Finance Act, 1941

Finance Act, 1941 Skip to content Disclaimer Feedback Helpdesk Gaeilge Léim go dtí an t-ábhar Séanadh Aiseolas Deasc chabhrach English Gaeilge English Produced by the Office of the Attorney General Táirgthe ag Oifig an Ard-Aighne Home Legislation Acts of the Oireachtas Statutory Instruments Pre-1922 Legislation Constitution External Resources Bills (Houses of the Oireachtas) Iris Oifigiúil / Official Gazette Revised Acts (LRC) Classified List of Legislation (LRC) Translations (acts.ie) Translations (Houses of the Oireachtas) Government Publications for Sale EU Law (EUR-Lex) FAQ Disclaimer Feedback Helpdesk Search Baile Reachtaíocht Achtanna an Oireachtais Ionstraimí Reachtúla Reachtaíocht Réamh-1922 Bunreacht Acmhainní Seachtracha Billí (Tithe an Oireachtais) Iris Oifigiúil Achtanna Athbhreithnithe (CAD) (An Coimisiún um Athchóiriú an Dlí) Liosta Rangaithe Reachtaíochta Aistriúcháin (achtanna.ie) Aistriúcháin (Tithe an Oireachtais) Foilseacháin Rialtais ar Díol Dlí AE (EUR-Lex) CCanna (Ceisteanna Coitianta) Séanadh Aiseolas Deasc chabhrach Cuardach TitleTeideal Year(s) or rangeBliain nó blianta nó raon TypeCineál All Legislation Acts Statutory Instruments Advanced SearchCuardach Casta HomeBaile ActsAchtanna 1941 Finance Act, 1941 Finance Act, 1941 Permanent Page URL View by SectionAmharc de réir Ailt View Full ActAmharc ar an Acht Iomlán Bill History Stair Bille Commencement, Amendments, SIs made under the Act Tosach Feidhme, Leasuithe, IRí arna ndéanamh faoin Acht Print Full ActPriontáil an tAcht Iomlán Number 14 of 1941. FINANCE ACT, 1941. ARRANGEMENT OF SECTIONS PART I. Income Tax. Section 1. Income tax and sur-tax for the year 1941-42. 2. Extension of relief under section 2 of the Finance Act, 1933. 3. Relief in respect of foreign income tax in certain cases. PART II. Excess Sur-Tax. 4. Definitions in this Part of this Act. 5. Imposition of excess sur-tax. 6. Trades and businesses to which this Part of this Act applies. 7. Computation of standard profits. 8. Computation of standard total income. 9. Relief from excess sur-tax in certain cases. 10. Provision for losses in certain cases. 11. Computation of profits. PART III. Customs and Excise. 12. Alteration of rates of duty on tobacco. 13. Alteration of rates of duty on hydrocarbon oil. 14. Alteration of rates of duty on mineral hydrocarbon light oil. 15. Alteration of rates of duties on matches. 16. Exemption of certain tractors from motor car duty. 17. Exemption of certain tractors from steam car duty. 18. Increase of rate of duty on bets. 19. Exemption from excise duty on mineral hydrocarbon light oil. 20. Amendment of section 21 of the Finance Act, 1936. 21. Repayment in certain cases of excise duty on mechanically propelled vehicles. 22. Relief from excise duty in respect of trailer drawn by mechanically propelled vehicle where goods conveyed consist of turf. 23. Relief from excise duty in respect of trailer drawn by mechanically propelled vehicle where trailer used for conveying petrol substitute or apparatus for making petrol substitute. 24. Relief from excise duty on mechanically propelled vehicle canteens. 25. Repayment in certain cases of fees on licences on petrol pumps. 26. Increase of penalty in case of failure to pay dog duty. PART IV. Death Duties. 27. Definitions in respect of this Part of this Act. 28. Alteration of rates of estate duty. 29. Effect of increase of rates on certain sales and mortgages. 30. Disposition or determination of life interests etc. 31. Purchases of annuities, etc., from relatives. 32. Gifts by way of creation of burdens or release of right. 33. Construction of references to an interest limited to cease on a death. PART V. Corporation Profits Tax. 34. Definitions in this Part of this Act. 35. Amendments of enactments relating to corporation profits tax. 36. Provisions in respect of certain accounting periods. 37. Excess corporation profits tax. 38. Definition of standard profits. 39. Definition of the substituted standard. 40. Relief in respect of losses in certain cases. 41. Calculation of profits in certain cases. 42. Provisions in respect of a company which succeeded to an unincorporated business. 43. Provisions in respect of deductions for the remuneration of directors. 44. Continuance of certain exemptions. 45. Power to assess tax notwithstanding previous assessment. 46. Construction of this Part of this Act. PART VI. Stamp Duties. 47. Exemption from stamp duty of certain documents relating to legal tender or consolidated bank notes. 48. Stamp duty on certain receipts, etc., under the Local Registration of Title (Ireland) Act, 1891. PART VII. Miscellaneous And General. 49. The foreign exchange account. 50. Reduction of certain sums payable to the Irish Land Commission. 51. Transfer of money from the Road Fund to the Exchequer. 52. Repeals. 53. Care and management of taxes and duties. 54. Short title, construction, and commencement. FIRST SCHEDULE. Duties on Tobacco. SECOND SCHEDULE. Duties on Matches. THIRD SCHEDULE. Scale of Rates of Estate Duty. FOURTH SCHEDULE. Enactments Repealed. Acts Referred to Finance Act, 1933 No. 15 of 1933 Finance Act, 1928 No. 11 of 1928 Finance Act, 1929 No. 32 of 1929 Finance Act, 1932 No. 20 of 1932 Finance (No. 2) Act, 1939 No. 33 of 1939 Finance Act, 1934 No. 31 of 1934 Finance Act, 1935 No. 28 of 1935 Finance Act, 1939 No. 18 of 1939 Finance (Customs Duties) (No. 4) Act, 1931 No. 43 of 1931 Finance (Miscellaneous Provisions) Act, 1935 No. 7 of 1935 Finance Act, 1926 No. 35 of 1926 Finance Act, 1936 No. 31 of 1936 Local Government Act, 1925 No. 5 of 1925 Finance Act, 1927 No. 18 of 1927 Finance Act, 1931 No. 31 of 1931 Finance Act, 1925 No. 28 of 1925 Finance Act, 1938 No. 25 of 1938 Currency Act, 1927 No. 32 of 1927 Emergency Powers Act, 1939 No. 28 of 1939 Land Law (Commission) Act, 1923 No. 27 of 1923 Number 14 of 1941. FINANCE ACT, 1941. AN ACT TO CHARGE AND IMPOSE CERTAIN DUTIES OF CUSTOMS AND INLAND REVENUE (INCLUDING EXCISE), TO AMEND THE LAW RELATING TO CUSTOMS AND INLAND REVENUE (INCLUDING EXCISE) AND TO MAKE FURTHER PROVISIONS IN CONNECTION WITH FINANCE. [24th July, 1941.] BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:— PART I. Income Tax. Income tax and sur-tax for the year 1941-42 1.—(1) Income tax shall be charged for the year beginning on the 6th day of April, 1941, at the rate of seven shillings and sixpence in the pound. (2) Sur-tax for the year beginning on the 6th day of April, 1941, shall be charged in respect of the income of any individual the total of which from all sources exceeds one thousand five hundred pounds and shall be so charged at the same rates as those at which it is charged for the year beginning on the 6th day of April, 1940. (3) The several statutory and other provisions which were in force on the 5th day of April, 1941, in relation to income tax and sur-tax shall, subject to the provisions of this Act, have effect in relation to the income tax and sur-tax to be charged as aforesaid for the said year beginning on the 6th day of April, 1941. Extension of relief under section 2 of the Finance Act, 1933 . 2.