Finance Act, 1992

Finance Act, 1992 Skip to content Disclaimer Feedback Helpdesk Gaeilge Léim go dtí an t-ábhar Séanadh Aiseolas Deasc chabhrach English Gaeilge English Produced by the Office of the Attorney General Táirgthe ag Oifig an Ard-Aighne Home Legislation Acts of the Oireachtas Statutory Instruments Pre-1922 Legislation Constitution External Resources Bills (Houses of the Oireachtas) Iris Oifigiúil / Official Gazette Revised Acts (LRC) Classified List of Legislation (LRC) Translations (acts.ie) Translations (Houses of the Oireachtas) Government Publications for Sale EU Law (EUR-Lex) FAQ Disclaimer Feedback Helpdesk Search Baile Reachtaíocht Achtanna an Oireachtais Ionstraimí Reachtúla Reachtaíocht Réamh-1922 Bunreacht Acmhainní Seachtracha Billí (Tithe an Oireachtais) Iris Oifigiúil Achtanna Athbhreithnithe (CAD) (An Coimisiún um Athchóiriú an Dlí) Liosta Rangaithe Reachtaíochta Aistriúcháin (achtanna.ie) Aistriúcháin (Tithe an Oireachtais) Foilseacháin Rialtais ar Díol Dlí AE (EUR-Lex) CCanna (Ceisteanna Coitianta) Séanadh Aiseolas Deasc chabhrach Cuardach TitleTeideal Year(s) or rangeBliain nó blianta nó raon TypeCineál All Legislation Acts Statutory Instruments Advanced SearchCuardach Casta HomeBaile ActsAchtanna 1992 Finance Act, 1992 Finance Act, 1992 Permanent Page URL View by SectionAmharc de réir Ailt View Full ActAmharc ar an Acht Iomlán Bill History Stair Bille Commencement, Amendments, SIs made under the Act Tosach Feidhme, Leasuithe, IRí arna ndéanamh faoin Acht Print Full ActPriontáil an tAcht Iomlán Number 9 of 1992 FINANCE ACT, 1992 ARRANGEMENT OF SECTIONS

PART I

Income Tax, Corporation Tax and Capital Gains Tax

Chapter I

Income Tax Section

Section 1

Amendment of provisions relating to exemption from income tax.

Section 2

Alteration of rates of income tax.

Section 3

Amendment of section 6 (special allowance in respect of P.R.S.I. for 1982-83) of Finance Act, 1982.

Section 4

Cesser of relief in respect of life insurance premiums.

Section 5

Amendment of section 432 (making of claims, etc., and appeals and rehearings) of Income Tax Act, 1967.

Section 6

Amendment of Chapter II (occupational pension schemes) of Part I of Finance Act, 1972.

Section 7

Amendment of section 8 (permanent health benefit schemes) of Finance Act, 1979.

Section 8

Amendment of section 4 (benefit of use of a car) of Finance Act, 1982.

Section 9

Amendment of section 8 (restriction of relief in respect of interest paid on certain loans at a reduced rate) of Finance Act, 1982.

Section 10

Amendment of section 13 (interpretation (Chapter III)) of Finance Act, 1987.

Section 11

Amendment of section 14 (accountable persons) of Finance Act, 1987.

Section 12

Cesser of provisions relating to approved share option schemes.

Section 13

Cesser of section 14 (taxation treatment of certain dividends) of Finance Act, 1986.

Section 14

Relief to individuals on loans applied in acquiring interest in companies.

Section 15

Treatment for tax purposes of certain benefits payable under Social Welfare Acts.

Chapter II

Income Tax, Corporation Tax and Capital Gains Tax

Section 16

Amendment of section 36 (construction of references to child, son and daughter in Tax Acts and Capital Gains Tax Act, 1975) of Finance Act, 1977.

Section 17

Amendment of Chapter IX (profit sharing schemes) of Part I of and Third Schedule (profit sharing schemes) to Finance Act, 1982.

Section 18

Taxation of consideration for certain restrictive covenants, etc.

Section 19

Treatment of patent royalties and related distributions.

Section 20

Amendment of section 28 (farming: provision relating to relief in respect of increase in stock values) of Finance Act, 1980.

Section 21

Capital allowances for, and deduction in respect of, vehicles.

Section 22

Amendment of Chapter IV (interest payments by certain deposit takers) of Part I of Finance Act, 1986.

Section 23

Amendment of section 46 (limited partnerships: relief restrictions) of Finance Act, 1986.

Section 24

Securities of Bord Gáis Éireann.

Section 25

Restriction of capital allowances on holiday cottages.

Section 26

Application and amendment of section 241 (wear and tear of machinery, plant, etc.) of Income Tax Act, 1967.

Section 27

Amendment of section 255 (meaning of “industrial building or structure”) of Income Tax Act, 1967.

Section 28

Extension and amendment of section 17 (tax deductions from payments to sub-contractors in the construction industry) of Finance Act, 1970.

Section 29

Amendment of Chapter V (Urban Renewal: Relief from Income Tax and Corporation Tax) of Part I of Finance Act, 1986.

Section 30

Amendment of section 27 (designated areas for urban renewal relief) of Finance Act, 1987.

Section 31

Amendment of section 4 (relief for expenditure on certain buildings in designated areas) of Finance Act, 1989.

Section 32

Amendment of section 18 (date for payment of tax) of Finance Act, 1988.

Section 33

Amendment of section 21 (miscellaneous) of Finance Act, 1988.

Section 34

Amendment of Chapter VII (Urban Renewal: Temple Bar and Other Areas) of Part I of Finance Act, 1991.

Section 35

Treatment of certain distributions received on or after 29th day of January, 1992.

Section 36

Option in relation to section 35 (certain unit trusts not to be collective investment undertakings) of Finance Act, 1990.

Section 37

Application of section 25 (attribution of distributions to accounting periods) of Finance Act, 1989, to interim dividends.

Section 38

Distributions to non-residents.

Section 39

Provisions relating to section 244 (allowance for scientific research) of Income Tax Act, 1967, etc.

Chapter III

Corporation Tax

Section 40

Amendment of section 84A (limitation on meaning of “distribution”) of Corporation Tax Act, 1976.

Section 41

Amendment of section 21 (amendment of Part IX (Schedule F and company distributions) of Corporation Tax Act, 1976) of Finance Act, 1989.

Section 42

Amendment of Part XXXII (Government and other public loans) of Income Tax Act, 1967, and computation of losses.

Section 43

Building societies (taxation of certain transactions).

Section 44

Amendment of Part III (special classes of companies) of Corporation Tax Act, 1976.

Section 45

Credit for bank levy.

Section 46

Restriction of certain losses and charges on income and consequential amendments.

Section 47

Amendment of section 39 (meaning of “goods”) of Finance Act, 1980.

Section 48

Termination of relief in respect of certain transactions of agricultural and fishery societies.

Section 49

Recovery of tax credits from companies.

Section 50

Group payments.

Section 51

Amendment of section 44 (group dividends) of Finance Act, 1983.

Section 52

Amendment of section 39A (relief in relation to income from certain trading operations carried on in Shannon Airport) of Finance Act, 1980.

Section 53

Amendment of section 39B (relief in relation to income from certain trading operations carried on in Custom House Docks Area) of Finance Act, 1980.

Section 54

Amendment of section 41 (basis of relief from corporation tax) of Finance Act, 1980.

Section 55

Late submission of returns: restriction of certain claims to relief.

Section 56

Relief for gifts to The Enterprise Trust Ltd.

Section 57

Amendment of section 39 (exemption of certain income of Nítrigin Éireann Teoranta) of Finance Act, 1988.

Section 58

Amendment of section 35 (relief for investment in films) of Finance Act, 1987.

Chapter IV

Capital Gains Tax

Section 59

Reduction in exemption for individuals.

Section 60

Alteration of rates of capital gains tax.

Section 61

Restriction of Schedule 2 (companies and shareholders) to Capital Gains Tax Act, 1975.

Section 62

Amendment of section 9 (consideration) of Capital Gains Tax Act, 1975.

Section 63

Amendment of section 47 (options) of Capital Gains Tax Act, 1975.

Chapter V

Implementation of Council Directive No. 90/434/EEC and other related matters

Section 64

Interpretation (Chapter V).

Section 65

Transfer of assets generally.

Section 66

Transfer of an asset by a company to its parent company.

Section 67

Company reconstruction or amalgamation: transfer of development land.

Section 68

Amendment of section 36 (chargeable gains on disposals of development land) of Finance Act, 1982.

Section 69

Credit for tax.

Section 70

Avoidance of tax.

Section 71

Returns.

Section 72

Other transactions.

Section 73

Amendment of section 132 (disposal or acquisition outside a group) of Corporation Tax Act, 1976.

Section 74

Apportionment of amounts.

Chapter VI

Petroleum Taxation

Section 75

Interpretation (Chapter VI).

Section 76

Separation of trading activities.

Section 77

Reduction of corporation tax.

Section 78

Treatment of losses, etc.

Section 79

Restriction of group relief.

Section 80

Restriction of relief for losses on certain disposals.

Section 81

Interest and charges on income.

Section 82

Restriction of set-off of advance corporation tax.

Section 83

Development expenditure: capital allowances and charges.

Section 84

Exploration expenditure: allowances and charges.

Section 85

Exploration expenditure incurred by certain companies.

Section 86

Abandonment expenditure: allowances and loss relief.

Section 87

Valuation of petroleum in certain circumstances.

Section 88

Treatment of certain disposals.

PART II

Customs And Excise

Chapter I

Excise Duty on Beer

Section 89

Interpretation (Chapter I).

Section 90

Duty of excise on beer.

Section 91

Exemptions from duty.

Section 92

Remissions and repayments of duty.

Section 93

Remission or repayment of certain duty chargeable before appointed day.

Section 94

Revocation of brewer's licence and offence by brewer for sale.

Section 95

Approval of persons and premises for the brewing, holding and packaging of beer without payment of duty.

Section 96

Provision of facilities by warehousekeeper and powers of inspection, etc., of officers.

Section 97

Treatment of excess or deficiency in stocks and fraudulent evasion of duty.

Section 98

Regulations (Chapter I).

