adjusted to correctly reflect the proportion of the use of the goods in that period.
\n
(2)The Revenue Commissioners may make regulations specifying methods which may be used— (a) to identify the proportion which correctly reflects the extent to which immovable goods are used for the purposes referred to in section 27
\n
(2), and (b) to calculate the relevant taxable amount or amounts.
\n
Chapter 2
\n
Adjustment and recovery of consideration Adjustment and recovery of consideration. [VATA s. 35(1A) to (2)] 45.—(1) Where, after the making of an agreement for the supply of goods or services and before the date on which under section 74
\n
(1)or (2), as may be appropriate, any tax in respect of the transaction falls due, there is a change in the amount of tax chargeable on the supply in question, then, in the absence of agreement to the contrary, there shall be added to or deducted from the total amount of the consideration and any tax stated separately under the agreement an amount equal to the amount of the change in the tax chargeable.
\n
(2)References in subsection (1) to a change in the amount of tax chargeable on the supply of goods or services include references to a change to or from a situation in which no tax is being charged on the supply.
\n
(3)Subject to subsection (4), where, in relation to a supply of goods or services by an accountable person, the person issues an invoice in which the tax chargeable in respect of the transaction is stated separately, then, for the purpose of its recovery, the tax so stated shall be deemed to be part of the consideration for the transaction and shall be recoverable accordingly by the person.
\n
(4)Where the invoice referred to in subsection (3) is issued pursuant to section 66
\n
(1), subsection (3) shall not apply unless the invoice is in the form and contains the particulars specified by regulations.
\n
PART 6
\n
Rates and Exemption
\n
Chapter 1
\n
Rates Rates of tax. [VATA s. 11(1), (1A) and (8)] 46.—(1) Tax shall be charged, in relation to the supply of taxable goods or services, the intra-Community acquisition of goods and the importation of goods, at whichever of the following rates is appropriate in any particular case: (a) 21 per cent of the amount on which tax is chargeable other than in relation to goods or services on which tax is chargeable at any of the rates specified in paragraphs (b), (c) and (d); (b) zero per cent of the amount on which tax is chargeable in relation to goods in the circumstances specified in paragraphs 1(1) to (3), 3(1) and (3) and 7(1) to (4) and (6) of Schedule 2 or of goods or services of a kind specified in the other paragraphs of that Schedule; (c) 13.5 per cent of the amount on which tax is chargeable in relation to goods or services of a kind specified in Schedule 3 ; (d) 4.8 per cent of the amount on which tax is chargeable in relation to the supply of livestock and live greyhounds and to the hire of horses.
\n
(2)The rate at which tax is chargeable under section 3 (a), (c), (d) or (e) is the rate in force at the time when the tax becomes due as provided by section 74
\n
(1)or (2) or 75 (whichever is applicable).
\n
(3)Goods or services which are specifically excluded from any paragraph of a Schedule shall, unless the contrary intention is expressed, be regarded as excluded from every other paragraph of that Schedule, and shall not be regarded as specified in that Schedule.
\n
(4)(a) The Minister may by order vary Schedule 2 or 3 by adding to or deleting therefrom descriptions of goods or services of any kind or by varying any description of goods or services for the time being specified therein, but no order shall be made under this Chapter for the purpose of increasing any of the rates of tax or extending the classes of activities or goods in respect of which tax is for the time being chargeable. (b) The Minister may by order amend or revoke an order under this subsection (including an order under this paragraph). (c) An order under this subsection shall be laid before Dáil Éireann as soon as may be after it has been made and, if a resolution annulling the order is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the order is laid before it, the order shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.
\n
Composite and multiple supplies. [VATA s. 11(3)] 47.—(1) Subject to section 41 — (a) in the case of a composite supply, the tax chargeable on the total consideration which the accountable person is entitled to receive for that composite supply shall be at the rate specified in section 46
\n
(1)which is appropriate to the principal supply, but if that principal supply is an exempted activity, tax shall not be chargeable in respect of that composite supply, (b) in the case of a multiple supply— (i) the tax chargeable on each individual supply in that multiple supply shall be at the rate specified in section 46
\n
(1)appropriate to each such individual supply, and (ii) in order to ascertain the taxable amount referable to each individual supply for the purpose of applying the appropriate rate thereto, the total consideration which the accountable person is entitled to receive in respect of that multiple supply shall be apportioned between those individual supplies in a way that correctly reflects the ratio which the value of each such individual supply bears to the total consideration for that multiple supply.
\n
(2)In the case where a person acquires a composite supply or a multiple supply by means of an intra-Community acquisition, this section shall apply to that acquisition.
\n
(3)The Revenue Commissioners may make regulations as necessary specifying— (a) the circumstances or conditions under which a supply may or may not be treated as an ancillary supply, a composite supply, an individual supply, a multiple supply or a principal supply, (b) the methods of apportionment which may be applied for the purposes of subsections (1) and (2), (c) a relatively small amount, or an element of a supply, which may be disregarded for the purposes of applying this section.
\n
Works of art, etc. [VATA s. 11(1AA)] 48.—(1) Notwithstanding section 46
\n
(1), tax shall be charged at the rate specified in section 46
\n
(1)(c) of the amount on which tax is chargeable in relation to— (a) the importation into the State of goods specified in Schedule 5 , (b) the supply of a work of art of the kind specified in paragraph 1 of Schedule 5 , effected by its creator or the creator’s successors in title, or (c) the supply of a work of art of the kind specified in paragraph 1 of Schedule 5 , effected on an occasional basis by an accountable person other than a taxable dealer where— (i) that work of art has been imported by the accountable person, (ii) that work of art has been supplied to the accountable person by its creator or the creator’s successors in title, or (iii) the tax chargeable in relation to the purchase, intra-Community acquisition or importation of that work of art by the accountable person was wholly deductible under
\n
Chapter 1
\n
of
\n
Part 8
\n
.
\n
(2)Notwithstanding section 46
\n
(1), tax shall be charged at the rate specified in section 46
\n
(1)(c) of the amount on which tax is chargeable in relation to the intra-Community acquisition in the State by an accountable person of a work of art of the kind specified in paragraph 1 of Schedule 5 where the supply of that work of art to that accountable person which resulted in that intra-Community acquisition is a supply of the kind that would be charged at the rate specified in section 46
\n
(1)(c) in accordance with subsection (1)(b) or (c) if that supply had occurred within the State.
\n
Contract work. [VATA s. 11(1AB)] 49.—(1) Notwithstanding section 46
\n
(1)but subject to subsection (2), the rate at which tax is chargeable on a supply of contract work shall be the rate that would be chargeable if that supply of services were a supply of the goods being handed over by the contractor to the person to whom that supply is made.
\n
(2)Subsection (1) shall not apply to a supply of contract work in the circumstances specified in paragraph (xvi) of the Second Schedule.
\n
Provisions in relation to certain supplies. [VATA s. 11(4), (4A) and (6)] 50.—(1) Where— (a) goods are supplied by a manufacturer to a person and materials have been supplied by or on behalf of that person for the manufacture of those goods, and (b) the rate of tax chargeable in relation to the supply of the goods (in this subsection referred to as the “goods rate”) exceeds the rate of tax (in this subsection referred to as the “materials rate”) that would be chargeable in relation to a supply within the State of the materials, then the manufacturer shall, in respect of the supply of such goods, be liable (in addition to any other liability imposed on the manufacturer by this Act) to pay tax on the value of the materials provided to the manufacturer at a rate equivalent to the difference between the goods rate and the materials rate.
\n
(2)Where— (a) goods of a kind specified in paragraph 8 of Schedule 2 are used by a person in the course of the supply by the person of taxable services, and (b) the goods are provided by or on behalf of the person to whom the services are supplied, the person who supplies the taxable services shall be liable in respect thereof (in addition to any other liability imposed on him or her under this Act) to pay tax on the value of the goods so used at the rate specified in section 46
\n
(1)(c).
\n
(3)Where immovable goods consisting of machinery or business installations are let separately from other immovable goods of which they form part, tax shall be chargeable in respect of the transaction at the rate which would be chargeable if it were a hiring of movable goods of the same kind.
\n
Determinations on rates and exemptions. [VATA s. 11(1B)] 51.—(1) On receipt of an application in writing from an accountable person, the Revenue Commissioners shall, in accordance with regulations and after such consultation (if any) as may seem to them to be necessary with such person or body of persons as in their opinion may be of assistance to them, make a determination concerning— (a) whether an activity of any particular kind carried on by the person is an exempted activity, or (b) the rate at which tax is chargeable in relation to the supply or intra-Community acquisition by the person of goods of any kind, the supply or intra-Community acquisition of goods in any particular circumstances or the supply by the person of services of any kind.
\n
(2)The Revenue Commissioners may, whenever they consider it expedient to do so, in accordance with regulations and after such consultation (if any) as may seem to them to be necessary with such person or body of persons as in their opinion may be of assistance to them, make a determination concerning— (a) whether an activity of any particular kind is an exempted activity, or (b) the rate at which tax is chargeable in relation to the supply or intra-Community acquisition of goods of any kind, the supply or intra-Community acquisition of goods in any particular circumstances or the supply of services of any kind.
\n
(3)For the purposes of this Act, a determination under this section shall have effect— (a) in relation to an accountable person who makes an application for the determination, as on and from the date which shall be specified for the purpose in the determination communicated to the accountable person in accordance with subsection (5)(a), and (b) in relation to any other person, as on and from the date which shall be specified for the purpose in the determination as published in Iris Oifigiúil.
\n
(4)The Revenue Commissioners shall not make a determination under this section concerning any matter which has been determined on appeal under this Act or which is for the time being governed by an order under section 46
\n
(4)or 52
\n
(2), and shall not be required to make such a determination in relation to any of the matters referred to in an application under subsection (1) if— (a) a previous determination has been published in regard to the matter, or (b) in their opinion the subject matter of the application is sufficiently free from doubt as not to warrant the making and publication of a determination.
\n
(5)(a) A determination under subsection (1) shall, as soon as may be after its making, be communicated to the person who made the application by the service on the person by the Revenue Commissioners of a notice containing particulars of the determination. (b) A determination under subsection (1) may, and a determination under subsection (2) shall, be published in Iris Oifigiúil and in at least one daily newspaper published in the State.
\n
(6)A person, aggrieved by a determination under subsection (1) made pursuant to an application by him or her, may, on giving notice in writing to the Revenue Commissioners within the period of 21 days beginning on the date of service on him or her of notice of the determination in accordance with subsection (5)(a), appeal to the Appeal Commissioners.
\n
(7)Any accountable person who, in the course of business, supplies goods or makes an intra-Community acquisition of goods, or supplies services of a kind or in circumstances specified in a determination under subsection (1) or (2), may, on giving notice in writing to the Revenue Commissioners within the period of 21 days beginning on the date of the publication of the determination in Iris Oifigiúil, appeal to the Appeal Commissioners.
\n
Chapter 2
\n
Exemptions General rule on exempted activity. [VATA s. 6] 52.—(1) Tax shall not be chargeable in respect of any exempted activity.
\n
(2)(a) The Minister may by order declare the supply of goods or services of any kind to be an exempted activity. (b) The Minister may by order amend or revoke an order under this subsection, including an order under this paragraph. (c) An order under this subsection shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the order is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the order is laid before it, the order shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.
\n
PART 7
\n
Provisions Relating to Imports, Exports, etc.
\n
Imports — general provisions. [VATA s. 15(3), (6) and (8) and FA 2010 s. 125] 53.—(1) The value of imported goods for the purposes of this section and section 54 shall be their value determined in accordance with the acts for the time being in force adopted by the institutions of the Community relating to the valuation of goods for customs purposes, modified by the substitution of references to the territory of the State for references to the customs territory of the Community, together with any taxes, duties, expenses resulting from the transport of the goods to another place of destination within the Community (if that destination is known at the time of the importation) and other charges levied either outside or, by reason of importation, within the State (other than value-added tax) on the goods and not included in the determination.