—(1) Where the Revenue Commissioners are satisfied in respect of any person that, but for circumstances arising out of the war in which the United Kingdom of Great Britain and Northern Ireland is now engaged, the conditions set out in section 2 of the Finance Act, 1933 (No. 15 of 1933), would, in any particular year to which this section applies, have been complied with by or in respect of such person and he would thereby have become eligible for relief under that section, the Revenue Commissioners may grant to such person in respect of the said year such relief as is in their opinion just, but not exceeding the relief which they could lawfully have granted under the said section 2 to the said person if he had complied in the said year with the said conditions. (2) This section applies to the year which began on the 6th day of April, 1939, and to every subsequent year. Relief in respect of foreign income tax in certain cases. 3.—(1) Where an individual has paid under the Income Tax Acts by deduction or otherwise, or is liable under those Acts to pay, income tax, or income tax and sur-tax, for any year of assessment in respect of any part of his income arising in a country to which this section applies and shows to the satisfaction of the Revenue Commissioners— (a) that he has paid external income tax in the said country in respect of the said part of his income, and (b) that he was, prior to the said year of assessment, resident in the said country to which this section applies for a continuous period of not less than ten years or for a number of discontinuous periods amounting in the aggregate to not less than ten years, and (c) that for the said year of assessment he was or is domiciled, resident, and ordinarily resident in the State, and (d) that, in respect of the said year of assessment, he is not entitled to claim relief from double taxation under Article 2 of the Agreement set out in the First Schedule to the Finance Act, 1928 (No. 11 of 1928), and is not eligible for relief under the next preceding section of this Act, the Revenue Commissioners may grant to such person in respect of the said year of assessment such relief as is in their opinion just, but not exceeding whichever of the following amounts is the lesser, that is to say, one-half of the amount of his Irish income tax for the said year of assessment or the amount of external income tax paid or payable by him in the said country in respect of the said part of his income after deduction of any relief to which he may be entitled in that country. (2) In the foregoing sub-section of this section— the expression “the amount of his Irish income tax” means the amount of tax appropriate to the income of the individual referred to in the said expression arising in a country to which this section applies, such tax being computed at a rate determined by dividing, by the amount of the total income from all sources of the said individual for the relevant year of assessment, the amount of income tax or income tax and sur-tax payable under the Income Tax Acts by the said individual for the said year of assessment in respect of his total income before the granting of any relief under this section; the expression “external income tax” means a tax which is chargeable and payable under the law of a country to which this section applies and appears to the Revenue Commissioners to correspond to income tax or sur-tax chargeable under the Income Tax Acts. (3) This section applies to the following countries, that is to say, the United States of America, the Dominion of Canada, the Commonwealth of Australia, the Dominion of New Zealand, the Union of South Africa, and Newfoundland, and also to every country which is a British possession within the meaning of Schedule C of the Income Tax Act, 1918. PART II. Excess Sur-Tax. Definitions in this Part of this Act. 4.—In this Part of this Act— the expression “accounting year” means the period of twelve months for which the accounts of the trade or business in relation to which the said expression is used are customarily made up or, where in any year beginning on a 6th day of April no accounts have been made up for a period of twelve months ending on a day in that year, such period of twelve months as the Revenue Commissioners shall determine; the expression “total income” means (save as is otherwise provided in this Part of this Act) the total income from all sources without regard to the provisions of section 34 of the Income Tax Act, 1918, and as if the profits from a trade or business to which this Part of this Act applies included in such total income from all sources were computed without regard to the provisions of paragraph (3) of Rule 6 of the Rules applicable to Cases I and II of Schedule D of the Income Tax Act, 1918, or the provisions of section 14 of the Finance Act, 1929 (No. 32 of 1929). Imposition of excess sur-tax. 5.—(1) Notwithstanding anything contained in sub-section (2) of section 1 of this Act, and subject to the provisions of this Part of this Act, where the total income of any individual for the year beginning on the 6th day of April, 1941, exceeds one thousand five hundred pounds and includes profits from any trade or business to which this Part of this Act applies carried on by him either solely or in partnership with another person or other persons, an additional duty of sur-tax (in this Part of this Act referred to as excess sur-tax) shall be charged for that year at the rate of seven shillings and sixpence in the pound in respect of so much of the said income as is equal to whichever of the following amounts is the lesser, that is to say:— (a) the amount by which the said profits exceed the standard profits calculated in accordance with this Part of this Act, or (b) the amount by which the said total income exceeds the standard total income calculated in accordance with this Part of this Act. (2) Excess sur-tax for the year beginning on the 6th day of April, 1941, may be assessed and recovered notwithstanding that sur-tax has already been assessed for that year. (3) Excess sur-tax shall be a sur-tax, and accordingly all enactments for the time being in force in relation to sur-tax shall, so far as they are not inconsistent with this Part of this Act, apply and have effect in relation to excess sur-tax. Trades and businesses to which this Part of this Act applies. 6.—This Part of this Act applies to every trade or business carried on (whether continuously or discontinuously) in the State, either solely or in partnership with another person or other persons, by an individual resident in the State, excepting and excluding husbandry and any office or employment, and also excepting and excluding any profession the profits of which are dependent wholly or mainly on the personal qualifications of the person or persons by whom the profession is carried on and in which either no capital expenditure or only capital expenditure of a comparatively small amount is required, but including the business of a person taking commissions in respect of transactions effected or services rendered, and also including the business of an agent of any description other than a commercial traveller or other agent whose remuneration consists wholly of a fixed and definite sum not depending on the amount of business done or any other contingency. Computation of standard profits. 7.