Section 99

Offences (Chapter I).

Section 100

Application of enactments (Chapter I).

Section 101

Repeals and revocations (Chapter I).

Section 102

Commencement (Chapter I).

Chapter II

Implementation of Council Directive No. 92/12/EEC.

Section 103

Interpretation (Chapter II).

Section 104

Excisable products.

Section 105

Warehousing.

Section 106

Treatment of excisable products released for consumption in another Member State.

Section 107

Provisions relating to vendors.

Section 108

Tax representatives.

Section 109

Movement of excisable products under a duty-suspension arrangement from the State to other Member States.

Section 110

Movement of excisable products under a duty-suspension arrangement to the State from other Member States.

Section 111

Accompanying documents.

Section 112

Repayments of excise duty.

Section 113

Exemptions.

Section 114

Treatment of losses.

Section 115

Power to stop vehicles and detain excisable products.

Section 116

Powers of entry and inspection, etc. of officers.

Section 117

Regulations (Chapter II).

Section 118

Application of enactments (Chapter II).

Section 119

Commencement (Chapter II).

Chapter III

Amusement Machine Licence Duty

Section 120

Interpretation (Chapter III).

Section 121

Waivers and exemptions.

Section 122

Permit and licence procedure.

Section 123

Rates of duty.

Section 124

Prohibition on play without permit and licence.

Section 125

Investigation, etc. by officers.

Section 126

Penalties (Chapter III).

Section 127

Forfeiture (Chapter III).

Section 128

Regulations (Chapter III).

Section 129

Applicability of excise statutes.

Chapter IV

Registration and Taxation of Vehicles

Section 130

Interpretation.

Section 131

Registration of vehicles by Revenue Commissioners.

Section 132

Charge of excise duty.

Section 133

Chargeable value.

Section 134

Permanent reliefs.

Section 135

Temporary exemption from registration.

Section 136

Authorisation of manufacturers, distributors and dealers and periodic payment of duty.

Section 137

Accountability for unregistered vehicles and converted vehicles.

Section 138

Appeals.

Section 139

Offences and penalties.

Section 140

Evidence.

Section 141

Regulations.

Section 142

Powers of officers.

Section 143

Transitional provisions.

Section 144

Application of enactments.

Chapter V

Miscellaneous

Section 145

Interpretation (Chapter V).

Section 146

Tobacco products.

Section 147

Cider and perry.

Section 148

Televisions.

Section 149

Video players.

Section 150

Hydrocarbons.

Section 151

Motor vehicles.

Section 152

Termination of excise duties on table waters and table waters manufacturer's licence.

Section 153

Termination of excise duty on match manufacturer's licence.

Section 154

Increase of duties on certain intoxicating liquor licences.

Section 155

Spirits retailers' on-licences.

Section 156

Amendment of section 49 (grant of licences and date of expiration of licences) of Finance (1909-10) Act, 1910.

Section 157

Increase of duties on public dancing licence, occasional licence, special exemption order and authorisation to a club.

Section 158

Increase of duties on hydrocarbon vendors' licences.

Section 159

Increase of duties on registration of firearms dealers.

Section 160

Increase of duties on certain other licences, etc.

Section 161

Increase of duty on registration of clubs.

Section 162

Restriction of section 29 (provisions in relation to customs, customs duties and EEC levies) of Finance Act, 1978.

Section 163

Amendment of Finance (Excise Duties) (Vehicles) Act, 1952.

PART III

Value-Added Tax

Section 164

Interpretation (Part III).

Section 165

Amendment of section 1 (interpretation) of Principal Act.

Section 166

Amendment of section 2 (charge of value-added tax) of Principal Act.

Section 167

Amendment of section 3 (supply of goods) of Principal Act.

Section 168

Intra-Community acquisition of goods.

Section 169

Amendment of section 5 (supply of services) of Principal Act.

Section 170

Amendment of section 8 (taxable persons) of Principal Act.

Section 171

Amendment of section 9 (registration) of Principal Act.

Section 172

Amendment of section 10 (amount on which tax is chargeable) of Principal Act.

Section 173

Amendment of section 11 (rates of tax) of Principal Act.

Section 174

Amendment of section 12 (deductions for tax borne or paid) of Principal Act.

Section 175

Amendment of section 12A (special provisions for tax invoiced by flat-rate farmers) of Principal Act.

Section 176

Amendment of section 13 (remission of tax on goods exported, etc.) of Principal Act.

Section 177

Amendment of section 14 (determination of tax due by reference to cash receipts) of Principal Act.

Section 178

Amendment of section 15 (charge of tax on imported goods) of Principal Act.

Section 179

Amendment of section 16 (duty to keep records) of Principal Act.

Section 180

Amendment of section 17 (invoices) of Principal Act.

Section 181

Amendment of section 18 (inspection and removal of records) of Principal Act.

Section 182

Amendment of section 19 (tax due and payable) of Principal Act.

Section 183

Statement of intra-Community supplies.

Section 184

Amendment of section 20 (refund of tax) of Principal Act.

Section 185

Amendment of section 23 (determination of tax due) of Principal Act.

Section 186

Security to be given by certain taxable persons.

Section 187

Amendment of section 25 (appeals) of Principal Act.

Section 188

Amendment of section 26 (penalties generally) of Principal Act.

Section 189

Amendment of section 27 (fraudulent returns etc.) of Principal Act.

Section 190

Amendment of section 28 (assisting in making incorrect returns) of Principal Act.

Section 191

Amendment of section 30 (time limits) of Principal Act.

Section 192

Amendment of section 32 (regulations) of Principal Act.

Section 193

Substitution of certain persons for persons not established in the State.

Section 194

Amendment of First Schedule to Principal Act.

Section 195

Amendment of Second Schedule to Principal Act.

Section 196

Amendment of Third Schedule to Principal Act.

Section 197

Amendment of Sixth Schedule to Principal Act.

Section 198

Insertion of Seventh Schedule in Principal Act.

PART IV

Stamp Duties

Section 199

Definitions (Part IV).

Section 200

Levy on banks.

Section 201

Stamp duties, remission of certain penalties.

Section 202

Amendment of section 17 (stamp duty in respect of credit cards and charge cards) of Finance (No. 2) Act, 1981.

Section 203

Stamp duty in respect of cash cards.

Section 204

Stamp duties on miscellaneous instruments.

Section 205

Amendment of First Schedule.

Section 206

Exemption from stamp duty of certain stocks and marketable securities.

Section 207

Exemption from stamp duty of certain financial services instruments.

Section 208

Location of insurance risk for stamp duty purposes.

Section 209

Exemption from stamp duty of certain instruments relating to foreign immovable property.

Section 210

Exemption from stamp duty of certain instruments of National Treasury Management Agency and of Minister for Finance.

Section 211

Revocation (Part IV).

Section 212

Provisions relating to exemption from stamp duty on transfers by spouses.

Section 213

Procedure to apply where consideration etc. cannot be ascertained.

Section 214

Amendment of section 45 (relief from certain duties (adopted children)) of Finance Act, 1972.

Section 215

Repeal of certain provisions relating to Governor and Company of the Bank of Ireland.

Section 216

Exemption from stamp duty of certain instruments (Temple Bar Properties Limited).

Section 217

Amendment of section 44 (exemption from stamp duty of certain stock) of Finance Act, 1970.

PART V

Residenhal Property Tax

Section 218

Application (Part V).

Section 219

Amendment of section 100 (market value exemption limit) of Finance Act, 1983.

Section 220

Amendment of section 101 (income exemption limit) of Finance Act, 1983.

Section 221

Amendment of section 102 (marginal reliefs) of Finance Act, 1983.

PART VI

Capital Acquisitions Tax

Section 222

Interpretation (Part VI).

Section 223

Amendment of section 2 (interpretation) of Principal Act.

Section 224

Amendment of section 106 (acquisitions by discretionary trusts) of Finance Act, 1984.

Section 225

Amendment of section 102 (interpretation (Part V)) of Finance Act, 1986.

PART VII

Anti-Avoidance and Anti-Evasion

Section 226

Returns of certain information.

Section 227

Supplemental provisions to section 226.

Section 228

Inspector's right to make enquiries.

Section 229

Amendment of section 19 (returns by certain intermediaries in relation to UCITS) of Finance Act, 1989.

Section 230

Returns in relation to foreign accounts.

Section 231

Obligation to keep certain records.

Section 232

Inspection of documents and records.

Section 233

Powers of inspection : PAYE.

Section 234

Amendment of section 128 (penalties) of Income Tax Act, 1967.

Section 235

Powers of inspection: tax deductions from payments to certain sub-contractors.

Section 236

Authorised officers and Garda Síochána.

Section 237

Inspection of computer documents and records.

Section 238

Amendment of section 31 (power to obtain from certain persons particulars of transactions with and documents concerning tax liability of taxpayers) of Finance Act, 1979.

Section 239

Amendment of section 20 (return of property) of Finance Act, 1983.

Section 240

Amendment of section 23 (publication of names of defaulters) of Finance Act, 1983.

Section 241

Amendment of section 73 (deduction from payments due to defaulters of amounts due in relation to tax) of Finance Act, 1988.

Section 242

Tax clearance in relation to certain licences.

Section 243

Amendment of section 94 (revenue offences) of Finance Act, 1983.

Section 244

Amendment of section 9 (interpretation (Chapter II)) of Finance Act, 1988.

Section 245

Amendment of section 48 (surcharge for late submission of returns) of Finance Act, 1986.

Section 246

Amendment of Schedule 4 (administration) to Capital Gains Tax Act, 1975.

Section 247

Amendment of section 143 (return of profits) of Corporation Tax Act, 1976.

Section 248

Amendment of certain provisions of Tax Acts, etc., relating to penalties.

PART VIII

Miscellaneous

Section 249

Capital Services Redemption Account.

Section 250

Amendment of Provisional Collection of Taxes Act, 1927.

Section 251

Amendment of section 55 (payments to lessees under petroleum leases) of Petroleum and Other Minerals Development Act, 1960.

Section 252

Voluntary Health Insurance Board levy.

Section 253

Care and management of taxes and duties.

Section 254

Short title, construction and commencement.