\n
(2)With effect from 1 January 2011, where the importation of goods is followed by a supply or transfer of those goods to a person registered for value-added tax in another Member State, paragraph 2(1) of Schedule 2 applies only if the person who imports those goods (in this subsection referred to as the “importer”)— (a) at the time of importation declares the following information: (i) the importer’s registration number; (ii) the identification number (referred to in the definition in section 2
\n
(1)of “person registered for value-added tax”) of the person to whom the goods are supplied or transferred; and (b) provides evidence, if so requested by the Revenue Commissioners, that the imported goods are to be transported or dispatched from the State to another Member State.
\n
(3)Subject to subsection (1) and section 54 , the Customs Consolidation Act 1876 , and other law in force in the State relating to customs, shall apply to tax referred to in this section or section 54 or 120
\n
(7)(b) or (c) as if it were a duty of customs, with such exceptions and modifications (if any) as may be specified in regulations.
\n
Remission or repayment of tax on certain imported goods. [VATA s. 15(5) and (5A)] 54.—(1) The Revenue Commissioners may, in accordance with regulations, remit or repay, if they think fit, the whole or part of the tax chargeable— (a) on the importation of any goods which are shown to their satisfaction to have been previously exported, (b) on the importation of any goods if they are satisfied that the goods have been or are to be re-exported, (c) on the importation of any goods from the customs-free airport by an unregistered person who shows to the satisfaction of the Commissioners that he or she has already borne tax on the goods.
\n
(2)Subject to subsection (3), the Revenue Commissioners shall, in accordance with regulations, repay the tax chargeable on the importation of goods where the goods have been dispatched or transported— (a) to another Member State from outside the Community, and (b) to a person (other than an individual) who is not registered for value-added tax in that other Member State.
\n
(3)Subsection (2) shall apply only where it is shown to the satisfaction of the Revenue Commissioners that the goods in question have been subject to value-added tax referred to in the VAT Directive in that other Member State.
\n
Goods in transit — miscellaneous provisions. [VATA s. 15B(1) to (5A) and (7)] 55.—(1)(a) In this section— “date of accession” means— (i) 1 January 1995 in respect of the Republic of Austria, the Republic of Finland (excluding the Åland Islands) and the Kingdom of Sweden, (ii) 1 May 2004 in respect of the Czech Republic, the Republic of Estonia, the Republic of Cyprus, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Malta, the Republic of Poland, the Republic of Slovenia and the Slovak Republic, (iii) 1 January 2007 in respect of the Republic of Bulgaria and Romania; “enlarged Community” means the Community after the accession of the new Member States; “new Member State” means any state referred to in the definition of “date of accession” with effect from the relevant date. (b) A word or expression that is used in this section and is also used in Council Directive No. 94/76/EC of 22 December 1994 3 , has, unless the contrary intention appears, the meaning in this section that it has in that Council Directive.
\n
(2)Where— (a) goods from a new Member State were imported into the State before the date of accession, (b) the tax referred to in section 3 (b) was not chargeable because the goods were, at the time of such importation, placed— (i) under an arrangement for temporary importation with total exemption from customs duty, or (ii) under one of the arrangements referred to in Article 156(1) of the VAT Directive, and (c) the goods are still subject to such an arrangement on the date of accession, then the provisions in force at the time the goods were placed under that arrangement shall continue to apply until the goods leave that arrangement on or after the date of accession.
\n
(3)(a) In this subsection “common transit procedure” means the procedure approved by the Council of the European Communities by Council Decision No. 87/415/EEC of 15 June 1987 4 , approving the Convention done at Interlaken on the 20th day of May, 1987, between the European Community, the Republic of Austria, the Republic of Finland, the Republic of Iceland, the Kingdom of Norway, the Kingdom of Sweden, and the Swiss Confederation on a common transit procedure, the text of which is attached to that Council Decision. (b) Where— (i) goods were placed under the common transit procedure or under another customs transit procedure in a new Member State before the date of accession, and (ii) those goods have not left the procedure concerned before the date of accession, then the provisions in force at the time the goods were placed under that procedure shall continue to apply until the goods leave that procedure on or after the date of accession.
\n
(4)Where goods were in free circulation in a new Member State prior to entry into the State, an importation into the State shall be deemed to occur in the following cases: (a) the removal (including irregular removal) within the State of the goods referred to in subsection (2) from the arrangement referred to in subsection (2)(b)(i); (b) the removal (including irregular removal) within the State of the goods referred to in subsection (2) from the arrangement referred to in subsection (2)(b)(ii); (c) the termination within the State of any of the procedures referred to in subsection (3).
\n
(5)An importation into the State shall be deemed to occur when goods, which were supplied within a new Member State before the date of accession, and which were not chargeable to a value-added tax in that new Member State, because of their exportation from that new Member State, are used in the State on or after the date of accession, and have not been imported before that date.
\n
(6)The tax referred to in section 3 (b) shall not be chargeable where— (a) the imported goods referred to in subsections (4) and (5) are dispatched or transported outside the enlarged Community, (b) the imported goods referred to in subsection (4)(a) are other than means of transport and are being returned to the new Member State from which they were exported and to the person who exported them, or (c) the imported goods referred to in subsection (4)(a) are means of transport which were acquired in or imported into a new Member State before the date of accession in accordance with the general conditions of taxation in force on the domestic market of that new Member State and which have not been subject by reason of their exportation to any exemption from or refund of a value-added tax in that new Member State.
\n
(7)Subsection (6)(c) shall be deemed to be complied with where it is shown to the satisfaction of the Revenue Commissioners that— (a) the date of the first use of the means of transport was before 1 January 1987 in the case of means of transport entering the State from the Republic of Austria, the Republic of Finland (excluding the Åland Islands) or the Kingdom of Sweden, (b) the date of the first use of the means of transport was before 1 May 1996 in the case of means of transport entering the State from the Czech Republic, the Republic of Estonia, the Republic of Cyprus, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Malta, the Republic of Poland, the Republic of Slovenia or the Slovak Republic, (c) the date of the first use of the means of transport was before 1 January 1999 in the case of means of transport entering the State from the Republic of Bulgaria or Romania, or (d) the tax due by reason of the importation does not exceed €130.
\n
Zero-rating scheme for qualifying businesses. [VATA s. 13A] 56.—(1) For the purposes of this section and paragraph 7(7) of Schedule 2 — “authorised person” means a qualifying person who has been authorised in accordance with subsection (3); “qualifying person” means an accountable person whose turnover from— (a) supplies of goods made in accordance with paragraph 1(1) or 3(1) or (3) of Schedule 2 , (b) supplies of contract work where the place of supply is deemed to be the State, and (c) supplies of contract work made in accordance with paragraph 3(4) of Schedule 2 , amounts to, or is likely to amount to, 75 per cent of the person’s total turnover from supplying goods and services, except that turnover from goods supplied to an accountable person that are subsequently leased back from that person are excluded from the total turnover for the purpose of determining whether the accountable person is a qualifying person; “qualifying goods” means all taxable goods excluding motor vehicles within the meaning of section 60
\n
(1)and petrol; “qualifying services” means all taxable services excluding the provision of food or drink, accommodation, other personal services, entertainment services or the hire of motor vehicles within the meaning of section 60
\n
(1).
\n
(2)A person who wishes to become an authorised person shall— (a) complete such application form as may be provided by the Revenue Commissioners for that purpose, (b) certify the particulars shown on such form to be correct, and (c) submit to the Revenue Commissioners the completed and certified application form, together with such further information in support of the application as may be requested by them.
\n
(3)(a) Where a person has furnished the particulars required under subsection (2), the Revenue Commissioners shall, where they are satisfied that he or she is a qualifying person, issue to that person an authorisation in writing certifying him or her to be an authorised person. (b) An authorisation issued in accordance with paragraph (a) shall be valid for such period as may be determined by the Revenue Commissioners. (c) Where a person who has been authorised in accordance with paragraph (a) ceases to be a qualifying person, he or she shall, by notice in writing, advise the Revenue Commissioners accordingly not later than the end of the taxable period during which he or she ceased to be a qualifying person. (d) The Revenue Commissioners shall, by notice in writing, cancel an authorisation issued to a person in accordance with paragraph (a) where they are satisfied that he or she is no longer a qualifying person and that cancellation shall have effect from the date specified in the notice.
\n
(4)An authorised person shall furnish a copy of the authorisation referred to in subsection (3) to each accountable person in the State who supplies taxable goods or taxable services to the authorised person.
\n
(5)An accountable person who supplies goods or services in circumstances where paragraph 7(7) of Schedule 2 applies shall, in addition to the details to be included on each invoice, credit note or other document required to be issued in accordance with
\n
Chapter 2
\n
of
\n
Part 9
\n
, include on that invoice, credit note or other document a reference to the number of the authorisation issued to the authorised person in accordance with subsection (3).
\n
(6)In relation to each consignment of goods to be imported by an authorised person at the rate specified in section 46
\n
(1)(b) by virtue of paragraph 7(7) of Schedule 2 the following conditions shall be complied with: (a) a copy of the authorisation referred to in subsection (3) shall be produced with the relevant customs entry; and (b) the relevant customs entry shall incorporate— (i) a declaration by the authorised person, or by his or her representative duly authorised in writing for that purpose, that he or she is an authorised person in accordance with this section for the purposes of paragraph 7(7) of Schedule 2 , and (ii) a claim for importation at the rate specified in section 46
\n
(1)(b).
\n
(7)For the purposes of section 93
\n
(1)(c)(ii), the tax charged at the rate specified in section 46
\n
(1)(b) by virtue of paragraph 7(7) of Schedule 2 shall be deemed to be tax which is deductible under
\n
Chapter 1
\n
of
\n
Part 8
\n
.
\n
(8)Where an authorised person is in receipt of a service in respect of which, had paragraph 7(7) of Schedule 2 not applied, tax would have been chargeable at a rate other than the rate specified in section 46
\n
(1)(b) and all or part of such tax would not have been deductible by the authorised person under
\n
Chapter 1
\n
of
\n
Part 8
\n
, then that authorised person shall, in relation to such service, be liable to pay tax as if he or she had supplied the service for consideration in the course or furtherance of his or her business to a person who is not an authorised person.
\n
(9)For the purposes of this section, and subject to the direction and control of the Revenue Commissioners, any power, function or duty conferred or imposed on them may be exercised or performed on their behalf by an officer of the Revenue Commissioners.
\n
Remission of tax on goods exported, etc. [VATA s. 13(1)(a) and (2)(a)] 57.—(1) Regulations may make provision for remitting or repaying, subject to such conditions (if any) as may be specified in the regulations or as the Revenue Commissioners may impose, the tax chargeable in respect of the supply of goods, or of such goods as may be specified in the regulations, in cases where the Commissioners are satisfied that the goods have been or are to be exported.
\n
(2)Regulations may make provision for remitting or repaying, subject to such conditions (if any) as may be specified in the regulations or as the Revenue Commissioners may impose, the tax chargeable in respect of the supply of services directly linked to the export of goods or the transit of goods from a place outside the State to another place outside the State.
\n
Retail export scheme. [VATA s. 13(1A) to (1D), (3B) and (3C)] 58.—(1) In this section— “traveller” means a person whose domicile or habitual residence is not situated within the Community and includes a person who is normally resident in the Community but who, at the time of the supply of the goods, intends to take up residence outside the Community in the near future and for a period of at least 12 consecutive months; “traveller’s qualifying goods” means goods (other than goods transported by the traveller for the equipping, fuelling and provisioning of pleasure boats, private aircraft or other means of transport for private use) which are supplied within the State to a traveller and which are exported by or on behalf of that traveller by the last day of the 3rd month following the month in which the supply takes place; “VAT refunding agent” means a person who supplies services which consist of the procurement of a zero-rating (within the meaning of subsection (2)) or repayment of tax in relation to supplies of a traveller’s qualifying goods.