—(1) The standard profits of an individual from a trade or business to which this Part of this Act applies carried on by him during the whole of the year beginning on the 6th day of April, 1941, either solely or in partnership with another person or other persons shall (subject to the subsequent provisions of this section) be computed for the purposes of this Part of this Act in accordance with whichever of the following paragraphs is' applicable, that is to say:— (a) if the said trade or business has been so carried on for three or more complete accounting years ending on or before the 5th day of April, 1939, the standard profits of such individual shall be the amount of his profits from the said trade or business for one (to be selected by him or (in default of such selection) by the Revenue Commissioners) of the last three accounting years so ending or the sum of two thousand five hundred pounds, whichever is the greater; (b) if the said trade or business has been so carried on for two but not for three complete accounting years ending on or before the 5th day of April, 1939, the standard profits of such individual shall be the amount of his profits from the said trade or business for one (to be selected by him or (in default of such selection) by the Revenue Commissioners) of those two accounting years or the sum of two thousand five hundred pounds, whichever is the greater; (c) if the said trade or business has been so carried on for one complete accounting year ending on or before the 5th day of April, 1939, but not for two complete accounting years so ending, the standard profits of such individual shall be the amount of his profits from the said trade or business for that accounting year or the sum of two thousand five hundred pounds, whichever is the greater; (d) in any other case, the standard profits of such individual shall be the sum of two thousand five hundred pounds. (2) The standard profits of an individual from a trade or business to which this Part of this Act applies carried on by him during part only of the year beginning on the 6th day of April, 1941, either solely or in partnership with another person or other persons shall be such amount as bears to the amount which would be his standard profits under the other sub-sections of this section if he had so carried on the said trade or business during the whole of the said year the same proportion as the part of the said year during which he so carried on the said trade or business bears to twelve months. (3) The following provisions shall apply and have effect in relation to the computation of profits for the purposes of this section, that is to say:— (a) the amount of the profits of a trade or business for any accounting year shall be taken to be the actual profits derived from such trade or business in that accounting year computed in accordance with the Income Tax Acts, but with such allowance for wear and tear of plant and machinery (as computed for the purposes of income tax) as appears to the Revenue Commissioners to be reasonably and properly attributable to the said accounting year; (b) where a trade or business to which this Part of this Act applies was carried on by an individual (either solely or in partnership with another person or other persons) during the whole or any part of the year ending on the 5th day of April, 1942, and was so carried on by him for less than five consecutive years ending on the 5th day of April, 1941, and was, immediately prior to being so carried on by the said individual, carried on by another person or by two or more persons not including the said individual, the profits of the said trade or business while so carried on by such person or persons may, on the application of the said individual, be treated, for the purpose of calculating the standard profits of the said individual, as profits of the said individual if he so carried on the said trade or business as aforesaid solely or as profits of the said individual and his partner or partners if he so carried on the said trade or business as aforesaid in partnership with another person or other persons. (4) For the purposes of this section a partner shall be deemed always to have been entitled to share in the profits of the partnership in the proportion that his share of the profits of the partnership for the year beginning on the 6th day of April, 1941, bore to the total profits of the partnership for that year. Computation of standard total income. 8.—(1) The standard total income of an individual who has carried on during the whole of the year beginning on the 6th day of April, 1941, either solely or in partnership with another person or other persons, a trade or business to which this Part of this Act applies shall be computed for the purposes of this Part of this Act in accordance with whichever of the following paragraphs is applicable, that is to say:— (a) if such individual has, for three or more consecutive years ending on the 5th day of April, 1940, been in receipt of income chargeable to income tax, the standard total income of such individual shall be the amount of his total income for one (to be selected by him or (in default of such selection) by the Revenue Commissioners) of the last three of those years or the sum of two thousand five hundred pounds, whichever is the greater; (b) if such individual has, for two but not for three consecutive years ending on the 5th day of April, 1940, been in receipt of income chargeable to income tax, the standard total income of such individual shall be the amount of his total income for one (to be selected by him or (in default of such selection) by the Revenue Commissioners) of those two years or the sum of two thousand five hundred pounds, whichever is the greater; (c) if such individual has not been in receipt of income chargeable to income tax for two consecutive years ending on the 5th day of April, 1940, but has been in receipt of income chargeable to income tax for the year ending on the said 5th day of April, 1940, the standard total income of such individual shall be his total income for the said year ending on the 5th day of April, 1940, or the sum of two thousand five hundred pounds, whichever is the greater; (d) in any other case the standard total income of such individual shall be the sum of two thousand five hundred pounds. (2) The standard total income of an individual who by reason of his death has carried on during part only of the year beginning on the 6th day of April, 1941, either solely or in partnership with another person or other persons a trade or business to which this Part of this Act applies shall be such amount as bears to the amount which would be his standard total income under the foregoing sub-section of this section if he had so carried on the said trade or business during the whole of the said year the same proportion as the part of the said year during which he so carried on the said trade or business bears to twelve months. Relief from excess sur-tax in certain cases. 9.