FIRST SCHEDULE Tables to Section 4 (4) of the Finance Act, 1982

PART I

Table to section 4 (4) of the Finance Act, 1982, as respects the year 1992-93

PART II

Table to section 4 (4) of the Finance Act, 1982, as respects the year 1993-94

PART III

Table to section 4 (4) of the Finance Act, 1982, as respects the year 1994-95

PART IV

Table to section 4 (4) of the Finance Act, 1982, as respects the year 1995-96

PART V

Table to section 4 (4) of the Finance Act, 1982, as respects the year 1996-97 and subsequent years of assessment SECOND SCHEDULE Accountable Persons for Purposes of Chapter III Of Part I of the Finance Act, 1987 THIRD SCHEDULE

PART I

Repeal of Provisions relating to Excise Duty on Beer

PART II

Repeal of Provisions relating to Spirits Retailers' On-Licences FOURTH SCHEDULE Rates of Excise Duty on Tobacco Products FIFTH SCHEDULE Rates of Excise Duty on Cider and Perry SIXTH SCHEDULE Rates of Excise Duty on Certain Licences

PART I

Intoxicating Liquor Licences

PART II

Firearm Certificates

PART III

Gaming Licences

PART IV

Other Licences SEVENTH SCHEDULE Stamp Duty on Instruments

PART I

Conveyance or Transfer on Sale of any Stocks or Marketable Securities

PART II

Conveyance or Transfer on Sale of Policy of Insurance or Policy of Life Insurance

PART III

Conveyances or Transfers of certain other Kinds

PART IV

Deeds

PART V

Mortgages, Bonds, Debentures and certain Covenants Acts Referred to Adoption Acts, 1952 to 1991 Adoption Act, 1991 1991, No. 14 Bank of Ireland (1797) 37 Geo. 3, c. 54 Bank of Ireland Act, 1821 1 & 2 Geo. 4, c. 72 Building Societies Act, 1989 1989, No. 17 Capital Acquisitions Tax Act, 1976 1976, No. 8 Capital Gains Tax Act, 1975 1975, No. 20 Capital Gains Tax (Amendment) Act, 1978 1978, No. 33 Central Bank Act, 1971 1971, No. 24 Companies Act, 1963 1963, No. 33 Companies Acts, 1963 to 1990 Continental Shelf Act, 1968 1968, No. 14 Corporation Tax Act, 1976 1976, No. 7 Courts (No. 2) Act, 1986 1986, No. 26 Customs and Inland Revenue Act, 1881 44 & 45 Vict., c. 12 Customs and Inland Revenue Act, 1885 48 & 49 Vict., c. 51 Customs and Inland Revenue Act, 1889 52 & 53 Vict., c. 7 Diplomatic Relations and Immunities Acts, 1967 and 1976 Excise Act, 1835 5 & 6 Will. 4, c. 39 Family Home Protection Act, 1976 1976, No. 27 Finance Act, 1896 59 & 60 Vict., c. 28 Finance Act, 1902 2 Edw. 7, c. 7 Finance (1909-10) Act, 1910 10 Edw. 7 & 1 Geo. 5, c. 8 Finance Act, 1914 (Session 2) 5 & 6 Geo. 5, c. 7 Finance Act, 1915 5 & 6 Geo. 5, c. 62 Finance Act, 1916 6 & 7 Geo. 5, c. 24 Finance Act, 1918 8 & 9 Geo. 5, c. 15 Finance Act, 1920 10 & 11 Geo. 5, c. 18 Finance Act, 1925 1925, No. 28 Finance Act, 1940 1940, No. 14 Finance Act, 1946 1946, No. 15 Finance Act, 1956 1956, No. 22 Finance Act, 1961 1961, No. 23 Finance Act, 1963 1963, No. 23 Finance Act, 1964 1964, No. 15 Finance Act, 1970 1970, No. 14 Finance Act, 1971 1971, No. 23 Finance Act, 1972 1972, No. 19 Finance Act, 1973 1973, No. 19 Finance Act, 1974 1974, No. 27 Finance Act, 1975 1975, No. 6 Finance Act, 1976 1976, No. 16 Finance Act, 1977 1977, No. 18 Finance Act, 1978 1978, No. 21 Finance Act, 1979 1979, No. 11 Finance Act, 1980 1980, No. 14 Finance Act, 1981 1981, No. 16 Finance (No. 2) Act, 1981 1981, No. 28 Finance Act, 1982 1982, No. 14 Finance Act, 1983 1983, No. 15 Finance Act, 1984 1984, No. 9 Finance Act, 1985 1985, No. 10 Finance Act, 1986 1986, No. 13 Finance Act, 1987 1987, No. 10 Finance Act, 1988 1988, No. 12 Finance Act, 1989 1989, No. 10 Finance Act, 1990 1990, No. 10 Finance Act, 1991 1991, No. 13 Finance (Excise Duties) (Vehicles) Act, 1952 1952, No. 24 Finance (Excise Duty on Tobacco Products) Act, 1977 1977, No. 32 Finance (Miscellaneous Provisions) Act, 1956 1956, No. 47 Finance (Miscellaneous Provisions) Act, 1968 1968, No. 7 Finance (New Duties) Act, 1916 6 Geo. 5, c. 11 Finance (Taxation of Profits of Certain Mines) Act, 1974 1974, No. 17 Gaming and Lotteries Act, 1956 1956, No. 2 Higher Education Authority Act, 1971 1971, No. 22

Income Tax Act, 1967 1967, No. 6 Industrial and Provident Societies Acts, 1893 to 1978 Inland Revenue Act, 1880 43 & 44 Vict., c. 20 Intoxicating Liquor Act, 1927 1927, No. 15 Intoxicating Liquor Act, 1960 1960, No. 18 Intoxicating Liquor Act, 1962 1962, No. 21 Intoxicating Liquor Act, 1988 1988, No. 16 Intoxicating Liquor (General) Act, 1924 1924, No. 62 Licensing (Ireland) Act, 1833 3 & 4 Will. 4, c. 68 Licensing (Ireland) Act, 1902 2 Edw. 7, c. 18 Local Government Act, 1941 1941, No. 23 Local Government Services (Corporate Bodies) Act, 1971 1971, No. 6 National Treasury Management Agency Act, 1990 1990, No. 18 Petroleum and Other Minerals Development Act, 1960 1960, No. 7 Postal and Telecommunications Services Act, 1983 1983, No. 24 Provisional Collection of Taxes Act, 1927 1927, No. 7 Public Dance Halls Act, 1935 1935, No. 2 Revenue Act, 1909 9 Edw. 7, c. 43 Roads Act, 1920 10 & 11 Geo. 5, c. 72 Social Welfare (Consolidation) Act, 1981 1981, No. 1 Stamp Act, 1891 54 & 55 Vict., c. 39 Succession Duty Act, 1853 16 & 17 Vict., c. 51 Temple Bar Area Renewal and Development Act, 1991 1991, No. 19 Tourist Traffic Acts, 1939 to 1987 Unit Trusts Act, 1990 1990, No. 37 Value-Added Tax Act, 1972 1972, No. 22 Value-Added Tax (Amendment) Act, 1978 1978, No. 34 Vocational Education Act, 1930 1930, No. 29 Number 9 of 1992 Finance Act, 1992 AN ACT TO CHARGE AND IMPOSE CERTAIN DUTIES OF CUSTOMS AND INLAND REVENUE (INCLUDING EXCISE), TO AMEND THE LAW RELATING TO CUSTOMS AND INLAND REVENUE (INCLUDING EXCISE) AND TO MAKE FURTHER PROVISIONS IN CONNECTION WITH FINANCE. [28th May, 1992] BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:

PART I

Income Tax, Corporation Tax and Capital Gains Tax

Chapter I

Income Tax Amendment of provisions relating to exemption from income tax.

1.—As respects the year of assessment 1992-93 and subsequent years of assessment, the Finance Act, 1980 , is hereby amended— (a) in section 1— (i) by the substitution, in paragraph (b) of subsection (1), of “48 per cent.” for “52 per cent.” (inserted by the Finance Act, 1991 ), and (ii) by the substitution, in subsection (2) (inserted by the Finance Act, 1989 ), of “£7,000” and “£3,500”, respectively, for “£6,800” and “£3,400” (inserted by the Finance Act, 1991 ), and (b) in section 2— (i) by the substitution, in subsection (3), of “48 per cent.” for “52 per cent.” (inserted by the Finance Act, 1991 ), and (ii) by the substitution, in subsection (6) (inserted by the Finance Act, 1989 )— (I) of “£8,000” and “£9,200”, respectively, for “£7,800” and “£9,000” (inserted by the Finance Act, 1991 ), in paragraph (a), and (II) of “£4,000” and “£4,600”, respectively, for “£3,900” and “£4,500” (inserted by the Finance Act, 1991 ), in paragraph (b), and the said paragraph (b) of subsection (1), and the said subsection (2), of the said section 1 and the said subsections (3) and (6) of the said section 2, as so amended, are set out in the Table to this section.

TABLE (b) an individual makes a claim for the purpose, makes a return in the prescribed form of his total income for that year and proves that it does not exceed a sum equal to twice the specified amount, he shall be entitled to have the amount of income tax payable in respect of his total income for that year, if that amount would, but for the provisions of this subsection, exceed a sum equal to 48 per cent. of the amount by which his total income exceeds the specified amount, reduced to that sum.

Provided that, if at any time during the year of assessment either the individual or his spouse was of the age of seventy-five years or upwards, “the specified amount” means £9,200, and (b) in any other case, £4,000:

Provided that, if at any time during the year of assessment the individual was of the age of seventy-five years or upwards, “the specified amount” means £4,600.

Alteration of rates of income tax.