\n
(2)The Revenue Commissioners shall, subject to and in accordance with regulations (if any), allow the application of section 46
\n
(1)(b) (in this section referred to as “zero-rating”) to— (a) the supply of a traveller’s qualifying goods, and (b) the supply of services by a VAT refunding agent consisting of the service of repaying the tax claimed by a traveller in relation to the supply of a traveller’s qualifying goods or the procurement of the zero-rating of the supply of a traveller’s qualifying goods, where they are satisfied that the supplier of the goods or services, as the case may be— (i) has at the time of the supply of the goods taken all reasonable steps to confirm that the purchaser is a traveller as defined in this section, (ii) has proof that the goods were exported by or on behalf of the traveller by the last day of the 3rd month following the month in which the supply takes place, (iii) has proof that, where an amount of tax has been charged to the traveller in respect of a supply of goods covered by paragraph (ii), that the amount to be repaid to the traveller has been repaid to that traveller no later than the 25th working day following receipt by the supplier of the traveller’s claim to repayment, (iv) notifies the traveller in writing of any amount (including the mark-up) charged by the supplier for procuring the repayment of the amount claimed or arranging for the zero-rating of the supply and where an amount so notified is expressed in terms of a percentage or a fraction, such percentage or fraction shall relate to the tax remitted or repayable under this subsection, (v) uses, as the exchange rate in respect of moneys being repaid to a traveller in a currency other than the currency of the State— (I) unless subparagraph (II) applies, the latest selling rate recorded by the Central Bank of Ireland for the currency in question at the time of the repayment, (II) if there is an agreement with the Revenue Commissioners for a method to be used in determining the exchange rate, the exchange rate obtained using that method, and (vi) has made known to the traveller such details concerning the transaction as may be specified in regulations.
\n
(3)Regulations may make provision for the authorisation, subject to certain conditions, of accountable persons or a class of accountable persons for the purposes of zero-rating of the supply of a traveller’s qualifying goods or to operate as a VAT refunding agent in the handling of a repayment of tax on the supply of a traveller’s qualifying goods and such regulations may provide for the cancellation of such authorisation and matters consequential to such cancellation.
\n
(4)A VAT refunding agent acting as such may, in accordance with regulations, treat the tax charged to the traveller on the supply of that traveller’s qualifying goods as tax that is deductible by the agent in accordance with section 59
\n
(2)provided that that agent fulfils the conditions set out in subsection (2) in respect of that supply.
\n
(5)Where, in relation to a supply of goods, any of the conditions of paragraphs (i) to (vi) of subsection (2) are not complied with or are not complied with within the time limits specified in those paragraphs, where applicable, then— (a) that supply is not a supply of traveller’s qualifying goods, and (b) zero-rating is not applicable to the supply of services by a VAT refunding agent (if any) in respect of those goods.
\n
(6)For the purposes of this section, and subject to the direction and control of the Revenue Commissioners, any power, function or duty conferred or imposed on them may be exercised or performed on their behalf by an officer of the Revenue Commissioners.
\n
PART 8
\n
Deductions
\n
Chapter 1
\n
General provisions Deduction for tax borne or paid. [VATA s. 12(1), (1A) and (2)] 59.—(1) In this subsection and subsection (2)— “qualifying activities” means— (a) transport outside the State of passengers and their accompanying baggage, (b) supplies of goods which, by virtue of section 30 , are deemed to have taken place in the territory of another Member State but only if the supplier of those goods is registered for value-added tax in that other Member State, (c) the operation, in accordance with Commission Regulation (EC) No. 2777/2000 of 18 December 2000 5 , of the Cattle Testing or Purchase for Destruction Scheme, by a body who is an accountable person by virtue of the Value-Added Tax (Agricultural Intervention Agency) Order 2001 ( S.I. No. 11 of 2001 ), (d) services specified in paragraph 6, 7 or 8 of Schedule 1 supplied— (i) outside the Community, or (ii) directly in connection with the export of goods to a place outside the Community, (e) services consisting of the issue of new stocks, new shares, new debentures or other new securities by the accountable person in so far as such issue is made to raise capital for the purposes of the accountable person’s taxable supplies, and (f) supplies of goods or services outside the State which would be taxable supplies if made in the State; “qualifying vehicle” means a motor vehicle which, for the purposes of vehicle registration tax, is first registered, in accordance with section 131 of the Finance Act 1992 , on or after 1 January 2009 and has, for the purposes of that registration, a level of CO2 emissions of less than 156g/km.
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(2)Subject to subsection (3), in computing the amount of tax payable by an accountable person in respect of a taxable period, that person may, in so far as the goods and services are used by him or her for the purposes of his or her taxable supplies or of any of the qualifying activities, deduct— (a) the tax charged to him or her during the period by other accountable persons by means of invoices, prepared in the manner prescribed by regulations, in respect of supplies of goods or services to him or her, (b) in respect of goods imported by him or her in the period, the tax paid by him or her or deferred as established from the relevant customs documents kept by him or her in accordance with section 84
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(3), (c) subject to such conditions (if any) as may be specified in regulations, the tax chargeable during the period, being tax for which he or she is liable in respect of intra-Community acquisitions of goods, (d) subject to section 61 and regulations (if any), 20 per cent of the tax charged to the accountable person in respect of the purchase, hiring, intra-Community acquisition or importation of a qualifying vehicle, where that vehicle is used primarily for business purposes, being at least 60 per cent of the use to which that vehicle is put, and where the accountable person subsequently disposes of that vehicle the tax deducted by that person in accordance with this subsection shall be treated as if it were not deductible by that person for the purposes of paragraph 12(c) of Schedule 1 , (e) the tax chargeable during the period, being tax for which the accountable person is liable by virtue of section 10
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(1)in respect of the supply to such person of gas through the natural gas distribution network, or of electricity, but only where the accountable person would be entitled to a deduction of that tax elsewhere under this subsection if that tax had been charged to such person by another accountable person, (f) the tax chargeable during the period, being tax for which the accountable person is liable by virtue of section 10
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(2)in respect of goods which are installed or assembled but only where the accountable person would be entitled to a deduction of that tax elsewhere under this subsection if that tax had been charged to such person by another accountable person, (g) the tax chargeable during the period, being tax for which he or she is liable by virtue of section 12 , 13 or 17
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(1)in respect of services received by him or her, (h) the tax chargeable during the period, being tax for which the recipient (within the meaning of section 16
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(2)) is liable by virtue of section 16
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(2)in respect of greenhouse gas emission allowances (within the meaning of section 16
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(2)) received by that recipient, but only where the recipient would be entitled to a deduction of that tax elsewhere under this subsection if that tax had been charged to such recipient by an accountable person, (i) the tax chargeable during the period, being tax for which the principal is liable by virtue of section 16
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(3)in respect of construction operations services received by that principal but only where that principal would be entitled to a deduction of that tax elsewhere under this subsection if that tax had been charged to such principal by another accountable person, (j) the tax chargeable during the period, being tax for which the accountable person is liable by virtue of section 16
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(1), 94
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(6)(a) or 95
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(8)(c) to (e), in respect of a supply to that person of immovable goods, (k) the tax chargeable during the period in respect of goods (other than supplies of goods referred to in section 30 ) treated as supplied by him or her in accordance with section 19
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(1)(f), (l) subject to and in accordance with regulations, in respect of goods supplied under section 19
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(1)(h) an amount equal to any residual tax included in the consideration for the supply, (m) the tax charged to him or her during the period by other accountable persons in respect of services directly related to the transfer of ownership of goods specified in section 20
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(2)(c), (n) the tax chargeable during the period in respect of services treated as supplied by him or her for consideration in the course or furtherance of his or her business in accordance with section 27
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(1)(c), (o) a flat-rate addition, which shall be deemed to be tax, charged to him or her during the period by means of invoices prepared in the manner prescribed by regulations and issued to him or her in accordance with section 86
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(1), (p) the tax chargeable during the period, being tax for which he or she is liable by virtue of section 90
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(5)(a) in respect of investment gold (within the meaning of section 90 ) received by him or her, and (q) subject to such conditions (if any) as may be specified in regulations, in respect of goods referred to in section 92 , the tax due in the period in accordance with that section.
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(3)Subsection (2) shall not apply to— (a) an accountable person referred to in section 9
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(4)or 12
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(3), or (b) an accountable person referred to in section 9
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(6)or 12
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(5)unless the tax relates to racehorse training services supplied by him or her.
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(4)(a) A person who, by election or in accordance with section 5
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(2)is deemed to become an accountable person, shall, in accordance with regulations, be entitled, in computing the amount of tax payable by him or her in respect of the first taxable period for which he or she is so deemed to be an accountable person, to treat as tax deductible under subsection (2) such part of the value of the stock-in-trade held by him or her immediately before the commencement of that taxable period as could reasonably be regarded as the amount which he or she would be entitled to claim under subsection (2) if that person had been an accountable person at the time of the delivery to him or her of such stock-in-trade. (b) No claim shall lie under this subsection for a deduction for the tax relating to any stock-in-trade if, and to the extent that, a deduction under subsection (2) could be claimed apart from this subsection.
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(5)Where, in relation to any taxable period, the total amount deductible under this Chapter exceeds the amount which, but for this Chapter, would be payable in respect of such period, the excess shall be refunded to the accountable person in accordance with section 99
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(1), but subject to section 100 .
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General limits on deductibility. [VATA s. 12(3) and s. 12(3A) (in part)] 60.—(1) In this subsection and subsection (2)— “delegate” means a taxable person or a taxable person’s employee or agent who attends a qualifying conference in the course or furtherance of the taxable person’s business; “motor vehicles” means motor vehicles designed and constructed for the conveyance of persons by road and sports motor vehicles, estate cars, station wagons, motor cycles, motor scooters, mopeds and auto cycles, whether or not so designed and constructed, excluding vehicles designed and constructed for the carriage of more than 16 persons (inclusive of the driver), invalid carriages and other vehicles of a type designed for use by invalids or infirm persons; “qualifying accommodation” means the supply to a delegate of a service consisting of the letting of immovable goods or accommodation covered by paragraph 11 of Schedule 3 , for a maximum period starting from the night prior to the date on which the qualifying conference commences and ending on the date on which the conference concludes; “qualifying conference” means a conference or meeting in the course or furtherance of business organised to cater for 50 or more delegates, which takes place at a venue designed and constructed for the purposes of hosting 50 or more delegates and in respect of which the person responsible for organising the conference issues in writing the details of the conference to each taxable person who attends or sends a delegate, and such details shall include— (a) the location and dates of the conference, (b) the nature of the business being conducted, (c) the number of delegates for whom the conference is organised, and (d) the name, business address and value-added tax registration number of the person responsible for organising the conference.
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(2)(a) Notwithstanding anything in this Chapter, a deduction of tax under this Chapter shall not be made if, and to the extent that, the tax relates to— (i) expenditure incurred by the accountable person on food or drink, or accommodation (other than qualifying accommodation in connection with attendance at a qualifying conference), or other personal services, for the accountable person, the accountable person’s agents or employees, except to the extent (if any) that such expenditure is incurred in relation to a supply of services in respect of which that accountable person is accountable for tax, (ii) expenditure incurred by the accountable person on food or drink, or accommodation or other entertainment services, where such expenditure forms all or part of the cost of providing an advertising service in respect of which tax is due and payable by the accountable person, (iii) entertainment expenses incurred by the accountable person, his or her agents or his or her employees, (iv) subject to section 59
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(2)(d), the purchase, hiring, intra-Community acquisition or importation of motor vehicles otherwise than as stock-in-trade or for the purpose of the supply thereof by a person supplying financial services of the kind specified in paragraph 6(1)(e) of Schedule 1 in respect of those motor vehicles as part of an agreement of the kind referred to in section 19
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(1)(c) or for the purposes of a business which consists in whole or part of the hiring of motor vehicles or for use, in a driving school business, for giving driving instruction, (v) the purchase, intra-Community acquisition or importation of petrol otherwise than as stock-in-trade, or (vi) the procurement of a supply of contract work where such supply consists of the handing over of goods to which this paragraph applies. (b)(i) In subparagraph (i) of paragraph (a), reference to the provision of accommodation includes expenditure by the accountable person on a building, including the fitting out of such building, to provide such accommodation. (ii) In subparagraph (iii) of paragraph (a), entertainment expenses includes expenditure on a building or facility, including the fitting out of such building or facility, to provide such entertainment.
