to the acquisition of, or of rights in or over, the land on which the building, structure or house is constructed; ‘qualifying area’ means an area or areas specified as a qualifying area in the relevant guidelines; ‘qualifying period’ means, the period commencing on the 1st day of April, 1999, and ending on the 31st day of March, 2003; ‘the relevant guidelines’ means guidelines issued for the purposes of this Part by the Minister for Education and Science in consultation with the Minister for the Environment and Local Government and with the consent of the Minister for Finance and, without prejudice to the generality of the foregoing, such guidelines may include provisions in relation to all or any one or more of the following— (i) the design and the construction of, conversion into, or refurbishment of, houses, (ii) the total floor area and dimensions of rooms within houses, measured in such manner as may be determined by the Minister for the Environment and Local Government, (iii) the provision of ancillary facilities and amenities in relation to houses, (iv) the granting of certificates of reasonable cost, (v) the designation of qualifying areas, (vi) the terms and conditions relating to qualifying leases, and (vii) the educational institutions and the students attending those institutions for whom the accommodation is provided.
\nRented residential accommodation: deduction for certain expenditure on construction.
\n380B.—(1) In this section— ‘qualifying lease’, in relation to a house, means, subject to section 380E(2), a lease of the house the consideration for the grant of which consists— (a) solely of periodic payments all of which are or are to be treated as rent for the purposes of Chapter 8 of Part 4, or (b) of payments of the kind mentioned in paragraph (a), together with a payment by means of a premium which does not exceed 10 per cent of the relevant cost of the house; ‘qualifying premises’ means, subject to subsections (3), (4)(a), (5) and (6) of section 380E, a house— (a) the site of which is wholly within a qualifying area, (b) which is used solely as a dwelling, (c) the total floor area of which complies with the requirements of the relevant guidelines, (d) in respect of which, if it is not a new house (for the purposes of section 4 of the Housing (Miscellaneous Provisions) Act, 1979 ) provided for sale, there is in force a certificate of reasonable cost, the amount specified in which in respect of the cost of construction of the house is not less than the expenditure actually incurred on such construction, and (e) which without having been used is first let in its entirety under a qualifying lease and thereafter throughout the remainder of the relevant period (except for reasonable periods of temporary disuse between the ending of one qualifying lease and the commencement of another such lease) continues to be let under such a lease; ‘relevant cost’, in relation to a house, means, subject to subsection (4), an amount equal to the aggregate of— (a) the expenditure incurred on the acquisition of, or of rights in or over, any land on which the house is constructed, and (b) the expenditure actually incurred on the construction of the house;