2.—(1) As respects the year of assessment 1992-93 and subsequent years of assessment— (a) section 2 of the Finance Act, 1991 , is hereby amended by 45 the substitution of the following Table for the Table to that section: “TABLE

PART I

Part of taxable income Rate of tax Description of rate

(1)

(2)

PART II

Part of taxable income Rate of tax Description of rate

(1)

(2)

Section 198

of the Income Tax Act, 1967 , is hereby amended, as respects the year of assessment 1992-93 and subsequent years of assessment, by the substitution in subsections (1) (b) and (3) of “ section 2 of the Finance Act, 1991 ” for “ section 8 of the Finance Act, 1980 ”. (b) The reference to section 8 of the Finance Act, 1980 , in subsection (1) (b), and in subsection (3), of section 198 of the Income Tax Act, 1967 , shall in each case be construed and be deemed always to have been construed— (i) as respects the years of assessment 1984-85 to 1990-91, as a reference to section 2 of the Finance Act, 1984 , and (ii) as respects the year of assessment 1991-92, as a reference to section 2 of the Finance Act, 1991 .

Amendment of section 6 (special allowance in respect of P.R.S.I. for 1982-83) of Finance Act, 1982.

3.—

Section 6

of the Finance Act, 1982 , shall have effect for the purpose of ascertaining the amount of income on which an individual referred to therein is to be charged to income tax for the year 1992-93, as if in subsection (2)— (a) “1992-93” were substituted for “1982-83”, and (b) “£286” were substituted for “£312” in each place where it occurs.

Cesser of relief in respect of life insurance premiums.

4.—The following provisions shall not apply or have effect in relation to the year of assessment 1992-93 or any subsequent year of assessment, that is to say: (a) sections 143 , 151 and 152 of the Income Tax Act, 1967 , (b) section 23 of, and the First Schedule to, the Finance Act, 1973 , and (c) section 8 (as amended by the Finance Act, 1991 ) of the Finance Act, 1989 .

Amendment of section 432 (making of claims, etc., and appeals and rehearings) of Income Tax Act, 1967.

5.—

Section 432

of the Income Tax Act, 1967 , is hereby amended, in subsection (1), by the insertion after “but any person aggrieved by any determination on any such claim, matter or question may,” of “subject to section 17 of the Finance Act, 1988 , and”, and the said subsection (1), as so amended, is set out in the Table to this section.

TABLE

Amendment of Chapter II (occupational pension schemes) of Part I of Finance Act, 1972.

6.—Chapter II of Part I of the Finance Act, 1972 , is hereby amended— (a) in subsection (3) of section 15, by the deletion in paragraph (a) of “(or if the employee is a woman, 55)”, (b) in subsection (2) of section 21, as respects any repayment of contributions referred to in the said section 21 which is made on or after the 29th day of January, 1992, by the substitution of “25 per cent.” for “10 per cent.”:

Provided that this paragraph shall not apply where the Revenue Commissioners are satisfied that an application for a repayment was made by or on behalf of an employee before the said 29th day of January, 1992, and (c) in section 22, by the substitution of the following subsection for subsection (2): “(2) Where any amount is chargeable to tax under this section the administrator of the scheme shall be charged to income tax under Case IV of Schedule D on that amount and, subject to subsection (4) of section 21 which shall apply as it applies to tax chargeable under that section, the rate of tax shall be 10 per cent.”, and the said paragraph (a) of subsection (3) of section 15 and the said subsection (2) (apart from the proviso) of section 21, as so amended, are set out in the Table to this section.

TABLE (a) that any benefit for an employee is a pension on retirement at a specified age not earlier than 60 and not later than 70, or on earlier retirement through incapacity, which does not exceed one-sixtieth of the employee's final remuneration for each year of service up to a maximum of 40,

Amendment of section 8 (permanent health benefit schemes) of Finance Act, 1979.

7.—(1)

Section 8

of the Finance Act, 1979 , is hereby amended by the insertion after subsection (4) of the following subsection: “(4A) The Revenue Commissioners may nominate any of their officers, including an inspector, to perform any acts and discharge any functions authorised by this section to be performed or discharged by them.”.

Amendment of section 4 (benefit of use of a car) of Finance Act, 1982.

8.—As respects the year 1992-93 and subsequent years of assessment, section 4 of the Finance Act, 1982 , is hereby amended— (a) in paragraph (a) of subsection (3)— (i) by the substitution of “30 per cent.” for “20 per cent.”, (ii) by the substitution of “4 1/2 per cent.” for “3 per cent.” in subparagraph (i), (iii) by the substitution of “3 per cent.” for “2 per cent.”, in subparagraph (ii) and in subparagraph (iii), and (iv) by the substitution of “1 per cent.” for “1/2 per cent.” in subparagraph (iv), and (b) in subsection (4)— (i) by the substitution of “15,000” for “10,000” in paragraph (a), and (ii) by the substitution— (I) as respects the year 1992-93, of the Table set out in

Part I

of the First Schedule , (II) as respects the year 1993-94, of the Table set out in

Part II

of the First Schedule , (III) as respects the year 1994-95, of the Table set out in

Part III

of the First Schedule , (IV) as respects the year 1995-96, of the Table set out in

Part IV

of the First Schedule , and (V) as respects the year 1996-97 and subsequent years of assessment, of the Table set out in

Part V

of the First Schedule for the Table to that subsection, and the said paragraphs (a) of the said subsections (3) and (4), as so amended, are set out, respectively, in the Table to this section.

TABLE (a) The cash equivalent of the benefit of a car for a year of assessment shall be 30 per cent. of the original market value of the car, but shall be reduced— (i) where no part of the cost, for that year, of the fuel used in the course of the private use of the car by the employee is borne directly or indirectly by the employer, by 41/2 per cent. of the original market value of the car, (ii) where no part of the cost, for that year, of the insurance of the car is borne directly or indirectly by the employer, by 3 per cent. of the original market value of the car, (iii) where no part of the cost, for that year, of repair and servicing of the car is borne directly or indirectly by the employer, by 3 per cent. of the original market value of the car, and (iv) where no part of the excise duty, for that year, on the licence under section 1 of the Finance (Excise Duties) (Vehicles) Act, 1952 , relating to the car is borne directly or indirectly by the employer, by 1 per cent. of the original market value of the car. (a) Where, in relation to a person, the business mileage for a year of assessment exceeds 15,000, the cash equivalent of the benefit of the car for that year, instead of being the amount ascertained under subsection (3), shall be the percentage of that amount applicable to that business mileage under the Table to this subsection.

Amendment of section 8 (restriction of relief in respect of interest paid on certain loans at a reduced rate) of Finance Act, 1982.

9.—

Section 8

of the Finance Act, 1982 , is hereby amended, as respects the year 1992-93 and subsequent years of assessment, by the substitution in the definition of “the specified rate” (inserted by the Finance Act, 1989 ) in subsection (1) of— (a) “11 per cent.” for “10 per cent.” in both places where it occurs, and (b) “15 per cent.” for “12 per cent.”, and the said definition, as so amended, is set out in the Table to this section.

TABLE “the specified rate”, in relation to a preferential loan, means— (i) in a case where— (I) the interest which is paid on the preferential loan qualifies for relief under section 76

Amendment of section 13 (interpretation (Chapter III)) of Finance Act, 1987.

10.—

Section 13

Part V

of the Income Tax Act, 1967 , to which that Chapter applies, and (ii) payments under a construction contract within the meaning of section 17 of the Finance Act, 1970 , and payments under a relevant contract within the meaning of the said section 17 (as amended by the Finance Act, 1992), from which tax has been deducted in accordance with the provisions of subsection (2) of that section, or would have been so deducted but for the provisions of subsection (8) of that section;”.

Amendment of section 14 (accountable persons) of Finance Act, 1987.

11.—(1)

Section 14

of the Finance Act, 1987 , is hereby amended by the substitution of the following subsections for subsections (1) and (2): “(1) In this Chapter ‘accountable person’ means a person specified in the Second Schedule to the Finance Act, 1992. (1A) Where any of the persons specified in the Second Schedule to the Finance Act, 1992, is a body corporate, ‘accountable person’ shall be deemed to include any subsidiary of that body corporate where such subsidiary is resident in the State and, for the purposes of this subsection, ‘subsidiary’ shall have the meaning assigned to it by section 155 of the Companies Act, 1963 .

Cesser of provisions relating to approved share option schemes.

12.—Section 10 of, and the Second Schedule to, the Finance Act, 1986 , shall not apply or have effect in respect of a right (within the meaning of that section) obtained on or after the 29th day of January, 1992, to acquire shares in a body corporate.

Cesser of section 14 (taxation treatment of certain dividends) of Finance Act, 1986.

13.—

Section 14

of the Finance Act, 1986 , shall not apply or have effect in relation to any qualifying dividend (within the meaning of that section) that is paid on or after the 29th day of January, 1992.

Relief to individuals on loans applied in acquiring interest in companies.

14.—(1) In this section— “loan” means a loan applied for any of the purposes specified in the principal section; “quoted company” means a company whose shares, or any class of whose shares— (a) are listed in the official list of the Irish Stock Exchange or any other stock exchange, or (b) are dealt in on the smaller companies market, the unlisted securities market or the exploration securities market of the Irish Stock Exchange or on any similar or corresponding market of any other stock exchange; “the principal section” means section 34 of the Finance Act, 1974 , as amended by section 8 of the Finance Act, 1978 ; “the specified date”, in relation to a loan, means— (a) (i) in a case where the loan was applied on or before the 5th day of April, 1989, the 6th day of April, 1992, (ii) in a case where the loan was applied on or after the 6th day of April, 1989, but on or before the 5th day of April, 1990, the 6th day of April, 1993, and (iii) in a case where the loan was applied on or after the 6th day of April, 1990, the 6th day of April, 1994, or (b) if later, the 6th day of April in the second year of assessment next after the year of assessment in which the company, part of whose ordinary share capital was acquired or, as the case may be, to which the money was lent, becomes a quoted company.

Treatment for tax purposes of certain benefits payable under Social Welfare Acts.

15.—(1) This section applies to the following benefits under the Social Welfare (Consolidation) Act, 1981 , and every enactment which is to be construed together as one with that Act, that is to say— (a) disability benefit, (b) unemployment benefit, (c) injury benefit which is comprised in occupational injuries benefit, and (d) pay-related benefit.

Part V

of the Income Tax Act, 1967 , are applied by section 125 of that Act.

Chapter II

Income Tax, Corporation Tax and Capital Gains Tax Amendment of section 36 (construction of references to child, son and daughter in Tax Acts and Capital Gains Tax Act, 1975) of Finance Act, 1977.