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(3)Notwithstanding anything in this Chapter, where section 87
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(3)or (8) or 89
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(3)has been applied to a supply of goods to an accountable person, that accountable person shall not deduct, in accordance with section 59
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(2), any tax in relation to the supply to him or her.
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Apportionment for dual-use inputs. [VATA s. 12(4)] 61.—(1) In this section— “deductible supplies or activities” means the supply of taxable goods or taxable services, or the carrying out of qualifying activities within the meaning of section 59
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(1); “dual-use inputs” means movable goods or services (other than goods or services on the purchase or acquisition of which, by virtue of section 60
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(2), a deduction of tax shall not be made, or services related to the development of immovable goods that are subject to
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Chapter 2
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) which are not used solely for the purposes of either deductible supplies or activities or non-deductible supplies or activities; “non-deductible supplies or activities” means the supply of goods or services or the carrying out of activities other than deductible supplies or activities; “total supplies and activities” means deductible supplies or activities and non-deductible supplies or activities.
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(2)Where an accountable person engages in both deductible supplies or activities and non-deductible supplies or activities, then, in relation to the person’s acquisition of dual-use inputs for the purpose of that person’s business for a period, the person shall be entitled to deduct in accordance with section 59
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(2)only such proportion of tax, borne or payable on that acquisition, which is calculated in accordance with this section and regulations, as being attributable to his or her deductible supplies or activities and such proportion of tax is, for the purposes of this section, referred to as the “proportion of tax deductible”.
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(3)For the purposes of this section, the reference in subsection (2) to “tax, borne or payable” shall, in the case of an acquisition of a qualifying vehicle (within the meaning of section 59
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(1)) be deemed to be a reference to “20 per cent of the tax, borne or payable”.
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(4)For the purposes of this section and regulations, the proportion of tax deductible by an accountable person for a period shall be calculated on any basis which results in a proportion of tax deductible which— (a) correctly reflects the extent to which the dual-use inputs are used for the purposes of the person’s deductible supplies or activities, and (b) has due regard to the range of the person’s total supplies and activities.
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(5)The proportion of tax deductible may be calculated on the basis of the ratio which the amount of a person’s tax-exclusive turnover from deductible supplies or activities for a period bears to the amount of the person’s tax-exclusive turnover from total supplies and activities for that period but only where that basis results in a proportion of tax deductible which is in accordance with subsection (4).
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(6)Where it is necessary to do so to ensure that the proportion of tax deductible by an accountable person is in accordance with subsection (4), the accountable person shall— (a) calculate a separate proportion of tax deductible for any part of that person’s business, or (b) exclude, from the calculation of the proportion of tax deductible, amounts of turnover from incidental transactions by that person of the kind specified in paragraph 6 of Schedule 1 or amounts of turnover from incidental transactions by that person in immovable goods.
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(7)The proportion of tax deductible as calculated by an accountable person for a taxable period shall be adjusted in accordance with regulations if, for the accounting year in which the taxable period ends, that proportion does not— (a) correctly reflect the extent to which the dual-use inputs are used for the purposes of the person’s deductible supplies or activities, or (b) have due regard to the range of the person’s total supplies and activities.
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Reduction of tax deductible in relation to qualifying vehicles. [VATA s. 12(4A)] 62.—(1)(a) This subsection applies where an accountable person deducts tax in relation to the purchase, intra-Community acquisition or importation of a qualifying vehicle (within the meaning of section 59
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(1)) in accordance with section 59
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(2)(d), and disposes of that vehicle within 2 years of that purchase, acquisition or importation. (b) The accountable person shall be obliged to reduce the amount of the tax deductible by that person for the taxable period in which the qualifying vehicle is disposed of by an amount calculated in accordance with the formula— TD × (4 — N) 4 where— TD is the amount of tax deducted by that person on the purchase, acquisition or importation of that vehicle, and N is a number that is equal to the number of days from the date of purchase, acquisition or importation of that vehicle by that person to the date of disposal by that person, divided by 182 and rounded down to the nearest whole number, but if that N is greater than 4 then N shall be 4.
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(2)(a) This subsection applies where an accountable person deducts tax in relation to the purchase, intra-Community acquisition or importation of a qualifying vehicle (within the meaning of section 59
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(1)) in accordance with section 59
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(2)(d) and that vehicle is subsequently used for less than 60 per cent business purposes in a taxable period. (b) The accountable person is obliged to reduce the amount of tax deductible by that person for that taxable period by an amount calculated in accordance with the formula— TD × (4 — N) 4 where— TD is the amount of tax deducted by that person on the purchase, acquisition or importation of the qualifying vehicle, and N is a number that is equal to the number of days from the date of purchase, acquisition or importation of that vehicle by that person to the first day of the taxable period in which that vehicle is used for less than 60 per cent business purposes, divided by 182 and rounded down to the nearest whole number, but if that N is greater than 4 then N shall be 4.
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Chapter 2
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Capital goods scheme Interpretation and application. [VATA s. 12E(1), (2) and (3)(b)] 63.—(1) In this Chapter— “adjustment period”, in relation to a capital good, means the period encompassing the number of intervals as provided for in section 64
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(1)(a) during which adjustments of deductions are required to be made in respect of a capital good; “base tax amount”, in relation to a capital good, means the amount calculated by dividing the total tax incurred in relation to that capital good by the number of intervals in the adjustment period applicable to that capital good; “capital goods owner” means— (a) unless paragraph (b) applies, a taxable person who incurs expenditure on the acquisition or development of a capital good, (b) in the case of a taxable person who is a flat-rate farmer, a taxable person who incurs expenditure to develop or acquire a capital good other than a building or structure designed and used solely for the purposes of a farming business or for fencing, drainage or reclamation of land, and which has actually been put to use in such business; “deductible supplies or activities” has the meaning assigned to it by section 61 ; “initial interval”— (a) in relation to a capital good, unless paragraph (b) applies, means a period of 12 months beginning on the date when that capital good is completed, (b) in relation to a capital good that is supplied following completion, means, for the recipient of that supply, a period of 12 months beginning on the date of that supply; “initial interval proportion of deductible use”, in relation to a capital good, means the proportion that correctly reflects the extent to which a capital good is used during the initial interval for the purposes of a capital goods owner’s deductible supplies or activities; “interval”, in relation to a capital good, means the initial, second or subsequent interval in an adjustment period, whichever is appropriate; “interval deductible amount”, in relation to a capital good in respect of the second and each subsequent interval, means the amount calculated by multiplying the base tax amount in relation to that capital good by the proportion of deductible use for that capital good applicable to the relevant interval; “non-deductible amount”, in relation to a capital good, means the amount which is the difference between the total tax incurred in relation to that capital good and the total reviewed deductible amount in relation to that capital good; “proportion of deductible use”, in relation to a capital good for an interval other than the initial interval, means the proportion that correctly reflects the extent to which a capital good is used during that interval for the purposes of a capital goods owner’s deductible supplies or activities;
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“reference deduction amount”, in relation to a capital good, means the amount calculated by dividing the total reviewed deductible amount in relation to that capital good by the number of intervals in the adjustment period applicable to that capital good; “refurbishment” means development on a previously completed building, structure or engineering work; “second interval”, in relation to a capital good, means the period beginning on the day following the end of the initial interval in the adjustment period applicable to that capital good and ending on the final day of the accounting year during which the second interval begins; “subsequent interval”, in relation to a capital good, means each accounting year of a capital goods owner in the adjustment period applicable to that capital good, which follows the second interval; “total reviewed deductible amount”, in relation to a capital good, means the amount calculated by multiplying the total tax incurred in relation to that capital good by the initial interval proportion of deductible use in relation to that capital good; “total tax incurred”, in relation to a capital good, means— (a) the amount of tax charged to a capital goods owner in respect of that owner’s acquisition or development of a capital good, (b) in the case of a transferee where a transfer of ownership of a capital good to which section 20
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(2)(c) applies— (i) where such a transfer would have been a supply but for the application of section 20
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(2)(c) and that supply would have been exempt in accordance with section 94
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(2)or 95
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(3)or (7)(b), the total tax incurred that is required to be included in the copy of the capital good record that is required to be furnished by the transferor in accordance with section 64
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(10)(c), and (ii) where such a transfer is not one to which subparagraph (i) applies, the amount of tax that would have been chargeable on that transfer but for the application of section 20
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(2)(c) and section 56 , and (c) the amount of tax that would have been chargeable but for the application of section 56 to a capital goods owner on the owner’s acquisition or development of a capital good.
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(2)This Chapter applies to capital goods— (a) on the supply or development of which tax was chargeable to a taxable person who carries on a business in the State, or (b) on the supply of which tax would have been chargeable to a taxable person who carries on a business in the State but for the application of section 20
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(2)(c).
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Capital goods scheme. [VATA s. 12E (3)(a), (c) and (d) and (4) to (13)] 64.—(1)(a) In relation to a capital good the number of intervals in the adjustment period during which adjustments of deductions are required under this Chapter to be made is— (i) in the case of refurbishment, 10 intervals, (ii) in the case of a capital good to which subsection (5)(a) or (b) applies, the number of full intervals remaining in the adjustment period applicable to that capital good plus one as required to be calculated in accordance with the formula set out in subsection (6)(b), and (iii) in all other cases, 20 intervals. (b) Where a capital goods owner supplies or transfers by means of a transfer to which section 20
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(2)(c) applies a capital good during the adjustment period, then the adjustment period for that capital good for that owner shall end on the date of that supply or transfer.
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(2)(a) Where the initial interval proportion of deductible use in relation to a capital good differs from the proportion of the total tax incurred in relation to that capital good which was deductible by that owner in accordance with
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Chapter 1
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, then that owner shall, at the end of the initial interval, calculate an amount in accordance with the formula— A — B where— A is the amount of the total tax incurred in relation to that capital good which was deductible by that owner in accordance with
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Chapter 1
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, and B is the total reviewed deductible amount in relation to that capital good. (b) Where in accordance with paragraph (a)— (i) A is greater than B, then the amount calculated in accordance with the formula set out in paragraph (a) shall be payable by that owner as if it were tax due in accordance with
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Chapter 3
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of
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Part 9
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for the taxable period immediately following the end of the initial interval, or (ii) B is greater than A, then that owner is entitled to increase the amount of tax deductible for the purposes of
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Chapter 1
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by the amount calculated in accordance with paragraph (a) for the taxable period immediately following the end of the initial interval. (c) Where a capital good is not used during the initial interval, then the initial interval proportion of deductible use is the proportion of the total tax incurred that is deductible by the capital goods owner in accordance with
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Chapter 1
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.