—(1) Where an individual is chargeable to excess sur-tax, the following provisions shall apply and have effect, that is to say:— (a) there shall be deemed to have been included in the total income from all sources of such individual for the year beginning on the 6th day of April, 1941, a sum (in this section referred to as the added sum) equal to whichever of the following amounts is the lesser, that is to say:— (i) an amount equal to the portion of the income of the said individual on which excess sur-tax is chargeable, or (ii) the amount of income from the profits of a trade or business to which this Part of this Act applies which would fall to be included in a statement of the total income from all sources of the said individual for the said year; (b) there shall be deducted from the excess sur-tax payable by the said individual a sum equal to whichever of the following sums is the lesser, that is to say:— (i) a sum equal to so much of the sur-tax (other than excess sur-tax), if any, payable by the said individual for the year beginning on the 6th day of April, 1941, as is applicable to the added sum, or (ii) a sum equal to five shillings in the pound on the added sum; (c) the added sum shall be treated for the purposes of this section as the highest part of the total income from all sources of the said individual. (2) The definition contained in this Part of this Act of the expression “total income” shall not apply or have effect in relation to that expression where it occurs in this section, and accordingly the said expression shall, in this section, be construed as if the said definition had not been enacted. (3) The provisions of this Part of this Act relating to the computation of profits shall not apply or have effect in relation to the computation of the profits of a trade or business for the purposes of this section. Provision for losses in certain cases. 10.—Where the net result of the carrying on of a trade or business to which this Part of this Act applies in the accounting year or the two or three accounting years by reference to the profits for which or for one of which (as the case may be) the standard profits of an individual from such trade or business are computed has been a loss, such loss shall, to the extent to which it exceeds the profits of such individual from the said trade or business for the accounting year next following the said accounting year or the last of the said two or three accounting years (as the case may be), be carried forward and, so far as it will extend, be deducted from or set-off against the profits of such individual from the said trade or business in respect of which he is chargeable with excess sur-tax. Computation of profits. 11.—(1) The profits from a trade or business to which this Part of this Act applies shall (save as is otherwise provided in this Part of this Act) be computed for the purposes of this Part of this Act without regard to the provisions of paragraph (3) of Rule 6 of the Rules applicable to Cases I and II of Schedule D of the Income Tax Act, 1918, or the provisions of section 14 of the Finance Act, 1929 (No. 32 of 1929). (2) The provisions of the foregoing sub-section of this section are, in this Part of this Act, referred to as the provisions of this Part of this Act relating to the computation of profits. PART III. Customs and Excise. Alteration of rates of duty on tobacco. 12.—(1) The duty of customs on tobacco imposed by section 20 of the Finance Act, 1932 (No. 20 of 1932), shall, in respect of tobacco imported on or after the 8th day of May, 1941, be charged, levied, and paid at the several rates specified in Part I of the First Schedule to this Act in lieu of the rates at which the said duty is now chargeable by virtue of section 4 of the Finance (No. 2) Act, 1939 (No. 33 of 1939). (2) The duty of excise on tobacco imposed by section 19 of the Finance Act, 1934 (No. 31 of 1934), shall, as on and from the 8th day of May, 1941, be charged, levied, and paid at the several rates specified in Part II of the First Schedule to this Act in lieu of the rates at which the said duty is now chargeable by virtue of section 4 of the Finance (No. 2) Act, 1939 (No. 33 of 1939). (3) Sub-sections (3) to (5) of the said section 19 of the Finance Act, 1934 , shall apply to tobacco which is chargeable with the duty of excise imposed by sub-section (1) of that section at a rate specified in Part II of the First Schedule to this Act, and for the purpose of such application references in the said sub-sections (3) to (5) of the said section 19 to Part I of the Sixth Schedule to the said Finance Act, 1934 , shall be construed and have effect as references to Part II of the First Schedule to this Act. Alteration of rates of duty on hydrocarbon oil. 13.—(1) The duty of customs imposed by section 21 of the Finance Act, 1935 (No. 28 of 1935), shall, in respect of hydrocarbon oil chargeable with that duty which is imported on or after the 8th day of May, 1941, be charged, levied, and paid at the rate of one shilling and three pence the gallon in lieu of the rate now chargeable by virtue of sub-section (1) of section 11 of the Finance Act, 1939 (No. 18 of 1939). (2) The rebate allowable under sub-section (2) of the said section 21 of the Finance Act, 1935 , shall, in respect of hydrocarbon oil on which such rebate is allowable and which is imported on or after the 8th day of May, 1941, be allowed at the rate of one shilling and three pence the gallon in lieu of the rate now allowable by virtue of sub-section (2) of the said section 11 of the Finance Act, 1939 . (3) The duty of excise imposed by the said section 21 of the Finance Act, 1935 , shall, in respect of hydrocarbon oil chargeable with that duty which is sent out, on or for sale or otherwise, from the premises of the manufacturer thereof on or after the 8th day of May, 1941, or is used by such manufacturer on or after that date for any purpose other than the manufacture or production of hydrocarbon oil, be charged, levied, and paid at the rate of one shilling and one penny the gallon in lieu of the rate now chargeable by virtue of sub-section (3) of the said section 11 of the Finance Act, 1939 . (4) The rebate allowable under sub-section (4) of the said section 21 of the Finance Act, 1935 , shall, in respect of hydrocarbon oil on which such rebate is allowable and on which the excise duty mentioned in the next preceding sub-section of this section was paid at the rate of one shilling and one penny the gallon, be allowed at the rate of one shilling and one penny the gallon in lieu of the rate now allowable by virtue of sub-section (4) of the said section 11 of the Finance Act, 1939 . Alteration of rates of duty on mineral hydrocarbon light oil. 14.—(1) The duty of customs imposed by section 1 of the Finance (Customs Duties) (No. 4) Act, 1931 (No. 43 of 1931), as amended by subsequent enactments, shall, in respect of mineral hydrocarbon light oil chargeable with that duty which is imported on or after the 8th day of May, 1941, be charged, levied, and paid at the rate of one shilling and three pence the gallon in lieu of the rate now chargeable by virtue of sub-section (1) of section 10 of the Finance Act, 1939 (No. 18 of 1939). (2) The duty of excise imposed by section 1 of the Finance (Miscellaneous Provisions) Act, 1935 (No. 7 of 1935), as amended by subsequent enactments, shall, in respect of mineral hydrocarbon light oil chargeable with that duty which is sent out, on or for sale or otherwise, from the premises of the manufacturer thereof on or after the 8th day of May, 1941, or is used by such manufacturer on or after that date for any purpose other than the manufacture or production of mineral hydrocarbon oil, be charged, levied, and paid at the rate of one shilling and one penny the gallon in lieu of the rate now chargeable by virtue of sub-section (2) of section 10 of the Finance Act, 1939 (No. 18 of 1939). Alteration of rates of duties on matches. 