16.—

Section 36

of the Finance Act, 1977 , is hereby amended by the substitution of the following subparagraph for subparagraph (ii) of paragraph (a): “(ii) a child who is— (I) adopted under the Adoption Acts, 1952 to 1991, or (II) the subject of a foreign adoption (being a foreign adoption within the meaning of section 1 of the Adoption Act, 1991 ), which is deemed to have been effected by a valid adoption order made under the Adoption Acts, 1952 to 1991,”.

Amendment of Chapter IX (profit sharing schemes) of Part I of and Third Schedule (profit sharing schemes) to Finance Act, 1982.

17.—(1) Subject to subsection (2), Chapter IX of Part I of, and the Third Schedule to, the Finance Act, 1982 , are hereby amended, as respects the year of assessment 1992-93 and subsequent years of assessment, by the substitution in subsections (1) and (2) of section 56 and paragraph 1 (4) of the Third Schedule of “£2,000” for “£5,000”, and the said subsections (1) and (2) and the said paragraph 1 (4), as so amended, are set out in the Table to this section.

TABLE

Taxation of consideration for certaion restrictive covenants, etc.

18.—(1) Chapter I of

Part XXXVI

of the Income Tax Act, 1967 , is hereby amended by the substitution of the following section for section 525: “525.—(1) Where— (a) an individual who holds, has held or is about to hold an office or employment gives, in connection with his holding thereof, an undertaking (whether absolute or qualified and whether legally valid or not) the tenor or effect of which is to restrict him as to his conduct or activities; and (b) in respect of the giving of that undertaking by him, or f the total or partial fulfilment of that undertaking by him, any sum is paid, either to him or to any other person; and (c) apart from this section, the sum paid would not fall to be treated as profits or gains from the office or employment, the said sum shall be deemed— (i) to be profits or gains arising or accruing from the office or employment and, accordingly— (I) in a case where the profits or gains from the office or employment are or would be chargeable to tax under Schedule E— (A) tax under Schedule E shall be charged thereon, and (B) the tax so chargeable shall be computed under section 110 (1) (inserted by the Finance Act, 1991 ), or (II) in a case where the profits or gains from the office or employment are or would be chargeable to tax under Case III of Schedule D, tax under the said Case III shall be charged thereon, and (ii) in a case within paragraph (i) (I), to be emoluments to which the provisions of Chapter IV of Part V are applied by section 125 of the said Chapter, for the year of assessment in which it is paid;

Provided that where the individual has died before the payment of the said sum this subsection shall have effect as if the said sum had been paid immediately before his death.

(2)

Section 115

of the Income Tax Act, 1967 , is hereby amended by the substitution in subsection (1) of the following paragraph for paragraph (b): “(b) any sum chargeable to tax under section 525;”.

Treatment of patent royalties and related distributions.

19.—(1)

Section 34

of the Finance Act, 1973 , is hereby amended by the insertion of the following subsection after subsection (2): “(2A) Notwithstanding the provisions of subsection (2), an individual shall not be entitled to have any amount of income from a qualifying patent arising to him disregarded for any purpose of the Income Tax Acts to the extent that it— (a) is in excess of two-thirds of the amount arising to him in the period beginning on the 24th day of April, 1992, and ending on the 5th day of April, 1993, (b) is in excess of one-third of the amount arising to him in the year of assessment 1993-94, or (c) arises to him in the year of assessment 1994-95 or any subsequent year of assessment:

Provided that this subsection shall not apply or have effect in relation to income from a qualifying patent received by an individual who carried out, either solely or jointly with another person, the research, planning, processing, experimenting, testing, devising, designing, developing or other similar activity leading to the invention which is the subject of the qualifying patent.”.

Provided that this paragraph shall not apply to— (i) two-thirds of the total amount of distributions, being distributions (hereafter in this paragraph referred to as ‘relevant distributions’) to which subparagraph (i) of paragraph (a) of subsection (3) would apply apart from the foregoing provisions of this paragraph, received by the person in the period beginning on the 24th day of April, 1992, and ending on the 5th day of April, 1993, or (ii) one-third of the total amount of relevant distributions received by the person in the year of assessment 1993-94. (b) Paragraph (a) shall not apply to any distribution received by a person, which is a distribution— (i) in respect of eligible shares, or (ii) made out of disregarded income, being income (hereafter in this subsection referred to, in relation to a person, as ‘relevant income’) which is referable to a qualifying patent in relation to which he carried out, either solely or jointly with another person, the research, planning, processing, experimenting, testing, devising, designing, development or other similar activity leading to the invention which is the subject of the qualifying patent. (c) For the purposes of paragraph (b), where a distribution for an accounting period is made by a company to a person in part out of relevant income, in relation to the person, and in part out of other disregarded income, the distribution shall be treated as if it consisted of two distributions, respectively, made out of relevant income and out of other disregarded income.”.

Amendment of section 28 (farming: provision relating to relief in respect of increase in stock values) of Finance Act, 1980.

20.—As respects disposals made on or after the 6th day of April, 1992, section 28 of the Finance Act, 1980 , is hereby amended in paragraph (b) of subsection (3)— (a) by the substitution in subparagraph (ii) of the following clause for clause (II) (inserted by the Finance Act, 1991 ): “(II) the value of the said trading stock at the beginning of the first succeeding accounting period, or, where the farmer so elects, at the beginning of either the first and second, or the first and second and third succeeding accounting periods,”, and (b) by the substitution of the following paragraph for paragraph (A) (inserted by the Finance Act, 1990 ) of the proviso: “(A) no deduction shall be allowed by virtue of section 12 of the Finance Act, 1976 , for any accounting period or periods for which a farmer has elected under the provisions of this subsection,”.

Capital allowances for, and deduction in respect of, vehicles.

21.—(1) (a) Sections 25 to 29 of the Finance Act, 1973 , shall have effect, in relation to expenditure incurred on the provision or hiring of a vehicle to which those sections apply, as if for “£2,500”, in each place where it occurs in those sections, there were substituted “£10,000”. (b) The reference in paragraph (a) to expenditure incurred on the provision or hiring of a vehicle does not include— (i) as respects the said sections 25 to 27, a reference to expenditure incurred before the 30th day of January, 1992, or incurred within 12 months after that day under a contract entered into before that day, and (ii) as respects subsections (2) and (3) of the said section 28 and the said section 29, a reference to expenditure under a contract entered into before the said 30th day of January, 1992.

(2)

Section 32

of the Finance Act, 1976 , shall have effect, in relation to qualifying expenditure (within the meaning of that section) incurred after the 29th day of January, 1992, as if for “£3,500”, in each place where it occurs, there were substituted “£10,000”.

Amendment of Chapter IV (interest payments by certain deposit takers) of Part I of Finance Act, 1986.

22.—(1) Chapter IV of

Part I

of the Finance Act, 1986 , is hereby amended— (a) in subsection (1) of section 31— (i) by the substitution of the following definition for the definition of “appropriate tax”: “‘appropriate tax’, in relation to a payment of relevant interest, means a sum representing income tax on the amount of that payment— (a) in the case of a relevant deposit or relevant deposits held in a special savings account, at the rate of 10 per cent., and (b) in the case of any other relevant deposit, at the standard rate in force at the time of payment;”, (ii) by the insertion of the following definitions after the definition of “interest”: “‘operative date’ means the date on which sections 37 A and 37B (inserted by the Finance Act, 1992) come into operation by virtue of an order made by the Minister for Finance under section 22 of that Act; ‘pension scheme’ means an exempt approved scheme within the meaning of section 16 of the Finance Act, 1972 , or a retirement annuity contract or a trust scheme to which section 235 or section 235A (inserted by the Finance Act, 1974 ) of the Income Tax Act, 1967 , applies;”, (iii) in the definition of “relevant deposit”— (I) by the substitution, in paragraph (a), of the following subparagraph for subparagraph (iii): “(iii) Icarom p.l.c.,”, and (II) by the insertion of the following paragraph after paragraph (e): “(ee) (i) which is made on or after the operative date by, and the interest on which is beneficially owned by, a company within the charge to corporation tax or a pension scheme, and (ii) in respect of which a declaration of the kind mentioned in section 37B (inserted by the Finance Act, 1992) has been made to the relevant deposit taker;”, and (iv) by the insertion of the following definition after the definition of “return”: “‘special savings account’ means an account, opened on or after the operative date, in which a relevant deposit or relevant deposits made by an individual is or are held and in respect of which— (a) the conditions in subsection (1) of section 37A (inserted by the Finance Act, 1992) are satisfied, and (b) a declaration of the kind mentioned in subsection

37A.—(1) The conditions referred to in paragraph (a) of the definition of ‘special savings account’ (inserted by the Finance Act, 1992) in section 31 (1) are as follows— (a) the account shall be designated by the relevant deposit taker as a special savings account; (b) no withdrawal of money shall be made from the account within the period of three months commencing with the date on which it is opened; (c) the terms under which the account is opened shall require the individual to give a minimum notice of 30 days to the relevant deposit taker in relation to the withdrawal of any money therefrom; (d) there shall not be any agreement, arrangement or understanding in existence, whether express or implied, which influences or determines, or could influence or determine, the rate (other than an unspecified and variable rate) of interest which is paid or payable, in respect of the relevant deposit or relevant deposits held in the account, in, or in respect of, any period which is more than 24 months; (e) the relevant deposit or the aggregate of the relevant deposits held in the account, including any relevant interest added thereto, shall not, at any time, exceed £50,000; (f) the account shall not be opened by or held in the name of an individual who is not of full age; (g) the account shall be opened byand held in the name of the individual who is beneficially entitled to the relevant interest payable in respect of the relevant deposit or relevant deposits held therein; (h) except in the case of an account opened and held jointly by and only by a couple married to each other, the account shall not be a joint account; (i) except in the case of an account opened and held jointly by and only by a couple married to each other, either the same or any other relevant deposit taker shall not simultaneously hold another special savings account opened and held by an individual; (j) in the case of an account opened and held jointly by and only by a couple married to each other, they shall not simultaneously hold (either with the same or any other relevant deposit taker) any other special savings account either individually or jointly other than one other such account opened and held jointly by them.