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(3)(a) Subject to subsection (4)(e), where in respect of an interval (other than the initial interval) the proportion of deductible use for that interval in relation to a capital good differs from the initial interval proportion of deductible use in relation to the capital good, then the capital goods owner shall, at the end of that interval, calculate an amount in accordance with the formula— C — D where— C is the reference deduction amount in relation to that capital good, and D is the interval deductible amount in relation to that capital good. (b) Where in accordance with paragraph (a)— (i) C is greater than D, then the amount calculated in accordance with the formula set out in paragraph (a) shall be payable by that owner as if it were tax due in accordance with
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Chapter 3
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of
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Part 9
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for the taxable period immediately following the end of that interval, or (ii) D is greater than C, then that owner is entitled to increase the amount of tax deductible for the purposes of
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Chapter 1
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by the amount calculated in accordance with the formula set out in paragraph (a) for the taxable period immediately following the end of that interval. (c) Where for the second or any subsequent interval, a capital good is not used during that interval, the proportion of deductible use in respect of that capital good for that interval shall be the proportion of deductible use for the previous interval.
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(4)(a) Where in respect of a capital good for an interval (other than the initial interval) the proportion of deductible use expressed as a percentage differs by more than 50 percentage points from the initial interval proportion of deductible use expressed as a percentage, then the capital goods owner shall at the end of that interval calculate an amount in accordance with the formula— (C — D) × N where— C is the reference deduction amount in relation to that capital good, D is the interval deductible amount in relation to that capital good, and N is the number of full intervals remaining in the adjustment period at the end of that interval plus one. (b) Where in accordance with paragraph (a)— (i) C is greater than D, then the amount calculated in accordance with the formula set out in paragraph (a) shall be payable by that owner as if it were tax due in accordance with
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Chapter 3
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of
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Part 9
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for the taxable period immediately following the end of that interval, or (ii) D is greater than C, then that owner is entitled to increase the amount of tax deductible for the purposes of
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Chapter 1
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by the amount calculated in accordance with the formula set out in paragraph (a) for the taxable period immediately following the end of that interval. (c) Paragraph (a) shall not apply to a capital good or part thereof that has been subject to subsection (5)(a) or (b) during the interval to which paragraph (a) applies. (d) Where a capital goods owner is obliged to carry out a calculation referred to in paragraph (a) in respect of a capital good, then, for the purposes of the remaining intervals in the adjustment period, the proportion of deductible use in relation to that capital good for the interval in respect of which the calculation is required to be made shall be treated as if it were the initial interval proportion of deductible use in relation to that capital good and, until a further calculation is required under paragraph (a), all other definition amounts shall be calculated accordingly. (e) Where the other provisions of this subsection apply to an interval, then subsection (3) does not apply to the interval.
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(5)(a) Where a capital goods owner who is a landlord in respect of all or part of a capital good terminates his or her landlord’s option to tax in accordance with section 97
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(1)in respect of any letting of that capital good, then— (i) that owner is deemed, for the purposes of this Chapter, to have supplied and simultaneously acquired the capital good to which that letting relates, (ii) that supply shall be deemed to be a supply on which tax is not chargeable and no option to tax that supply in accordance with section 94
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(5)shall be permitted on that supply, and (iii) the capital good acquired shall be treated as a capital good for the purposes of this Chapter and the amount calculated in accordance with subsection (6)(b) on that supply shall be treated as the total tax incurred in relation to that capital good. (b) Where in respect of a letting of a capital good that is not subject to a landlord’s option to tax in accordance with section 97
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(1), a landlord subsequently exercises a landlord’s option to tax in respect of a letting of that capital good, then— (i) that landlord is deemed, for the purposes of this Chapter, to have supplied and simultaneously acquired that capital good to which that letting relates, (ii) that supply shall be deemed to be a supply on which tax is chargeable, and (iii) the capital good acquired shall be treated as a capital good for the purposes of this Chapter, and— (I) the amount calculated in accordance with subsection (6)(a) shall be treated as the total tax incurred in relation to that capital good, (II) the total tax incurred shall be deemed to have been deducted in accordance with
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Chapter 1
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at the time of that supply.
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(6)(a)(i) Where— (I) a capital goods owner supplies a capital good or transfers a capital good, being a transfer to which section 20
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(2)(c) applies (other than a transfer to which subsection (10)(c) applies) during the adjustment period in relation to that capital good, (II) tax is chargeable on that supply, or tax would have been chargeable on that transfer but for the application of section 20
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(2)(c), and (III) the non-deductible amount in relation to that capital good for that owner is greater than zero or, in the case of a supply or transfer during the initial interval, that owner was not entitled to deduct all of the total tax incurred in accordance with
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Chapter 1
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, then that owner is entitled to increase the amount of tax deductible by that owner for the purposes of
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Chapter 1
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for the taxable period in which the supply or transfer occurs by an amount (in this paragraph referred to as the “relevant amount”) calculated in accordance with subparagraph (II). (ii) The relevant amount shall be calculated in accordance with the formula— E × N T where— E is the non-deductible amount in relation to that capital good or, in the case of a supply before the end of the initial interval, the amount of the total tax incurred in relation to that capital good which was not deductible by that owner in accordance with
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Chapter 1
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, N is the number of full intervals remaining in the adjustment period in relation to that capital good at the time of supply plus one, T is the total number of intervals in the adjustment period in relation to that capital good. (b)(i) Where— (I) a capital goods owner supplies a capital good during the adjustment period applicable to that capital good, (II) tax is not chargeable on that supply, and (III) either— (A) the total reviewed deductible amount in relation to that capital good is greater than zero, or (B) in the case of a supply before the end of the initial interval where the amount of the total tax incurred in relation to that capital good which was deductible by that owner in accordance with
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Chapter 1
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is greater than zero, then that owner shall calculate, in accordance with subparagraph (ii), an amount (in this paragraph referred to as the “relevant amount”) which shall be payable as if it were tax due in accordance with
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Chapter 3
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of
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Part 9
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for the taxable period in which the supply occurs. (ii) The relevant amount shall be calculated in accordance with the formula— B × N T where— B is the total reviewed deductible amount in relation to that capital good or, in the case of a supply to which subparagraph (i)(III)(B) applies, the amount of the total tax incurred in relation to that capital good which that owner claimed as a deduction in accordance with
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Chapter 1
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, N is the number of full intervals remaining in the adjustment period in relation to that capital good at the time of supply plus one, and T is the total number of intervals in the adjustment period in relation to that capital good. (c) Where a capital goods owner supplies or transfers, being a transfer to which section 20
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(2)(c) applies, part of a capital good during the adjustment period, then, for the remainder of the adjustment period applicable to that capital good— (i) the total tax incurred, (ii) the total reviewed deductible amount, and (iii) all other definition amounts, in relation to the remainder of that capital good for that owner shall be adjusted accordingly on a fair and reasonable basis.
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(7)(a) Where a tenant who has an interest in immovable goods (other than a freehold equivalent interest) and who is the capital goods owner in respect of a refurbishment of those goods assigns or surrenders the interest during the adjustment period applicable to the refurbishment, then the tenant— (i) shall, in accordance with the formula set out in subsection (6)(b), calculate an amount in respect of the refurbishment, and (ii) shall pay the amount as if it were tax due (as provided by
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Chapter 3
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of
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Part 9
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) for the taxable period in which the assignment or surrender occurs. (b) Paragraph (a) shall not apply where— (i) either— (I) the total reviewed deductible amount in relation to that capital good is equal to the total tax incurred in relation to that capital good, or (II) in relation to an assignment or surrender that occurs prior to the end of the initial interval in relation to that capital good, the tenant was entitled to deduct all of the total tax incurred in accordance with
\n
Chapter 1
\n
in relation to that capital good, (ii) the tenant enters into a written agreement with the person to whom the interest is assigned or surrendered, to the effect that that person shall be responsible for all obligations under this Chapter in relation to the capital good referred to in paragraph (a) from the date of the assignment or surrender of the interest referred to in paragraph (a), as if— (I) the total tax incurred and the amount deducted by that tenant in relation to that capital good were the total tax incurred and the amount deducted by the person to whom the interest is assigned or surrendered, and (II) any adjustments required to be made under this Chapter by the tenant were made, and (iii) the tenant issues a copy of the capital good record in respect of the capital good referred to in paragraph (a) to the person to whom the interest is being assigned or surrendered. (c) Where paragraph (b) applies, the person to whom the interest is assigned or surrendered— (i) shall be responsible for the obligations referred to in paragraph (b)(ii), and (ii) shall use the information in the copy of the capital good record issued by the tenant in accordance with paragraph (b)(iii) for the purposes of calculating any tax chargeable or deductible in accordance with this Chapter in respect of that capital good by that person from the date of the assignment or surrender of the interest referred to in paragraph (a). (d) Where the capital good is one to which subsection (11) applies, paragraphs (a), (b) and (c) shall not apply.
\n
(8)(a) Paragraph (c) applies where— (i) either— (I) a capital goods owner supplies a capital good during the adjustment period applicable to that capital good and tax is chargeable on that supply, or (II) a capital goods owner transfers (other than a transfer to which subsection (10)(c) applies) a capital good during the adjustment period applicable to that capital good and tax would have been chargeable on that transfer but for the application of section 20
\n
(2)(c), (ii) at the time of that supply or transfer, that owner and the person to whom the capital good is supplied or transferred are connected within the meaning of section 97 , and (iii) the amount of tax— (I) chargeable on the supply of that capital good, (II) that would have been chargeable on the transfer of that capital good but for the application of section 20
\n
(2)(c), or (III) that would have been chargeable on the supply but for the application of section 56 , is less than the amount (in this subsection referred to as the “adjustment amount”) calculated in accordance with paragraph (b). (b) The adjustment amount shall be calculated in accordance with the formula— H × N T where— H is the total tax incurred in relation to that capital good for the capital goods owner making that supply or transfer, N is the number of full intervals remaining in the adjustment period in relation to that capital good plus one, and T is the total number of intervals in the adjustment period in relation to that capital good. (c) The capital goods owner shall calculate an amount, which shall be payable by that owner as if it were tax due in accordance with
\n
Chapter 3
\n
of
\n
Part 9
\n
for the taxable period in which the supply or transfer occurs, in accordance with the formula— I — J where— I is the adjustment amount, and J is the amount of tax chargeable on the supply of that capital good, or the amount of tax that would have been chargeable on the transfer of that capital good but for the application of section 20
\n
(2)(c), or the amount of tax that would have been chargeable on the supply but for the application of section 56 .
\n
(9)(a) In this subsection— “connected supply” means a supply or transfer of a capital good which is a supply or transfer on which a seller would, but for the application of this subsection, be obliged to calculate an amount of tax due in accordance with subsection (8); “purchaser” means the person to whom the supply or transfer referred to in subsection (8) is made; “seller” means the capital goods owner referred to in subsection (8) who makes the supply or transfer of the capital good referred to in that subsection. (b) Subsection (8) shall not apply where— (i) a connected supply occurs and the seller enters into a written agreement with the purchaser to the effect that that purchaser shall be responsible for all obligations under this Chapter in relation to the capital good from the date of the supply or transfer of that capital good, as if— (I) the total tax incurred and the amount deducted by that seller in relation to that capital good were the total tax incurred and the amount deducted by that purchaser, and (II) any adjustments required to be made under this Chapter by that purchaser were made, and (ii) the seller issues a copy of the capital good record in respect of the capital good referred to in subparagraph (i) to the purchaser. (c) Where paragraph (b) applies, the purchaser shall— (i) be responsible for the obligations referred to in paragraph (b)(i), and (ii) use the information in the copy of the capital good record issued by the seller in accordance with paragraph (b)(ii) for the purposes of calculating any tax chargeable or deductible in accordance with this Chapter in respect of that capital good by that purchaser from the date on which the supply or transfer referred to in paragraph (b)(i) occurs.