15.—(1) In lieu of the present duty of customs in respect of matches, there shall be charged, levied, and paid on all matches imported on or after the 8th day of May, 1941, a duty of customs at the several rates specified in Part I of the Second Schedule to this Act. (2) In lieu of the present duty of excise in respect of matches, there shall be charged, levied, and paid as on and from the 8th day of May, 1941, on all matches made in the State a duty of excise at the several rates specified in Part II of the Second Schedule to this Act. Exemption of certain tractors from motor car duty. 16.—Neither the duty imposed by section 11 of the Finance Act, 1928 (No. 11 of 1928), nor the motor car duty imposed by section 12 of the Finance Act, 1934 (No. 31 of 1934), shall be charged or levied on any motor tractor (within the meaning of the said section 12) imported on or after the 8th day of May, 1941, which is, in the opinion of the Revenue Commissioners, designed and constructed for use for agricultural purposes or on any article so imported which is, in the opinion aforesaid, a component part or an accessory of a motor tractor (within the meaning of the said section 12) designed and constructed as aforesaid. Exemption of certain tractors from steam car duty. 17.—The steam car duty imposed by section 13 of the Finance Act, 1934 (No. 31 of 1934), shall not be charged or levied on any steam tractor (within the meaning of the said section 13) imported on or after the 8th day of May, 1941, which is, in the opinion of the Revenue Commissioners, designed and constructed for use for agricultural purposes or on any article so imported which is, in the opinion aforesaid, a component part or an accessory of a steam tractor (within the meaning of the said section 13) designed and constructed as aforesaid. Increase of rate of duty on bets. 18.—The duty on bets imposed by section 24 of the Finance Act, 1926 (No. 35 of 1926), shall (subject and without prejudice to the provisions of section 20 of the Finance Act, 1931 (No. 31, of 1931) ) be charged, levied, and paid on bets entered into on or after the 1st day of July, 1941, at the rate of seven and one-half per cent. of the amount of the bet in lieu of the rate of five per cent. mentioned in the said section 24. Exemption from excise duty on mineral hydrocarbon light oil. 19.—(1) The duty of excise imposed by section 1 of the Finance (Miscellaneous Provisions) Act, 1935 (No. 7 of 1935), as amended by subsequent enactments, shall not be charged or levied on any mineral hydrocarbon light oil in respect of which it is shown, to the satisfaction of the Revenue Commissioners, that such oil is not of the character of petrol and is not a blend of petrol with another article or other articles and is intended for use in internal combustion engines as a substitute for petrol. (2) This section shall have and be deemed to have had effect as on and from the 1st day of January, 1941. Amendment of section 21 of the Finance Act, 1936. 20.—For the purposes of section 21 of the Finance Act, 1936 (No. 31 of 1936), an air service between an airport in the State and an airport in Spain, Portugal, or the continent of Africa shall be deemed to be and always to have been a transatlantic air service. Repayment in certain cases of excise duty on mechanically propelled vehicles. 21.—(1) In this section— the expression “the Minister” means the Minister for Local Government and Public Health; the word “licence” means a licence taken out, either before or after the passing of this Act, under section 13 of the Finance Act, 1920 , in respect of a mechanically propelled vehicle; the expression “restricted period” means any period commencing on a date after the 31st day of December, 1940, (whether such period is wholly before, or partly before and partly after, or wholly after the passing of this Act) during which, in the opinion of the Minister, the use of mechanically propelled vehicles is restricted by reason of a general scarcity of petrol. (2) Where the period in respect of which a licence is taken out is the same as or includes the whole or part of a restricted period, the Minister, if he so thinks proper and subject to such conditions (if any) as he may think fit to impose, may, with the consent (given either generally or in respect of any particular case) of the Minister for Finance, make a repayment of the whole or part of the duty paid upon such licence. (3) Every repayment of the whole or part of the duty paid upon a licence taken out in respect of a period expiring not earlier than the 24th day of March, 1941, which was made by the Minister before the passing of this Act shall be and be deemed always to have been a proper repayment. (4) Where, as a condition of obtaining a repayment under this section, a surrender is made of any licence, such licence shall cease to have effect upon such surrender. (5) This section shall continue in force so long as the Emergency Powers Act, 1939 (No. 28 of 1939), continues in force and shall then expire. Relief from excise duty in respect of trailer drawn by mechanically propelled vehicle where goods conveyed consist of turf. 22.—(1) Where— (a) a mechanically propelled vehicle is a vehicle on which excise duty is payable under section 13 of the Finance Act, 1920 , at a rate mentioned in paragraph 5 of the Third Schedule to the Finance Act, 1926 (No. 35 of 1926), and (b) such vehicle is used for drawing a trailer, and (c) while so used, the goods conveyed by such vehicle and trailer consist solely of turf, the additional duty in respect of a vehicle used for drawing a trailer referred to in the said paragraph 5 shall not be charged or levied on such vehicle in respect of the use thereof for drawing such trailer. (2) This section shall continue in force so long as the Emergency Powers Act, 1939 (No. 28 of 1939), continues in force and shall then expire. Relief from excise duty in respect of trailer drawn by mechanically propelled vehicle where trailer used for conveying petrol substitute or apparatus for making petrol substitute. 23.—(1) Where— (a) a mechanically propelled vehicle, designed for using petrol as its fuel, is a vehicle on which excise duty is payable under section 13 of the Finance Act, 1920 , at a rate mentioned in paragraph 5 of the Third Schedule to the Finance Act, 1926 (No. 35 of 1926), and (b) such vehicle is used for drawing a trailer, and (c) such trailer, while being so drawn, is used solely for conveying, for the propulsion of such vehicle, a substitute for petrol or apparatus for making a substitute for petrol, the additional duty in respect of a vehicle used for drawing a trailer referred to in the said paragraph 5 shall not be charged or levied on such vehicle in respect of the use thereof for drawing such trailer. (2) This section shall continue in force so long as the Emergency Powers Act, 1939 (No. 28 of 1939), continues in force and shall then expire. Relief from excise duty on mechanically propelled vehicle canteens. 24.