Declarations by companies and pension schemes.

37B.—(1) The declaration referred to in paragraph (ee) (inserted by the Finance Act, 1992) of the definition ‘relevant deposit’ in section 31 (1) is a declaration in writing to the relevant deposit taker which— (a) is made by a person (hereafter in this section referred to as ‘the declarer’) to whom any interest on the deposit in respect of which the declaration is made is payable by the relevant deposit taker, and is signed by the declarer, (b) is made in such form as may be prescribed or authorised by the Revenue Commissioners, (c) declares that at the time the declaration is made the interest on the deposit in respect of which the declaration is made is beneficially owned by a company within the charge to corporation tax or a pension scheme, as the case may be, (d) contains as respects the person beneficially entitled to the interest— (i) that person's name and address, and (ii) that person's tax reference number, (e) contains a certificate by the appropriate person that, to the best of his knowledge and belief, the declaration made in accordance with paragraph (c) and the information furnished in accordance with paragraph (d) are true and correct, and (f) contains such information as the Revenue Commissioners may reasonably require for the purposes of this Chapter.

TABLE (c) the amount of any payment of relevant interest shall be regarded as income chargeable to tax under Case IV of Schedule D and under no other Case or Schedule and shall be taken into account in computing the total income of the person entitled to that amount, but no assessment to income tax shall be made in respect of relevant interest on the person receiving or entitled to the payment of the relevant interest.

Amendment of section 46 (limited partnerships: relief restrictions) of Finance Act, 1986.

23.—(1)

Section 46

of the Finance Act, 1986 , is hereby amended, in subsection (2)— (a) by the substitution, in paragraph (a), of “only against income consisting of profits or gains arising from the trade and” for “, otherwise than against income consisting of profits or gains arising from the trade,”, and (b) by the substitution, in paragraph (b), of “only against profits or gains arising from the trade and” for “, otherwise than against profits or gains arising from the trade, or to another company,”, and the said paragraphs (a) and (b), as so amended, are set out in the Table to this section.

TABLE (a) Where, in the case of an individual who is a limited partner in relation to a trade, an amount may, apart from this section, be given or allowed under any of the specified provisions— (i) in respect of a loss sustained by him in the trade or of interest paid by him by reason of his participation in the trade, in a relevant year of assessment, or (ii) as an allowance falling to be made to him for a relevant year of assessment either in taxing the trade or by way of discharge or repayment of tax to which he is entitled by reason of his participation in the trade, such an amount may be given or allowed only against income consisting of profits or gains arising from the trade and only to the extent that the amount given or allowed or, as the case may be, the aggregate amount in relation to that trade, does not exceed the amount of his contribution to the trade as at the relevant time. (b) Where, in the case of a partner company which is a limited partner in relation to a trade, an amount may, apart from this section, be given or allowed under any of the specified provisions— (i) in respect of a loss sustained by the partner company in the trade, or of charges paid by the partner company or another company by reason of its participation in the trade, in a relevant accounting period, or (ii) as an allowance falling to be made to the partner company for a relevant accounting period either in taxing the trade or by way of discharge or repayment of tax to which it is entitled by reason of its participation in the trade, such an amount may be given or allowed to the partner company only against profits or gains arising from the trade and only to the extent that the amount given or allowed, or, as the case may be, the aggregate amount does not exceed the partner company's contribution to the trade as at the relevant time.

Securities of Bord Gáis Éireann.

24.—(1)

Part XXXII

of the Income Tax Act, 1967 , is hereby amended— (a) by the insertion after section 467B (inserted by the Finance Act, 1989 ) of the following section: “467C.—(1) Any debentures, debenture stock, bonds, notes, certificates of charge or other forms of security issued after the passing of the Finance Act, 1992, by Bord Gáis Éireann shall be deemed to be securities issued under the authority of the Minister for Finance within the meaning of section 466 and that section shall apply accordingly.

TABLE

TABLE (d) debentures, debenture stock, certificates of charge or other forms of security issued by the Electricity Supply Board, Bord Gáis Éireann, Radio Telefís Éireann, the Industrial Credit Corporation p.l.c., Bord Telecom Éireann, Irish Telecommunications Investments p.l.c., Córas Iompair Éireann, The Agricultural Credit Corporation Limited, Bord na Móna, Aerlínte Éireann, Teoranta, Aer Lingus, Teoranta or Aer Rianta, Teoranta.

Restriction of capital allowances on holiday cottages.

25.—Where, on or after the 24th day of April, 1992, a person incurs capital expenditure on the acquisition or construction of a building or structure which is, or is to be, an industrial building or structure by virtue of being a holiday cottage within the meaning of section 255 of the Income Tax Act, 1967 , and an allowance falls to be made in respect of that expenditure under section 254 (as amended by section 74 of the Finance Act, 1990 ) or 264 (as amended by section 52 of the Finance Act, 1986 ) of the Income Tax Act, 1967 — (a) (i) neither section 307 (as amended by section 27 of the Finance Act, 1990 ) of the Income Tax Act, 1967 , nor (ii) subsection (2) of section 16 of the Corporation Tax Act, 1976 , shall apply or have effect as respects the whole or part (as the case may be) of any loss which would not have arisen but for the making of the said allowance, and (b) neither the proviso to subsection (1) of section 296 of the Income Tax Act, 1967 , nor subsection (6) of section 14 of the Corporation Tax Act, 1976 , shall apply or have effect as respects the said allowance:

Provided that this section shall not apply to expenditure incurred before the 6th day of April, 1993, on the acquisition or construction of a building or structure (hereafter in this proviso referred to as “the holiday cottage”) which is, or is to be, an industrial building or structure by virtue of being a holiday cottage within the meaning of the said section 255 if— (a) a binding contract in writing for the construction of the holiday cottage was entered into, or (b) (i) a binding contract in writing for the purchase or lease of land for the construction of the holiday cottage was entered into, and (ii) an application for planning permission for the construction of the holiday cottage was received by a planning authority, before the 24th day of April, 1992.

Application and amendment of section 241 (wear and tear of machinery, plant, etc.) of Income Tax Act, 1967.

26.—(1) As respects machinery or plant to which this section applies, section 241 of the Income Tax Act, 1967 , shall apply and have effect— (a) as if the following subsection were substituted for subsection (1) (including the provisos thereto): “(1) Subject to the provisions of this Act, where a person carrying on a trade in any chargeable period has incurred capital expenditure on the provision of machinery or plant for the purposes of the trade— (a) an allowance shall be made to him for that chargeable period on account of the wear and tear of any of the machinery or plant which belongs to him and is in use for the purposes of the trade at the end of that chargeable period or its basis period and which, while used for the purposes of the trade, is wholly and exclusively so used, (b) the amount of the allowance shall, subject to subsection (6), be equal to 15 per cent. of the capital expenditure incurred as aforesaid, and (c) the allowance shall be made in taxing the trade:

Provided that where a chargeable period or its basis period consists of a period which is less than one year in length the allowance to be made under this section shall not exceed such portion of the amount specified in paragraph (b) as bears to that amount the same proportion as the length of the chargeable period or its basis period bears to a period of one year.”, and (b) as if subsections (7) and (8) were deleted.

(3)

Section 4

of the Finance Act, 1968 , shall not apply or have effect in relation to machinery or plant to which this section applies.

(4)

Section 241

of the Income Tax Act, 1967 , is hereby amended, as respects capital expenditure incurred on or after the 24th day of April, 1992, by the insertion of the following subsection after subsection (6): “(6A) No allowance shall be made under this section in respect of capital expenditure incurred on the construction of a building or structure which is, or which is deemed to be, an industrial building or structure within the meaning of section 255.”.

Amendment of section 255 (meaning of “industrial building or structure”) of Income Tax Act, 1967.

27.—(1)

Section 255

of the Income Tax Act, 1967 , is hereby amended by the insertion of the following paragraph after paragraph (b) of subsection (1): “(bb) for the purposes of a trade which consists of the operation or management of an airport and which is an airport runway or an airport apron used solely or mainly by aircraft carrying passengers or cargo for hire or reward, or”.

Extension and amendment of section 17 (tax deductions from payments to subcontractors in the construction industry) of Finance Act, 1970.

28.—As on and from the 6th day of October, 1992, section 17 (as amended by section 128 of the Finance Act, 1991 ) of the Finance Act, 1970 , is hereby amended— (a) in subsection (1)— (i) by the substitution of the following definition for the definition of “certificate of authorisation”: “‘certification of authorisation’ means a certificate issued under subsection (7), which certificate shall be valid for such period as the Revenue Commissioners may by regulations made in accordance with subsection (5) provide;”, (ii) by the deletion of the definitions of “construction contract”, “construction payments card” and “construction tax deduction card”, (iii) by the insertion of the following definitions after the definition of “construction operations”: “‘forestry operations’ means operations of any of the following descriptions— (a) the thinning, lopping or felling of trees in woods, forests or other plantations; (b) the haulage or removal of thinned, lopped or felled trees; (c) the processing (including cutting or preserving) of wood from thinned, lopped or felled trees in sawmills or other like premises; (d) the haulage for hire of materials, machinery or plant for use, whether used or not, in any of the aforesaid operations; ‘meat processing operations’ means operations of any of the following descriptions— (a) the slaughter of cattle, sheep or pigs; (b) the division (including cutting or boning), sorting, packaging (including vacuum packaging) or branding of, or the application of any other similar process to, the carcasses, or any part of the carcasses, of slaughtered cattle, sheep or pigs; (c) the application of methods of preservation (including cold storage) to the carcasses, or any part of the carcasses, of slaughtered cattle, sheep or pigs; (d) the loading or unloading of the carcasses, or any part of the carcasses, of slaughtered cattle, sheep or pigs at any establishment where any of the operations referred to in paragraphs (a), (b) and (c) are carried on;”, (iv) by the substitution in the definition of “qualifying period” of “in the year preceding the year of assessment which is the first year of assessment of the period in respect of which a certificate of authorisation is sought” for “in the year preceding the year of assessment in respect of which a certificate of authorisation is sought”, and (v) by the insertion after the definition of “qualifying period” of the following definitions: “‘relevant contract’ means a contract (not being a contract of employment) whereby a person (in this section referred to as ‘the contractor’) is liable to another person (in this section referred to as ‘the principal’)—