\n
(10)(a) Where a capital goods owner acquires a capital good— (i) by way of a transfer, being a transfer to which section 20
\n
(2)(c) applies other than a transfer to which paragraph (c) applies, on which tax would have been chargeable but for the application of section 20
\n
(2)(c), or (ii) on the supply or development of which tax was chargeable in accordance with section 56 , then, for the purposes of this Chapter, that capital goods owner is deemed to have claimed a deduction in accordance with
\n
Chapter 1
\n
of the tax that would have been chargeable— (I) on the transfer of that capital good but for the application of section 20
\n
(2)(c), less any amount accounted for by that owner in respect of that transfer in accordance with paragraph (b), and (II) on the supply or development of that capital good but for the application of section 56 . (b)(i) Where— (I) a transfer of ownership of a capital good (in this paragraph referred to as the “relevant capital good”) occurs, being a transfer to which section 20
\n
(2)(c) applies, but excluding a transfer to which paragraph (c) applies, and (II) the transferee would not have been entitled to deduct all of the tax that would have been chargeable on that transfer but for the application of section 20
\n
(2)(c), then that transferee shall calculate an amount (in this paragraph referred to as the “relevant amount”) in accordance with subparagraph (ii). (ii) The relevant amount shall be calculated in accordance with the formula— F — G where— F is the amount of tax that would have been chargeable but for the application of section 20
\n
(2)(c), and G is the amount of that tax that would have been deductible in accordance with
\n
Chapter 1
\n
by that transferee if section 20
\n
(2)(c) had not applied to that transfer. (iii) The relevant amount shall be payable by that transferee as if it were tax due in accordance with
\n
Chapter 3
\n
of
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Part 9
\n
for the taxable period in which the transfer occurs. (iv) For the purposes of this Chapter, the relevant amount shall be deemed to be the amount of the total tax incurred in relation to the relevant capital good that the transferee was not entitled to deduct in accordance with
\n
Chapter 1
\n
. (c) Where a capital goods owner makes a transfer of a capital good to which this paragraph applies— (i) the transferor shall issue a copy of the capital good record to the transferee, (ii) the transferee becomes the successor to the capital goods owner who transferred the capital good and is responsible for all obligations of that owner under this Chapter from the date of the transfer of that good, as if— (I) the total tax incurred and the amount deducted by the transferor in relation to the good were the total tax incurred and the amount deducted by the transferee, and (II) any adjustments required to be made under this Chapter by the transferor had been made, and (iii) the transferee as successor shall use the information in the copy of the capital good record issued by the transferor in accordance with subparagraph (i) for the purpose of calculating the tax chargeable or deductible by the successor in accordance with this Chapter for the remainder of the adjustment period applicable to that good as from the date of its transfer. (d) Paragraph (c) applies to a transfer of a capital good if— (i) the transfer is of the kind referred to in section 20
\n
(2)(c), and (ii) but for the application of section 20
\n
(2), that transfer would be a supply— (I) that is exempt in accordance with section 94
\n
(2)or 95
\n
(3)or (7)(b), or (II) in respect of which tax is chargeable in accordance with section 95
\n
(7)(a).
\n
(11)Where a capital good is destroyed during the adjustment period in relation to that capital good, then no further adjustment under this Chapter shall be made by the capital goods owner in respect of any remaining intervals in the adjustment period in relation to that capital good.
\n
(12)A capital goods owner shall create and maintain a record (in this Chapter referred to as a “capital good record”) in respect of each capital good and that record shall contain sufficient information to determine any adjustments in respect of that capital good required in accordance with this Chapter.
\n
(13)The Revenue Commissioners may make regulations necessary for the purposes of the operation of this Chapter, in particular in relation to the duration of a subsequent interval where the accounting year of a capital goods owner changes.
\n
PART 9
\n
Obligations of Accountable Persons
\n
Chapter 1
\n
Registration Registration. [VATA s. 9(1) to (2A)] 65.—(1) The Revenue Commissioners shall set up and maintain a register of persons— (a) who are, or who may become, accountable persons, or (b) who are persons who dispose of goods which pursuant to section 22
\n
(3)are deemed to be supplied by an accountable person in the course or furtherance of his or her business.
\n
(2)The Revenue Commissioners shall assign a registration number to each person registered in accordance with subsection (1).
\n
(3)Every accountable person shall, within the period of 30 days beginning on the day on which the person first becomes an accountable person, furnish in writing to the Revenue Commissioners the particulars specified in regulations as being required for the purpose of registering the person for tax.
\n
(4)Every person who disposes of goods which pursuant to section 22
\n
(3)are deemed to be supplied by an accountable person in the course or furtherance of his or her business shall, within 14 days of the disposal, furnish in writing to the Revenue Commissioners the particulars specified in regulations as being required for the purpose of registering the person for tax.
\n
Chapter 2
\n
Invoicing Issue of invoices and other documents. [VATA s. 17(1), (1A) and (1C) to (1E)] 66.—(1) An accountable person— (a) who supplies goods or services— (i) to another accountable person, (ii) to a public body, (iii) to a person who carries on an exempted activity, (iv) to a person (other than an individual) in another Member State of the Community in such circumstances that tax is chargeable at any of the rates specified in section 46
\n
(1), or (v) to a person in another Member State who is liable to pay value-added tax pursuant to the VAT Directive on such supply, or (b) who supplies goods to a person in another Member State of the Community in the circumstances referred to in section 30
\n
(1)(a)(ii), shall issue to the person so supplied, in respect of each such supply, an invoice in such form and containing such particulars as may be specified by regulations.
\n
(2)(a) Subject to paragraph (b), an invoice or other document required to be issued by a person under this Chapter shall be deemed to be so issued by the person if the particulars which are required by regulations to be contained in that invoice or other document are recorded, retained and transmitted electronically by a system (or systems) which ensures (or ensure) the integrity of those particulars and the authenticity of their origin, without the issue of any invoice or other document containing those particulars. (b) An invoice or other document required to be issued under this Chapter shall not be deemed by paragraph (a) to be so issued unless the person who is required to issue that invoice or other document— (i) complies with such conditions as are specified by regulations, and (ii) the system (or systems) used by that person conforms (or conform) with such specifications as are required by regulations. (c) The person who receives a transmission referred to in paragraph (a) shall not be deemed to be issued with an invoice or other document required to be issued under this Chapter unless— (i) the particulars that are required by regulations to be contained in that invoice or other document are received electronically in a system that ensures the integrity of those particulars and the authenticity of their origin, (ii) that system conforms with such specifications as are required by regulations, and (iii) that person complies with such conditions as are specified by regulations.
\n
(3)Where a taxable person who carries on a business in the State supplies greenhouse gas emission allowances (within the meaning of section 16
\n
(2)) to a recipient (within the meaning of section 16
\n
(2)), the person shall issue a document to the recipient indicating— (a) that the recipient is liable to account for the tax chargeable on that supply, and (b) such other particulars as would be required to be included in that document if that document were an invoice required to be issued in accordance with subsection (1) but excluding the amount of tax payable.
\n
(4)(a) Where a subcontractor who is an accountable person supplies a service to which section 16
\n
(3)applies, then the subcontractor shall issue a document to the principal indicating— (i) that the principal is liable to account for the tax chargeable on that supply, and (ii) such other particulars as would be required to be included in that document if that document were an invoice required to be issued in accordance with subsection (1) but excluding the amount of tax payable. (b) Where the principal and the subcontractor so agree, section 71
\n
(1)may apply to this document as if it were an invoice.
\n
(5)(a) In this subsection— “travel agent” and “margin scheme services” have the meanings respectively assigned to them by section 88
\n
(1); “qualifying accommodation” and “qualifying conference” have the meanings respectively assigned to them by section 60
\n
(1). (b) Where a travel agent supplies margin scheme services that include qualifying accommodation in connection with the attendance by a traveller at a qualifying conference, the travel agent shall issue a document to the traveller containing particulars of the amount of tax chargeable by the accommodation provider in respect of the supply of the qualifying accommodation to that traveller.
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Amendments to invoices. [VATA s. 17(3) to (3B), (9) and (11)] 67.—(1) Where, subsequent to the issue of an invoice by a person to another person in accordance with section 66
\n
(1), the consideration as stated in that invoice is increased or reduced, or a discount is allowed, whichever of the following provisions is appropriate shall have effect: (a) if the consideration is increased, the person shall issue to that other person another invoice in such form and containing such particulars as may be specified by regulations in respect of the increase; (b) if the consideration is reduced or a discount is allowed— (i) the person shall issue to that other person a document (in this Act referred to as a “credit note”) containing particulars of the reduction or discount in such form and containing such other particulars as may be specified by regulations, and (ii) if that other person is an accountable person, the amount which the accountable person may deduct under
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Chapter 1
\n
of
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Part 8
\n
shall, in accordance with regulations, be reduced by the amount of tax shown on that credit note.
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(2)Where a person who is entitled to receive a credit note under subsection (1)(b) from another person issues to that other person, before the date on which a credit note is issued by that other person, a document (in this subsection referred to as a “debit note”) in such form and containing such particulars as may be specified by regulations, then, for the purposes of this Act— (a) the person who issues the debit note shall, if the person to whom it is issued accepts it, be deemed to have received from the person by whom the note was accepted a credit note containing the particulars set out in that debit note, and (b) the person to whom the debit note is issued shall, if he or she accepts it, be deemed to have issued to the person from whom the debit note was received a credit note containing the particulars set out in that debit note.
\n
(3)Notwithstanding subsection (5) and section 69
\n
(1), where a person issues an invoice in accordance with section 66
\n
(1)which indicates a rate of tax and subsequent to the issue of that invoice it is established that a lower rate of tax applied, then— (a) the amount of consideration stated on that invoice shall be deemed to have been reduced to nil, (b) subsection (1)(b) shall have effect, and (c) following the issue of a credit note in accordance with subsection (1)(b), the person shall issue another invoice in accordance with this Act and regulations.
\n
(4)Where, subsequent to the issue of an invoice by a person to another person in accordance with section 66
\n
(1)in respect of an amount received by way of a deposit, and section 74
\n
(4)applies, then— (a) the amount of the consideration stated on that invoice is deemed to be reduced to nil, (b) the person shall issue to that other person a document to be treated as if it were a credit note containing particulars of the reduction in such form and containing such other particulars as would be required to be included in that document if that document were a credit note, and (c) if that other person is an accountable person, the amount which that other person may deduct under
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Chapter 1
\n
of
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Part 8
\n
shall be reduced by the amount of tax shown on the document as if that document were a credit note.
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(5)Notwithstanding subsection (1) but subject to subsection (6), where, subsequent to the issue to a registered person of an invoice in accordance with section 66
\n
(1), the consideration stated in that invoice is reduced or a discount is allowed in such circumstances that, by agreement between the persons concerned, the amount of tax stated in the invoice is unaltered, then— (a) paragraph (b) of subsection (1) shall not apply in relation to the person by whom the invoice was issued, (b) the reduction or discount concerned shall not be taken into account in computing the liability to tax of the person making the reduction or allowing the discount, (c) section 69
\n
(1)shall not apply, and (d) the amount which the person in whose favour the reduction or discount is made or allowed may deduct in respect of the relevant transaction under
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Chapter 1
\n
of
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Part 8
\n
shall not be reduced.
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(6)Subsection (5) shall not apply in any case where— (a) subsection (4) applies, or (b) the person who issued the invoice referred to in subsection (5) was, at the time of its issue, a person authorised, in accordance with section 80
\n
(1), to determine that person’s tax liability in respect of supplies of the kind in question by reference to the amount of moneys received.
\n
Flat-rate farmer invoices and other documents. [VATA s. 17(2), (4), (10), (11A) and (13)] 68.—(1) A flat-rate farmer who, in accordance with section 86
\n
(1), is required to issue an invoice in respect of the supply of agricultural produce or an agricultural service shall, in respect of each such supply, issue an invoice in the form and containing such particulars (in addition to those specified in section 86
\n
(1)) as may be specified by regulations, if the following conditions are fulfilled: (a) the issue of the invoice is requested by a purchaser; (b) the purchaser provides the form for the purpose of the invoice and enters the appropriate particulars thereon; (c) the purchaser gives a copy of the invoice to the flat-rate farmer, but may issue the invoice if those conditions or any of them are not fulfilled.