—(1) The excise duty chargeable under section 13 of the Finance Act, 1920 , as amended by section 20 of the Finance Act, 1926 (No. 35 of 1926), shall not be charged or levied on any mechanically propelled vehicle which is a mobile canteen so long as— (a) this section is in force, and (b) such canteen is not conducted for the purpose of obtaining profit for any person concerned in the operation thereof, and (c) such canteen is operated solely for the conveyance, preparation and supply of food and other necessaries for or to persons for whom the obtaining of such food and necessaries has become impossible or difficult owing to circumstances referable to the war in which the United Kingdom of Great Britain and Northern Ireland is now engaged. (2) This section shall continue in force so long as the Emergency Powers Act, 1939 (No. 28 of 1939), continues in force and shall then expire. Repayment in certain cases of fees on licences on petrol pumps. 25.—(1) In this section— the expression “the final date” means the date when the Emergency Powers Act, 1939 (No. 28 of 1939), ceases to be in force; the expression “petrol pump” has the same meaning as it has in section 35 of the Local Government Act, 1925 (No. 5 of 1925); the word “licence” means a licence under the said section 35; the expression “appropriate authority” means the authority which issued a licence; the expression “the terminating date” when used in relation to a petrol pump which has been taken over or sealed up in the manner specified in sub-section (2) of this section means the date when such petrol pump ceases to be so taken over or sealed up; (2) Where, after the 31st day of March, 1941, and before the passing of this Act or after such passing and before the final date, a petrol pump in respect of which a licence is in force either— (a) is taken over by the Minister for Defence under any order made before or after the passing of this Act under the Emergency Powers Act, 1939 (No. 28 of 1939), or (b) is, on the application of the holder of such licence, sealed up by the appropriate authority in such manner as to prevent such pump being used for supplying motor spirit, the holder of such licence may surrender it to the appropriate authority and shall thereupon be repaid such part of the fee paid on the grant of such licence as bears to the whole of such fee the same proportion as the unexpired part of the period of validity of such licence bears to the whole of that period. (3) A licence surrendered under this section shall cease to have effect upon such surrender. (4) Where a licence is surrendered under this section, the petrol pump to which it relates may be maintained without a licence until the terminating date or the final date (whichever first occurs). (5) Where, after the 31st day of March, 1941, and before the passing of this Act, the period of validity of a licence expired and immediately before such expiry the petrol pump to which such licence related remained taken over or sealed in the manner specified in sub-section (2) of this section, it shall be deemed to have been lawful to maintain such pump without a licence from the time of such expiry until the passing of this Act or, where the terminating date occurred before the passing of this Act, the terminating date. (6) Where by virtue of the immediately preceding sub-section of this section the maintenance of a petrol pump until the passing of this Act is deemed to have been lawful, such pump may be maintained after the passing of this Act without a licence until the terminating date or the final date (whichever first occurs). (7) Where, after the passing of this Act, the period of validity of a licence expires and immediately before such expiry the petrol pump to which the licence related remained taken over or sealed in the manner specified in sub-section (2) of this section, such pump may be maintained without a licence until the terminating date or the final date (whichever first occurs). Increase of penalty in case of failure to pay dog duty. 26.— Section 18 of the Finance Act, 1927 (No. 18 of 1927), is hereby repealed and in lieu thereof it is hereby enacted that any person guilty of an offence under section 37 of the Finance Act, 1925 (No. 28 of 1925), shall be liable on summary conviction thereof to an excise penalty of two pounds. PART IV. Death Duties. Definitions in respect of this Part of this Act. 27.—In this Part of this Act— the word “disposition” includes any trust, covenant, agreement, or arrangement, whether made by a single operation or by associated operations; the word “annuity” includes any series of payments, whether inter-connected or not so connected and whether of the same or of varying amounts and whether payable at regular intervals or not so payable; references to an annuity or other interest limited to cease on a death shall be construed as also referring to an annuity or other interest subject to a limitation (in whatsoever form) having the effect of providing in the alternative for the cesser of such annuity or interest on a death or on the occurence of some event or expiration of some period before such death; the expression “associated operations” means operations (whether effected by the same person or by different persons and whether connected otherwise than as hereinafter mentioned or not so connected and whether contemporaneous or not contemporaneous) which are— (a) operations affecting the same property, or (b) operations one of which affects some property and the other or others of which affect property representing (directly or indirectly) that property or income arising from that property or accumulations of such income, or (c) two operations of which one is effected with reference to the other or with a view to enabling such other to be effected or to facilitating the effecting of such other and any third operation having a like relation to either of the said two operations, and any fourth operation having a like relation to any of those three operations, and so on; the word “payment” includes a transfer of property and also a set-off or release of an obligation; references to the amount of a payment shall be construed as including references to the value of property transferred and to the value of an obligation set-off or released. Alteration of rates of estate duty. 28.—In the case of persons dying after the 7th day of May, 1941, the scale set out in the Third Schedule to this Act shall be, and shall have effect as, the scale of rates of estate duty in lieu of the scale set out in the Second Schedule to the Finance Act, 1931 (No. 31 of 1931), as modified by section 8 of the Finance (No. 2) Act, 1939 (No. 33 of 1939). Effect of increase of rates on certain sales and mortgages. 29.—(1) Where an interest in expectancy within the meaning of Part I of the Finance Act, 1894 , in any property (other than property deemed, by virtue of section 26 of the Finance Act, 1931 (No. 31 of 1931), as amended by sections 29 and 30 of the Finance Act, 1934 (No. 31 of 1934), to pass on a death occurring before the 8th day of May, 1941) has, whether before or after the passing of this Act, been bona fide sold or mortgaged for full consideration in money or money's worth and the rates of estate duty having effect in the case of a person dying when the said interest falls into possession are higher than the rates of estate duty having effect in the case of a person dying on the date of the said sale or mortgage, the following provisions shall have effect, that is to say:— (a) no other estate duty shall be payable on the said property by the purchaser or mortgagee when the said interest falls into possession than would have been payable by him if the rates of estate duty having effect in the case of a person dying on the date of the said sale or mortgage were the rates of estate duty having effect in the case of a person dying when the said interest falls into possession; (b) in the case of any such mortgage as aforesaid, any higher estate duty payable by the mortgagor shall rank as a charge subsequent to the said mortgage. (2) This section shall have effect only in respect of interests in expectancy which fell or shall fall into possession after the 7th day of May, 1941. Disposition or determination of life interests etc. 30.