(a) to carry out relevant operations; or (b) to be answerable for the carrying out of such operations by others, whether under a contract with him or under other arrangements made or to be made by him; or (c) to furnish his own labour, or the labour of others, in the carrying out of such operations; ‘relevant operations’ means construction operations, forestry operations or meat processing operations, as the case may be; ‘relevant payments card’ has the meaning assigned to it by subsection (8); ‘relevant tax deduction card’ has the meaning assigned to it by subsection (5).”, (b) in subsection (2)— (i) by the substitution of “relevant contract” for “construction contract” in both places where it occurs, (ii) by the substitution of “relevant operations” for “construction operations”, and (iii) by the substitution of the following paragraph for paragraph (b) (inserted by the Finance Act, 1981 ): “(b) a person— (i) carrying on a business which includes the erection of buildings or the manufacture, treatment or extraction of materials for use, whether used or not, in construction operations, or (ii) carrying on a business of meat processing operations in an establishment approved and inspected in accordance with the European Communities (Fresh Meat) Regulations, 1987 ( S.I. No. 284 of 1987 ), or (iii) carrying on a business which includes the processing (including cutting and preserving) of wood from thinned or felled trees in sawmills or other like premises or the supply of thinned or felled trees for such processing, or”, (c) in subsection (4), by the insertion of the following clause after clause (A) of subparagraph (ii) of paragraph (c): “(AA) under the Capital Gains Tax Acts,”, (d) in subsection (5)— (i) by the substitution of the following paragraph for paragraph (a): “(a) (i) the issue for a year of assessment, or, in relation to such class or classes of sub-contractor as may be specified in the regulations, for such longer period as may be so specified, of certificates of authorisation, (ii) the refusal to issue, appeal against refusal to issue, recall or cancellation of certificates of authorisation and the surrender of such certificates, and (iii) the production of documents or other material, including a photograph of the subcontractor or, in a case where the sub-contractor is not an individual, a photograph of the individual by whom the certificate of authorisation will be produced in accordance with subsection (8) (a), in support of an application for a certificate of authorisation;”,

and (ii) by the substitution in paragraph (b) of “relevant payments cards” and “relevant tax deduction cards” for “construction payments cards” and “construction tax deduction cards” respectively, (e) in subsection (7)— (i) by the substitution in subparagraph (i) of paragraph (a) of “relevant contracts” for “construction contracts”, (ii) by the substitution in subparagraph (iv) of paragraph (a) of “the Tax Acts, the Capital Gains Tax Acts or the Value-Added Tax Act, 1972 ,” for “the Tax Acts, or the Acts relating to corporation profits tax”, and (iii) by the deletion of paragraph (c), (f) in subsection (8)— (i) by the substitution in paragraph (a) of “relevant payments card” for “construction payments card”, and (ii) by the substitution in paragraph (b) of “relevant payments card” and “to which the relevant payments card relates” for “construction payments card” and “to which the sub-contractor's certificate of authorisation relates” respectively, (g) in subsection (9)— (i) by the insertion after subparagraph (iii) of paragraph (a) of the following subparagraph: “(iiia) in the case of a certificate issued to a company, there has been a change in control of the company,”, (ii) by the substitution of the following subparagraph for subparagraph (iv) of paragraph (a): “(iv) a person to whom a certificate of authorisation was issued has failed to comply with any of the obligations imposed on him by the Tax Acts, the Capital Gains Tax Acts, the Value-Added Tax Act, 1972 , or by any regulations made thereunder in relation to— (I) the payment or remittance of the taxesrequired to be paid or remitted under any of those Acts, (II) the delivery of returns, and (III) requests to supply to an inspector accounts of, or other information about, any business carried on by him,”, (iii) by the substitution in subparagraph (v) of paragraph (a) of “relevant contracts” for “construction contracts”, (iv) by the substitution in subparagraph (ii) of paragraph (b) of “relevant payments cards” and “relevant tax deduction card” for “construction payments cards” and “construction tax deduction card”, respectively, and (v) by the addition after paragraph (c) of the following paragraph: “(d) In paragraph (a) and subsection (10) (c) ‘control’ has the same meaning as in section 102 of the Corporation Tax Act, 1976 .”, and (h) in subsection (10)— (i) by the insertion after “a certificate of authorisation” in subparagraph (i) of paragraph (a) of “or a relevant payments card”, (ii) by the substitution of “£1,000” for “£500” in paragraphs (a), (b) and (c),

(iii) by the substitution in paragraph (c) of “relevant payments card or relevant tax deduction card” for “construction payments card or construction tax deduction card” in both places where it occurs, and (iv) by the addition after subparagraph (iv) of paragraph (c) of the following subparagraphs to that paragraph: “(v) who fails to give a sub-contractor from whom tax has been deducted under subsection (2) a certificate of deduction in the prescribed form containing such particulars as are required to be entered therein by virtue of any regulations made under this section, or (vi) who, being a company to which a certificate of authorisation has been issued under subsection (7), fails to notify the Revenue Commissioners of a change in control of the company,”.

Amendment of Chapter V (Urban Renewal: Relief from Income Tax and Corporation Tax) of Part I of Finance Act, 1986.

29.—Chapter V of

Part I

of the Finance Act, 1986 , is hereby amended— (a) in subsection (2) of section 41, by the substitution of “nine years” for “five years” in the definition of “the specified period”; (b) in section 42— (i) by the substitution, in subsection (1), of the following definition for the definition of “qualifying period” (as provided for by section 30 of the Finance Act, 1990 ): “‘qualifying period’ means— (a) the period commencing on the 23rd day of October, 1985, and ending on the 31st day of May, 1993, or (b) where section 41 (2) applies, the specified period:

Provided that where capital expenditure is incurred on the construction of any qualifying premises the foundation for which was laid in its entirety on or before the 31st day of May, 1993, the reference to the 31st day of May, 1993, in paragraph (a) of this definition shall be construed as a reference to the 31st day of May, 1994;”, and (ii) by the insertion in subsection (4) of the following additional proviso to that subsection: “Provided also that, notwithstanding section 51 (as amended by section 80 of the Finance Act, 1990 ) of the Finance Act, 1988 , as respects any capital expenditure incurred on or after the 25th day of January, 1996, on the construction of any qualifying premises the site of which is wholly within the Custom House Docks Area— (i) any allowance made under section 264 of the Income Tax Act, 1967 , and increased under paragraph (a) of subsection (2) of section 25 of the Finance Act, 1978 , in respect of that expenditure, whether claimed in one chargeable period or more than one such period, shall not, in the aggregate, exceed 54 per cent. of the amount of that expenditure, and (ii) where any allowance made under the said section 264 in respect of that expenditure is increased under the said section 25 for any chargeable period, no allowance shall be made in respect of that expenditure under section 254 of the Income Tax Act, 1967 .”; (c) in subsection (1) (a) of section 44, by the substitution of the following definition for the definition of “qualifying period” (as provided for by section 30 of the Finance Act, 1990 ): “‘qualifying period’ means— (a) the period commencing on the 23rd day of October, 1985, and ending on the 31st day of May, 1993, or (b) where section 41 (2) applies, the specified period:

Provided that where qualifying expenditure is incurred on the construction of any qualifying premises the foundation for which was laid in its entirety on or before the 31st day of May, 1993, the reference to the 31st day of May, 1993, in paragraph (a) of this definition shall be construed as a reference to the 31st day of May, 1994;”; and (d) in subsection (1) (a) of section 45 (as amended by section 21 of the Finance Act, 1991 )— (i) by the substitution of the following definition for the definition of “qualifying period” (as provided for by section 30 of the Finance Act, 1990 ): “‘qualifying period’ means— (a) the period commencing on the 23rd day of October, 1985, and ending on the 31st day of May, 1993, or (b) where section 41 (2) applies, the specified period:

Provided that in the case of a qualifying lease in relation to any qualifying premises the foundation for which was laid in its entirety on or before the 31st day of May, 1993, the reference to the 31st day of May, 1993, in paragraph (a) of this definition shall be construed as a reference to the 31st day of May, 1994;”, and (ii) by the substitution, as on and from the 24th day of April, 1992, of the following subparagraph for subparagraph (I) of paragraph (i) of the definition of “qualifying premises”: “(I) which is an industrial building or structure within the meaning of section 255

Amendment of section 27 (designated areas for urban renewal relief) of Finance Act, 1987.

30.—

Section 27

of the Finance Act, 1987 , is hereby amended by the substitution in subsection (1) (a) (ii) of “the 24th day of January, 1997” for “the 31st day of May, 1993” (inserted by section 31 of the Finance Act, 1990 ).

Amendment of section 4 (relief for expenditure on certain buildings in designated areas) of Finance Act, 1989.

31.—

Section 4

of the Finance Act, 1989 , is hereby amended, in subsection (1), by the substitution in the definition of “qualifying period” of “31st day of May, 1994” for “31st day of May, 1993” (as provided for by section 30 of the Finance Act, 1990 ).

Amendment of section 18 (date for payment of tax) of Finance Act, 1988.

32.—

Section 18

(as amended by section 52 of the Finance Act, 1991 ) of the Finance Act, 1988 , is hereby amended in paragraph (b) of subsection (3) (inserted by section 24 of the Finance Act, 1990 )— (a) by the substitution in subparagraph (ii) of “in the case of an assessment to income tax made on a chargeable person” for “in the case of a chargeable person who is chargeable to income tax”, (b) by the substitution in subparagraph (ii) and in both of the provisos thereto of “the income tax payable” for “the tax payable”, in each place where it occurs, and (c) by the substitution in the first proviso to subparagraph (ii) of “additional income tax” for “additional tax”, in both places where it occurs, and the said subparagraph (ii) (including the said provisos thereto), as so amended, is set out in the Table to this section.