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(2)Where, subsequent to the issue by a flat-rate farmer of an invoice in accordance with subsection (1), the consideration as stated on the invoice is increased or reduced, or a discount is allowed, whichever of the following provisions is appropriate shall have effect: (a) in case the consideration is increased— (i) the flat-rate farmer shall issue another invoice (if the conditions referred to in subsection (1) are fulfilled in relation to it)— (I) containing particulars of the increase and of the flat-rate addition appropriate thereto, and (II) in such form and containing such other particulars as may be specified by regulations, and (ii) the other invoice referred to in subparagraph (i) shall be deemed, for the purposes of
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Chapter 1
\n
of
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Part 8
\n
, to be issued in accordance with section 86
\n
(1), but that farmer may not issue the invoice if any of the conditions referred to in subsection (1) is not fulfilled; (b) in case the consideration is reduced or a discount is allowed— (i) the flat-rate farmer shall issue a document (in this Chapter referred to as a “farmer credit note”)— (I) containing particulars of the reduction or discount, and (II) in such form and containing such other particulars as may be specified by regulations, and (ii) the amount which the person may deduct under
\n
Chapter 1
\n
of
\n
Part 8
\n
or is entitled to be repaid under section 57 , 102 or 104
\n
(4)or (5) shall, in accordance with regulations, be reduced by an amount equal to the amount of the flat-rate addition appropriate to the amount of the reduction or discount.
\n
(3)Where a person who is entitled to receive a farmer credit note under subsection (2)(b) from another person issues to that other person, before the date on which a farmer credit note is issued by that other person, a document (in this Chapter referred to as a “farmer debit note”) in such form and containing such particulars as may be specified by regulations, then, for the purposes of this Act— (a) the person who issues the farmer debit note shall, if the person to whom it is issued accepts it, be deemed to have received a farmer credit note (containing the particulars set out in the farmer debit note) from the person by whom the farmer debit note was accepted, and (b) the person to whom the farmer debit note is issued shall, if he or she accepts it, be deemed to have issued a farmer credit note (containing the particulars set out in the farmer debit note) to the person from whom the farmer debit note was received.
\n
(4)Where— (a) agricultural produce or agricultural services are supplied to a registered person by a flat-rate farmer, and (b) the person to whom the agricultural produce or services are supplied issues to the other person, before the date on which an invoice is issued by that other person, a document (in this Act referred to as a “settlement voucher”) in such form and containing such particulars as may be specified by regulations, then, for the purposes of this Act— (i) the person who issues the settlement voucher shall, if the person to whom it is issued accepts it, be deemed to have received an invoice (containing the particulars set out in the voucher) from the person by whom the voucher was accepted, and (ii) the person to whom the settlement voucher is issued shall, if he or she accepts it, be deemed to have issued an invoice (containing the particulars set out in the voucher) to the person from whom the voucher was received.
\n
(5)The provisions of this Act (other than this Chapter) relating to credit notes and debit notes issued under section 67
\n
(1)or (2) respectively shall apply in relation to farmer credit notes and farmer debit notes as they apply in relation to such credit notes and debit notes.
\n
Invoices or credit notes — errors, etc. [VATA s. 17(5) to (6A)] 69.—(1) Where an accountable person— (a) issues an invoice stating a greater amount of tax than that properly attributable to the consideration stated therein, or (b) issues a credit note stating a lesser amount of tax than that properly attributable to the reduction in consideration or the discount stated therein, the accountable person shall be liable to pay to the Revenue Commissioners the excess amount of tax stated in the invoice or the amount of the deficiency of tax stated in the credit note.
\n
(2)A person who is not a registered person and who issues an invoice stating an amount of tax shall, in relation to the amount of tax stated, be deemed, for the purposes of this Act, to be an accountable person and shall be liable to pay that amount to the Revenue Commissioners.
\n
(3)Where a person (other than a flat-rate farmer) issues an invoice stating an amount of flat-rate addition, he or she shall be liable to pay to the Revenue Commissioners as tax the amount of flat-rate addition stated and shall, in relation to that amount, be deemed, for the purposes of this Act, to be an accountable person.
\n
(4)Where a flat-rate farmer issues an invoice stating an amount of flat-rate addition otherwise than in respect of an actual supply of agricultural produce or an agricultural service, or in respect of such a supply but stating a greater amount of flat-rate addition than is appropriate to the supply, the farmer shall be liable to pay to the Revenue Commissioners as tax the amount or the excess amount, as the case may be, of the flat-rate addition stated and shall, in relation to that amount or that excess amount, be deemed, for the purposes of this Act, to be an accountable person.
\n
(5)Where a flat-rate farmer, in a case in which he or she is required to issue a farmer credit note under section 68
\n
(2)(b), fails to issue the credit note within the time allowed by regulations, or issues a credit note stating a lesser amount of flat-rate addition than is appropriate to the reduction in consideration or the discount, the farmer shall be liable to pay to the Revenue Commissioners as tax the amount of flat-rate addition that should have been stated on the credit note or the amount of the deficiency of flat-rate addition, as the case may be, and shall, in relation to that amount or that deficiency, be deemed, for the purposes of this Act, to be an accountable person.
\n
Time limits for issuing invoices, etc. [VATA s. 17(7) and (8)] 70.—(1)(a) An invoice, credit note or document required to be issued in accordance with this Chapter shall be issued within such time after the date of supplying goods or services as may be specified by regulations. (b) An amendment of an invoice pursuant to section 68
\n
(2)(b) shall be effected within such time as may be specified by regulations.
\n
(2)Notwithstanding subsection (1), where payment for the supply of goods or services (other than supplies of the kind specified in paragraph 1(1) or (2) of Schedule 2 ) is made to a person, either in full or by instalments, before the supply is completed, the person shall issue an invoice in accordance with section 66
\n
(1)or 68
\n
(1), as may be appropriate, within such time after the date of actual receipt of the full payment or the instalment as may be specified by regulations.
\n
Self-billing and outsourcing. [VATA s. 17(14)] 71.—(1) An invoice required under this Chapter to be issued in respect of a supply by a person (in this section referred to as the “supplier”) is deemed to be so issued by that supplier if that invoice is drawn up and issued by the person to whom that supply is made (in this section referred to as the “customer”) where— (a) there is prior agreement between the supplier and the customer that the customer may draw up and issue the invoice, (b) the customer is a person registered for value-added tax, (c) any conditions which are imposed by this Act or by regulations on the supplier in relation to the form, content or issue of the invoice are met by the customer, and (d) agreed procedures are in place for the acceptance by the supplier of the validity of the invoice.
\n
(2)An invoice, which is deemed to be issued by the supplier in accordance with subsection (1), is deemed to have been so issued when that invoice is accepted by that supplier in accordance with the agreed procedures referred to in subsection (1)(d).
\n
(3)An invoice required to be issued by a supplier under this Chapter shall be deemed to be so issued by that supplier if— (a) the invoice is issued by a person who acts in the name and on behalf of the supplier, and (b) any conditions which are imposed by this Act or by regulations on the supplier in relation to the form, content or issue of the invoice are met.
\n
(4)Any credit note or debit note issued in accordance with this Chapter that amends and refers specifically and unambiguously to an invoice is treated as if it were an invoice for the purposes of this section.
\n
(5)The Revenue Commissioners may make regulations in relation to the conditions applying to invoices covered by this section.
\n
Storage of invoices. [VATA s. 17(15)] 72.—(1) A person who issues, or is deemed to issue, an invoice under this Chapter shall ensure that— (a) a copy of any invoice issued by the person, (b) a copy of any invoice deemed to be issued by the person in the circumstances specified in section 71 , and (c) any invoice received by the person, is stored and, for the purposes of section 84
\n
(1), the reference to the keeping of full and true records therein shall be construed accordingly in so far as it relates to invoices covered by this Chapter.
\n
(2)Any invoice not stored by electronic means in a manner which conforms with requirements laid down by the Revenue Commissioners shall be stored within the State but, subject to the agreement of the Commissioners and any conditions set by them, the invoice may be stored outside the State.
\n
Requests for particulars in respect of repayment of tax. [VATA s. 17(12)] 73.—(1)(a) An accountable person shall, if requested in writing by another person and if the request states that the other person is entitled to repayment of tax under section 103 , give to that other person in writing the particulars of the amount of tax chargeable by the accountable person in respect of the supply by the accountable person of the goods or services that are specified in the request. (b) An accountable person shall, if requested in writing by another person and if the request states that the other person is entitled to repayment of tax under section 57 , 58 , 102 or 104
\n
(1), (4) or (5), give to that other person in writing the particulars specified in regulations for the purposes of section 66
\n
(1)in respect of the goods or services supplied by the accountable person to that other person that are specified in the request. (c) An accountable person shall, if requested in writing by another person and if the request states that the other person is entitled to repayment of tax under section 104
\n
(3), give to that other person in writing the particulars of the amount of tax chargeable by the accountable person in respect of the supply by the accountable person of the radio broadcasting reception apparatus and parts thereof that are specified in the request.
\n
(2)A flat-rate farmer shall, if requested in writing by another person and if the request states that the other person is entitled to repayment of the flat-rate addition under section 57 , 102 or 104
\n
(4)or (5), give to that other person in writing the particulars specified in regulations for the purpose of section 68
\n
(1)in respect of the goods or services supplied by the flat-rate farmer to that other person that are specified in the request.
\n
(3)A request under subsection (1) or (2) shall be complied with by the person to whom it is given within 30 days after the date on which the request is received by the person.
\n
Chapter 3
\n
Returns and payment of tax Tax due on supplies. [VATA s. 19(1), (2) and (2B)] 74.—(1) Tax chargeable under section 3 (a) or (c) shall be due— (a) in case an invoice is required under
\n
Chapter 2
\n
to be issued, at the time of issue of the invoice or, if the invoice is not issued in due time, upon the expiration of the period within which the invoice should have been issued, (b) in case a person is liable under section 69
\n
(1)or (2) to pay an amount of tax by reference to an invoice, or credit note, issued by him or her, at the time of issue of that invoice or credit note, (c) in the case of continuous supplies of telecommunications services or electricity, or of gas which has the meaning assigned to it in paragraph 17(3) of Schedule 3 — (i) supplied to a person other than a person to whom an invoice is required to be issued under
\n
Chapter 2
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, and (ii) for which there is a statement of account (being a balancing statement or demand for payment which issues at least once every 3 months), at the time of issue of the statement of account in respect of those supplies, and (d) in any other case, at the time the goods or services are supplied.
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(2)Notwithstanding anything in this Act but subject to subsection (3), the tax chargeable under section 3 (a) or (c), other than tax chargeable in respect of supplies of the kind specified in paragraph 1(1) or (2) of Schedule 2 , or the relevant part thereof, shall be due not later than the time when the amount in respect of which it is payable has been received in full or in part, and where the amount is received in full or in part before the supply of the goods or services to which it relates, a supply for a consideration equal to the amount received of such part of the goods or services as is equal in value to the amount received, shall be deemed, for the purposes of this Act, to have taken place at the time of such receipt.
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(3)Subsection (2) does not apply to the tax chargeable in respect of supplies of goods or services where tax is due in accordance with subsection (1)(a), (b) or (c) by an accountable person who is not authorised under section 80 to account for tax due by reference to the amount of the moneys received during a taxable period or part thereof.
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(4)Where a person accounts in accordance with section 76 or 77 for tax referred to in subsection (2) on an amount received by way of a deposit from a customer before the supply of the goods or services to which it relates, and— (a) that supply does not subsequently take place owing to a cancellation by the customer, (b) the cancellation is recorded as such in the books and records of that person, (c) the deposit is not refunded to the customer, and (d) no other consideration, benefit or supply is provided to the customer by any person in lieu of the refund of that amount, then the tax chargeable under section 3 (a) or (c) shall be reduced in the taxable period in which the cancellation is recorded by the amount of tax accounted for on the deposit.