—(1) Subject to the subsequent provisions of this section, where an interest in property limited to cease on a death has, after it has become an interest in possession, been disposed of or has determined (whether by surrender, assurance, divesting, forfeiture or any other means except the expiration of a fixed period at the expiration whereof such interest was limited to cease) either wholly or partly and either for valuable consideration or otherwise, whichever of the following provisions is applicable shall apply and have effect, that is to say:— (a) if in the absence of such disposition or determination the whole of the said property would, by virtue of section 1 of the Finance Act, 1894 , have passed on the said death on which it was limited to cease, then and in such case the whole of the said property shall be deemed by virtue of this section to be included in the property passing on the said death, or (b) if in the absence of such disposition or determination the said property would, by virtue of paragraph (b) of sub-section (1) of section 2 of the Finance Act, 1894 , have passed to a particular or limited extent on the said death on which it was limited to cease, then and in such case the said property shall be deemed by virtue of this section to be included to that particular or limited extent in the property passing on the said death. (2) The foregoing sub-section of this section shall not apply or have effect if the disposition or determination mentioned in that sub-section was bona fide effected or suffered for public or charitable purposes one year or more before the death or was bona fide effected or suffered for any other purpose three years or more before the death and either— (a) bona fide possession and enjoyment of the property in which the interest the subject of such disposition or determination subsisted was, immediately after such disposition or determination, assumed by the person who became entitled thereto by virtue of or upon such disposition or determination and was thenceforward retained by that person to the entire exclusion of the person previously entitled to the said interest and the exclusion of any benefit to him by contract or otherwise, or (b) the said disposition or determination was only partial and the provisions of the next preceding paragraph of this sub-section are not fully complied with by reason only of the retention by the said person previously entitled to the said interest of some part of the property or some benefit by virtue of the instrument creating or conferring on him the said interest. (3) Nothing contained in the next preceding sub-section of this section shall prejudice or affect any charge of estate duty arising otherwise than by virtue of sub-section (1) of this section. (4) In the application of sub-section (1) of this section to a case in which an incumbrance on the property in which the interest mentioned in that sub-section subsisted has been created by associated operations which included a disposition of the said interest, the following provisions shall have effect, that is to say:— (a) where such incumbrance was created for consideration in money or money's worth which was applied wholly or partly for purposes calculated to maintain or increase the value of the said property, references in the said sub-section (1) to the said property shall be construed as referring to that property with and subject to the said incumbrance to the extent to which the consideration therefor was so applied; (b) save as provided by the foregoing paragraph, references in the said sub-section (1) to the said property shall be construed as referring to that property free from the said incumbrance. (5) In sub-section (3) of section 59 of the Finance (1909-10) Act, 1910 , the words “property taken under such a disposition or affected by such a surrender, assurance, divesting, or disposition as aforesaid” shall be construed as including property affected by any such disposition or determination as is mentioned in sub-section (1) of this section, and the said words shall have effect accordingly and the subsequent words “disposition, surrender, assurance, or divesting” in the said sub-section shall be construed as including any such disposition or determination as is mentioned in the said sub-section (1), and the words “this section” shall be construed as including this present, section. (6) This section shall not operate in respect of any such surrender, assurance, divesting, or disposition as is mentioned in paragraph (c) of the proviso to section 14 of the Finance Act, 1914, so as to make any estate duty payable which would not have been payable but for that section. (7) This section shall have effect only in relation to persons dying after the 7th day of May, 1941. Purchases of annuities, etc., from relatives. 31.—(1) Where a person (in this sub-section referred to as the deceased) who dies after the 7th day of May, 1941, has made (whether before or after the passing of this Act) a disposition of property in favour of a relative, the creation or disposition in favour of the deceased of an annuity or other interest limited to cease on the death of the deceased or of any other person shall not be treated for the purposes of either section 3 of the Finance Act, 1894 , or of sub-section (1) of section 7 of that Act as consideration for the said disposition so made by the deceased. (2) Where a person (in this sub-section referred to as the deceased) who dies after the 7th day of May, 1941, has made (whether before or after the passing of this Act) a disposition of property in favour of a company to which this section applies, the creation or disposition in favour of the deceased of an annuity or other interest limited to cease on the death of the deceased or of any other person shall not be treated for the purposes of either section 3 of the Finance Act, 1894 , or of sub-section (1) of section 7 of that Act as consideration for the said disposition so made by the deceased, unless it is shown to the satisfaction of the Revenue Commissioners that no relative of the deceased was, when the said disposition was so made or at any subsequent time during the life of the deceased, a member of either the said company or another company to which this section applies which is itself a member of the said company. (3) Where, in a case to which one of the foregoing sub-sections of this section applies, there have been associated operations effected either with reference to the receiving by the person referred to in that sub-section as the deceased of any