TABLE (ii) in the case of an assessment to income tax made on a chargeable person for the said chargeable period being a year of assessment, the income tax payable for the immediately preceding chargeable period:

Provided that for the purposes of this subparagraph— (I) where the chargeable person was not a chargeable person for the immediately preceding chargeable period, the income tax payable for the immediately preceding chargeable period shall be taken to be nil, and (II) where, after the due date for the payment of an amount of preliminary tax for a chargeable period which is a year of assessment, an amount of additional income tax for the immediately preceding chargeable period becomes payable, that additional income tax shall not be taken into account if, but only if, it became due and payable one month following the amendment to the assessment or the determination of the appeal, as the case may be, by virtue of the provisos (as amended by section 24 of the Finance Act, 1990 ) to subsection (4) or (5), Provided also that, for the purpose of this subparagraph, where the chargeable person is chargeable to income tax for a chargeable period being the year of assessment 1991-92 or any subsequent year of assessment, the income tax payable for the immediately preceding chargeable period shall be determined without regard to any relief to which the chargeable person is, or may become, entitled for that immediately preceding chargeable period under Chapter III of

Part I

of the Finance Act, 1984 .

Amendment of section 21 (miscellaneous) of Finance Act, 1988.

33.—(1)

Section 21

of the Finance Act, 1988 , is hereby amended by the substitution of “the Tax Acts and the Capital Gains Tax Acts” for “the Tax Acts”— (a) in subsection (3) (as amended by the Finance Act, 1991 ), and (b) in both places where it occurs in subsection (4), and the said subsections (3) and (4), as so amended, are set out in the Table to this section.

TABLE

Amendment of Chapter VII (Urban Renewal: Temple Bar and other areas) of Part I of Finance Act, 1991.

34.—Chapter VII of

Part I

of the Finance Act, 1991 , is hereby amended— (a) in subsection (1) (a) of section 56— (i) by the insertion in the definition of “qualifying period” in subparagraph (ii) of the following proviso to that definition: “Provided that where relevant expenditure is incurred on any qualifying premises the foundation for which was laid in its entirety on or before the 31st day of May, 1993, the first-mentioned reference to the 31st day of May, 1993, in this definition shall be construed as a reference to the 31st day of May, 1994.”, and (ii) by the insertion in the definition of “qualifying period” in subparagraph (iv) of the following proviso to that definition: “Provided that— (I) subject to paragraph (II), where relevant expenditure is incurred on any qualifying premises the foundation for which was laid in its entirety on or before the 28th day of January, 1992, the reference to the 31st day of March, 1992, shall be construed as a reference to the 31st day of July, 1992, and (II) paragraph (I) shall not apply to expenditure to which the provisions of section 23 of the Finance Act, 1981 , are applied by virtue of the provisions of— (A) section 24 of that Act, or (B) section 21 or 22 of the Finance Act, 1985 ;”; (b) in section 57, by the substitution of “the 31st day of May, 1994” for “the 31st day of May, 1993” in subsection (1) (b) (ii) and in the definition of “qualifying period” in subsection (3) (a) (ii); and (c) in section 58, by the substitution of “the 31st day of May, 1994” for “the 31st day of May, 1993” in both subsections (1) (b) (ii) and (3) (b) (i) and in the definition of “qualifying period” in subsection (3) (b) (ii).

Treatment of certain distributions received on or after 29th day of January, 1992.

35.— As respects distributions received by a person on or after the 29th day of January, 1992, the Corporation Tax Act, 1976 , is hereby amended as follows— (a) in Part IV by the insertion after section 66 of the following section— “Distributions received on or after 29th day of January, 1992 (Part IV).

66A.—(1) In this section— ‘the adjusted average relieved distribution’, in relation to a relieved distribution received by a person from a company, means five-fourths of the average relieved distribution in relation to the relieved distribution received by the person from the company; ‘the average relieved distribution’, in relation to a relieved distribution received by a person from a company, means one-quarter of the total amount of relieved distributions received by the person from the company in the years 1987-88, 1988-89, 1989-90 and 1990-91; ‘the relieved amount’ means so much of a distribution to which section 64 applies as is determined by the formula— A − B × (100 − C) __________ C where— A is the amount of the distribution, B is the amount of the tax credit in respect of the distribution, and C is the standard rate per cent. for the purposes of section 88 (2) in respect of the year of assessment in which the distribution is made; ‘the relieved distribution’ has the meaning assigned to it in subsection (2).

Provided that— (a) as respects the year 1991-92, two-thirds of the lesser of— (i) the total amount of relieved distributions received by a person from a company on or after the 29th day of January, 1992, and before the 6th day of April, 1992, or (ii) the amount by which the adjusted average relieved distribution in relation to those distributions exceeds the total amount, which may be nil, of relieved distributions received by the person from the company on or after the 6th day of April, 1991, and before the 29th day of January, 1992, shall not be regarded as income for any of the purposes of the Income Tax Acts other than the purposes of section 54 of the Finance Act, 1974 ; (b) two-thirds of so much of the total amount of relieved distributions received by a person from a company in the year 1992-93 as does not exceed the adjusted average relieved distribution in relation to those distributions, shall not be regarded as income for any of the purposes of the Income Tax Acts other than the purposes of the said section 54; and (c) one-third of so much of the total amount of relieved distributions received by a person from a company in the year 1993-94 as does not exceed the adjusted average relieved distribution in relation to those distributions, shall not be regarded as income for any of the purposes of the Income Tax Acts other than the purposes of the said section 54.

Provided that where an amount representing relieved distributions is not to be regarded as income for any of the purposes of the Income Tax Acts by virtue of this section, other than the purposes of the said section 54, it shall not be so ignored.”, and (b) in Part V by the insertion after section 76 of the following section— “Distributions received on or after 29th day of January, 1992 (Part V).

76A.—(1) In this section— ‘the adjusted average distribution’, in relation to a distribution received by a person from a company, means five-fourths of the average distribution in relation to the distribution received by the person from the company; ‘the average distribution’, in relation to a distribution received by a person from a company, means one-quarter of the total amount of distributions received by the person from the company in the years of assessment 1987-88, 1988-89, 1989-90 and 1990-91; ‘distribution’ means any distribution made out of income from exempted trading operations within the meaning of section 70.

Provided that this subsection shall not have effect in respect of— (a) as respects the year 1991-92, two-thirds of the lesser of— (i) the total amount of distributions received by a person from a company on or after the 29th day of January, 1992, and before the 6th day of April, 1992, or (ii) the amount by which the adjusted average distribution in relation to those distributions exceeds the total amount, which may be nil, of distributions received by the person from the company on or after the 6th day of April, 1991, and before the 29th day of January, 1992, (b) two-thirds of so much of the total amount of distributions received by a person from a company in the year 1992-93 as does not exceed the adjusted average distribution in relation to those distributions, and (c) one-third of so much of the total amount of distributions received by a person from a company in the year 1993-94 as does not exceed the adjusted average distribution in relation to those distributions.

Option in relation to section 35 (certain unit trusts not to be collective investment undertakings) of Finance Act, 1990.

36.—(1) Where the trustees of a unit trust scheme, within the meaning assigned to it by section 1 (1) of the Unit Trust Act, 1990, which, apart from section 35 of the Finance Act, 1990 , would be a collective investment undertaking for the purposes of section 18 of, and the First Schedule to, the Finance Act, 1989 , have, not later than the 1st day of November, 1992— (a) paid the capital gains tax, which would have been chargeable on them if— (i) on the 31st day of March, 1992, they had disposed of all the assets of the unit trust scheme, and (ii) the resulting chargeable gains were chargeable to tax at one half of the rate at which they would have been chargeable under the Capital Gains Tax Acts apart from this subparagraph, and (b) given notice in writing to the Revenue Commissioners that they have paid that tax in accordance with paragraph (a), then, notwithstanding the said section 35, the unit trust scheme (hereafter in this section referred to as “the relevant unit trust”) shall be deemed to be, and to have been, a collective investment undertaking for the said purposes with effect from the 1st day of April, 1992.

Application of section 25 (attribution of distributions to accounting periods) of Finance Act, 1989, to interim dividends.

37.—(1)

Section 25

(as amended by section 38 of the Finance Act, 1990 ) of the Finance Act, 1989 , shall have effect as respects dividends paid on or after the 6th day of April, 1992, as if in subsection (3) (a) for “6th day of April, 1991,” there was substituted “6th day of April, 1997”:

Provided that, subject to subsection (2), a company shall not be entitled, by virtue of this section, to specify, in accordance with subsection (1) of the said section 25, that a distribution, being an interim dividend or part of it, is to be treated as made for the accounting period in which it is made where— (a) the circumstances of the company are such that, if the distribution or the part of it, as the case may be, were treated as made for the accounting period in which it is made, the company would be unable, at the time when the interim dividend is paid, to determine without recourse to estimation, how much of the distribution or the part of it, as the case may be, would, in accordance with subsection (1) of section 45 (as amended by section 24 of the Finance Act, 1989 ) of the Finance Act, 1980 , be treated as a specified distribution for the purposes of subsection (2) of the said section 45, or (b) that treatment of the distribution or the part of it, as the case may be, as made for the accounting period in which it is made, would facilitate any arrangement whereby the tax credit in respect of a dividend received by a shareholder could exceed the tax credit, if any, in respect of a dividend received by another shareholder, notwithstanding that the shareholdings of those shareholders carry the same or substantially similar rights in respect of dividends and capital.

Distributions to non-residents.

38.—(1) As respects distributions made on or after the 6th day of April, 1992, section 83 of the Corporation Tax Act, 1976 , is hereby amended by the substitution for subsection (4) of the following subsection: “(4) Where a person who is not resident in the State receives a distribution made by a company which is resident in the State that distribution shall not be regarded as income of the person for any purpose of the Income Tax Acts:

Provided that, for the purposes of determining whether and to what extent a tax credit in respect of a distribution shall be paid to a person, this section shall apply as if section 38 of the Finance Act, 1992, had not been enacted.”.

Provisions relating to section 244 (allowance for scientific research) of Income Tax Act, 1967, etc.

39.—(1) For the purposes of the definition of scientific research, that definition shall, subject to subsection (2), be construed as including, and be deemed always to have included, a provision excluding from the meaning of that definition the following activities, that is to say: (a) exploring for specified minerals, (b) petroleum exploration, and (c) petroleum extraction.