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Tax due on intra-Community acquisitions. [VATA s. 19(1A)] 75.— Tax chargeable under section 3 (d) or (e) shall be due— (a) on the 15th day of the month following that during which the intra-Community acquisition occurs, (b) in case an invoice is issued before the date specified in paragraph (a) by the supplier in another Member State to the person acquiring the goods, when that invoice is issued.
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Returns and remittances. [VATA s. 19(3)(a) and (b) to (d)] 76.—(1) Subject to subsection (2), an accountable person shall, within 9 days immediately after the 10th day of the month immediately following a taxable period— (a) furnish to the Collector-General a true and correct return, prepared in accordance with regulations, of— (i) the amount of tax which became due by the person during that taxable period (other than tax already paid by him or her in relation to goods imported by him or her), (ii) the amount (if any) which may be deducted in accordance with
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in computing the amount of tax payable by the person in respect of that taxable period, and (iii) such other particulars as may be specified in regulations, and (b) remit to the Collector-General, at the same time as so furnishing such return, the amount of tax (if any) payable by the person in respect of that taxable period.
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(2)A person who disposes of goods which pursuant to section 22
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(3)are deemed to be supplied by an accountable person in the course or furtherance of his or her business shall— (a) within 9 days immediately after the 10th day of the month immediately following a taxable period— (i) furnish to the Collector-General— (I) a true and correct return, prepared in accordance with regulations, of the amount of tax which became due by the accountable person in relation to the disposal, and (II) such other particulars as may be specified in regulations, and (ii) remit to the Collector-General, at the same time as so furnishing such return, the amount of tax payable in respect of that taxable period, (b) send to the person whose goods were disposed of a statement containing such particulars as may be specified in regulations, and (c) treat the amount of tax referred to in paragraph (a) as a necessary disbursement out of the proceeds of the disposal.
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(3)The owner of goods which pursuant to section 22
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(3)are deemed to be supplied by an accountable person in the course or furtherance of the accountable person’s business shall exclude from any return which the owner is or, but for this subsection, would be required to furnish under this Act, the tax payable in accordance with subsection (2).
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(4)(a)(i) A return required to be furnished by an accountable person under this section or section 77 may be furnished by the accountable person or another person acting under the accountable person’s authority for that purpose. (ii) A return purporting to be a return furnished by a person acting under an accountable person’s authority shall be deemed to be a return furnished by the accountable person unless the contrary is proved. (b) Where a return in accordance with paragraph (a) is furnished by a person acting under an accountable person’s authority, the provisions of any enactment relating to value-added tax shall apply as if that return had been furnished by the accountable person.
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Authorisations in relation to filing dates. [VATA s. 19(3)(aa)] 77.—(1)(a) In this section— “accounting period” means a period, as determined by the Collector-General from time to time in any particular case, consisting of a number of consecutive taxable periods not exceeding 6 or such other period not exceeding a continuous period of 12 months as may be specified by the Collector-General; “authorised person” means an accountable person who has been authorised in writing by the Collector-General for the purposes of this section, and “authorise” and “authorisation” shall be construed accordingly. (b) Where an accounting period begins before the end of a taxable period, the period of time from the beginning of the accounting period to the end of the taxable period during which the accounting period begins shall, for the purposes of this section, be treated as if such period of time were a taxable period, and any references in this section to a taxable period shall be construed accordingly. (c) Where an accounting period ends after the beginning of a taxable period, the period of time from the beginning of the taxable period during which the accounting period ends to the end of the accounting period shall, for the purposes of this section, be treated as if such period of time were a taxable period, and any references in this section to a taxable period shall be construed accordingly.
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(2)Notwithstanding section 76
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(1)— (a) the Collector-General may, from time to time, authorise in writing an accountable person for the purposes of this section unless the accountable person objects in writing to the authorisation, (b) an authorised person may, within 9 days immediately after the 10th day of the month immediately following an accounting period— (i) furnish to the Collector-General a true and correct return prepared in accordance with regulations of— (I) the amount of tax which became due by the person during the taxable periods which comprise the accounting period (other than tax already paid by him or her in relation to goods imported by him or her), (II) the amount (if any) which may be deducted in accordance with
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in computing the amount of tax payable by the person in respect of those taxable periods, and (III) such other particulars as may be specified in regulations, and (ii) remit to the Collector-General, at the same time as so furnishing such return, any amount of tax payable by the person in respect of those taxable periods, (c) in the case of an authorised person referred to in subsection (5), the amount of tax referred to in paragraph (b)(ii) shall be the balance of tax remaining to be paid (if any) after deducting from it the amount of tax paid by the person by direct debit in respect of his or her accounting period, (d) where the authorised person concerned furnishes and remits in accordance with this subsection, the person shall be deemed to have complied with section 76
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(1)in relation to those taxable periods.
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(3)For the purposes of issuing an authorisation to an accountable person, the Collector-General shall, where he or she considers it appropriate, have regard to the following matters: (a) he or she has reasonable grounds to believe that— (i) the authorisation will not result in a loss of tax, and (ii) the accountable person will meet all of his or her obligations under the authorisation; and (b) the accountable person— (i) has been a registered person during all of the period consisting of the 6 taxable periods immediately preceding the period in which an authorisation would, if it were issued, have effect, and (ii) has complied with section 76
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(1).
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(4)An authorisation may— (a) be issued without conditions or subject to such conditions as the Collector-General, having regard in particular to the considerations referred to in subsection (3), considers proper and specifies in writing to the accountable person concerned when issuing the authorisation, (b) without prejudice to the generality of paragraph (a), require an authorised person to remit to the Collector-General, within 9 days immediately after the 10th day of the month immediately following each taxable period (other than the final taxable period) which is comprised in an accounting period, such an amount as may be specified by the Collector-General.
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(5)(a) Without prejudice to the generality of subsection (4), an authorisation may require an authorised person to agree with the Collector-General a schedule of amounts of money (in this subsection referred to as “the schedule”) which he or she undertakes to pay on dates specified by the Collector-General by monthly direct debit from his or her account with a financial institution. (b) The total of the amounts specified in the schedule shall be the authorised person’s best estimate of his or her total tax liability for his or her accounting period. (c) The authorised person shall review on an on-going basis whether the total of the amounts specified in the schedule is likely to be adequate to cover his or her actual liability for his or her accounting period and, where this is not the case or is not likely to be the case, he or she shall agree a revised schedule of amounts with the Collector-General and adjust his or her monthly direct debit amounts accordingly.
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(6)The Collector-General may, by notice in writing, terminate an authorisation and, where an accountable person requests the Collector-General to do so, he or she shall terminate the authorisation.
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(7)For the purposes of terminating an authorisation, the Collector-General shall, where he or she considers it appropriate, have regard to the following matters: (a) he or she has reasonable grounds to believe that the authorisation has resulted or could result in a loss of tax; or (b) the accountable person— (i) has furnished, or there is furnished on his or her behalf, any incorrect information for the purposes of the issue to him or her of an authorisation, or (ii) has not complied with section 76
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(1)or this section, including the conditions (if any) specified by the Collector-General under subsection (4) or (5) in relation to the issue to him or her of an authorisation.
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(8)In relation to any taxable period in respect of which he or she has not complied with section 76
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(1), a person whose authorisation is terminated shall be deemed to have complied with that section if, within 14 days of the issue to him or her of a notice of termination, he or she— (a) furnishes to the Collector-General the return specified in section 76
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(1), and (b) remits to the Collector-General, at the same time as so furnishing such return, the amount of tax payable by him or her in accordance with section 76
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(1).
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(9)(a) An authorisation shall be deemed to have been terminated by the Collector-General on the date that an authorised person— (i) ceases to trade (other than for the purposes of disposing of the stocks and assets of his or her business), whether for reasons of insolvency or any other reason, (ii) being a body corporate, goes into liquidation, whether voluntarily or not, or (iii) ceases to be an accountable person, dies or becomes bankrupt. (b) An accountable person to whom this subsection relates shall, in relation to any taxable period (or part of a taxable period) comprised in the accounting period which was in operation in his or her case on the date to which paragraph (a) relates, be deemed to have complied with section 76
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(1)if he or she— (i) furnishes to the Collector-General the return specified in subsection (2)(b), and (ii) remits to the Collector-General, at the same time as so furnishing such return, the amount of tax payable by him or her for the purposes of subsection (2)(b) as if he or she were an authorised person whose accounting period ended on the last day of the taxable period during which the termination occurred. (c) For the purposes of paragraph (b), the personal representative of a person who was an authorised person shall be deemed to be the accountable person concerned.
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Electronic remittances and returns. [VATA s. 19(3A)] 78.—(1) In this section— “electronic remittance” means a remittance made by such electronic means (within the meaning of section 917EA of the Taxes Consolidation Act 1997 ) as are required by the Revenue Commissioners; “electronic return” means a return made by electronic means and in accordance with Chapter 6 of Part 38 of the Taxes Consolidation Act 1997 ; “relevant provisions” mean sections 76
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(1)and (2) and 77
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(2)(b) and (4)(b).
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(2)Subject to subsection (3), where an electronic remittance or, as the case may be, an electronic return and electronic remittance of the amount payable (if any) referred to in the relevant provisions is or are made, then the relevant provisions shall apply and have effect as if “13 days” were substituted for “9 days” in each place where the latter occurs in the relevant provisions.
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(3)Where the remittance or return referred to in subsection (2) is made after the period provided for in that subsection, this Act shall apply and have effect without regard to the other provisions of this section.
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Special provisions in relation to payment dates. [VATA s. 19(4) to (6)] 79.—(1) In this section— “registration of the vehicle” means the registration of the vehicle in accordance with section 131 of the Finance Act 1992 ; “vehicle registration tax” means the tax referred to in section 132 of the Finance Act 1992 .
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(2)Notwithstanding sections 76 and 77 , where a person makes an intra-Community acquisition of a new means of transport (other than a vessel or aircraft) in respect of which he or she is not entitled to a deduction under
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, then— (a) the tax shall be payable— (i) subject to subparagraphs (ii) and (iii), at the time of payment of the vehicle registration tax, (ii) subject to subparagraph (iii), if no vehicle registration tax is payable, at the time of registration of the vehicle, (iii) if section 131 of the Finance Act 1992 does not provide for the registration of the vehicle, at a time not later than the time when the tax is due in accordance with section 75 , (b) the person shall complete such form as may be provided by the Revenue Commissioners for the purpose of this subsection, and (c) the provisions relating to the recovery and collection of vehicle registration tax shall apply, with such exceptions and modifications (if any) as may be specified in regulations, to tax referred to in this subsection as if it were vehicle registration tax.
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(3)Notwithstanding sections 76 and 77 , where a person makes an intra-Community acquisition of a new means of transport which is a vessel or aircraft, in respect of which he or she is not entitled to a deduction under
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, then— (a) the tax shall be payable at a time and in a manner to be determined by regulations, and (b) the provisions relating to the recovery and collection of a duty of customs shall apply, with such exceptions and modifications (if any) as may be specified in regulations, to tax referred to in this subsection as if it were a duty of customs.
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(4)Notwithstanding sections 76 and 77 , where section 11
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(2)applies— (a) the tax shall be payable at the time of payment of the duty of excise on the goods, and (b) the provisions relating to the recovery and collection of that duty of excise shall apply, with such exceptions and modifications (if any) as may be specified in regulations, to tax referred to in this subsection as if it were that duty of excise.
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(5)Notwithstanding sections 76 and 77 , where section 91 applies, the tax shall be payable at the time the VAT return is required to be submitted in accordance with section 91
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(6).
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Tax due on moneys received Tax due on moneys received basis. [VATA s. 14] 80.—(1) A person who satisfies the Revenue Commissioners that—