payment in respect of such annuity or other interest as is mentioned in the said sub-section or effected with a view to enabling the said person to receive or to facilitating the receipt by him of any such payment, the said sub-section shall have the same effect in relation to each of those associated operations as it is expressed to have in relation to the creation or disposition in favour of the said person of the said annuity or other interest. (4) For the purposes of this section the following persons and no other person shall be relatives of another person, that is to say:— (a) the wife or husband of that other person, and (b) the father, mother, children (whether legitimate or illegitimate), uncles, and aunts of the said other person, and (c) the issue (including illegitimate children) of any person who is, by virtue of either of the foregoing paragraphs of this sub-section, a relative of the said other person, and (d) the wife or husband of a person who is, by virtue of either the foregoing paragraph (b) or the foregoing paragraph (c), a relative of the said other person. (5) In this section the expression “company to which this section applies” means a body corporate (wherever incorporated) which, by its articles or otherwise, restricts the right to transfer its stock or shares, and limits the number of its members (exclusive of persons in its employment) to fifty, and prohibits any invitation to the public to subscribe for any of its stocks, shares, debentures, or debenture stock (6) Where two or more persons hold stock or shares in a company jointly, they shall, for the purposes of the definition contained in the next preceding sub-section of this section, be deemed to be a single member of such company. Gifts by way of creation of burdens or release of right. 32.—(1) The creation (whether before or after the passing of this Act) by a person or with his consent of a debt or other right enforceable against him personally or against property which he is or may become competent to dispose of, charge, or burden for his own benefit shall be deemed for the purposes of the enactments relating to estate duty (including this Part of this Act) to be a disposition made by that person, and in every such enactment the word “property” shall, in relation to any such disposition, be construed as including the debt or right so created. (2) The extinguishment (whether before or after the passing of this Act) at the expense of a person of a debt or other right shall be deemed for the purposes of the enactments relating to estate duty (including this Part of this Act) to be a disposition made by that person in favour of the person for whose benefit the said debt or right is so extinguished, and in every such enactment the word “property” shall be construed as including the benefit conferred by the extinguishment of the said debt or right. (3) The proviso to section 4 of the Finance Act, 1894 (which excepts from aggregation property in which the deceased never had an interest) shall not have effect in relation to property passing on the death of the deceased which consists of a debt, right, or benefit which is, by virtue of this section, to be included in the connotation of the word “property” in the enactments (including as hereinbefore mentioned) relating to estate duty. (4) This section shall have effect only in relation to persons dying after the 7th day of May, 1941. Construction of references to an interest limited to cease on a death. 33.—References in the enactments relating to estate duty to an interest limited to cease on a death shall be construed as also referring to an interest subject to a limitation (in whatsoever form) having the effect of providing in the alternative for the cesser of such interest on a death or on the occurrence of some event or expiration of some period before such death. PART V. Corporation Profits Tax. Definitions in this Part of this Act. 34.—In this Part of this Act— the expression “fixed rate”, when used in relation to a dividend, includes a rate varying with variations in the standard rate of income tax; references to the preference stock or shares of a company shall be construed as referring to all the issued stock or share capital of the company which carries a right to dividends at a fixed rate payable in priority to all dividends on another part of the capital of the company, whether it does or does not carry a right to some further participation in the profits of the company; references to the ordinary stock or shares of a company shall be construed as referring to all the issued capital of the company except the preference stock or shares of the company; references to the debentures or debenture stock of a company shall be construed as referring only to debentures or debenture stock issued in consideration of the payment of money; the expression “trade year” means a period of twelve months ending either on the date which is the relevant date for the company in relation to which the said expression is used or on a date which is twelve months or a multiple of twelve months prior to that date; the expression “relevant date” in the next preceding definition means, in relation to any company, the date in the year ended on the 31st day of August, 1939, to which the accounts of such company were last made up or, if the accounts of such company were not made up to any date in the said year, such date in that year as the Revenue Commissioners shall determine to be the relevant date for such company. Amendments of enactments relating to corporation profits tax. 35.—(1) Paragraphs (c), (d), and (e) of sub-section (1) of section 47 of the Finance Act, 1932 (No. 20 of 1932), shall not apply or have effect in respect of any accounting period ending on or after the 1st day of January, 1941, and in lieu thereof the following provisions shall (subject to the next following section) apply and have effect in respect of every accounting period so ending, that is to say:— (a) sub-section (1) of section 52 of the Finance Act, 1920 , shall be construed and have effect as if for the words “five per cent.” contained therein there were substituted the words “ten per cent.”; (b) section 31 of the Finance Act, 1928 (No. 11 of 1928), shall be construed and have effect as if for the words “seven and one-half per cent.” contained therein there were substituted the words “twelve and one-half per cent.”; (c) sub-section (2) of section 30 of the Finance Act, 1926 (No. 35 of 1926), shall not apply and in lieu thereof sub-section (2) of section 45 of the Finance Act, 1925 (No. 28 of 1925), shall apply and accordingly the proviso to sub-section (1) of section 52 of the Finance Act, 1920 , shall be construed and have effect as if for the words “five hundred pounds” wherever those words occur in that paragraph there were substituted the words “two thousand five hundred pounds”. (2) The following provisions shall apply and have effect in respect of every accounting period ending on or after the 1st day of January, 1941, that is to say:— (a) paragraph (b) of the proviso to sub-section (1) of section 52 of the Finance Act, 1920 , shall be construed and have effect as if for the words “ten per cent.” now contained therein there were substituted the words “fifteen per cent.”; (b) sub-section (4) of section 56 of the Finance Act, 1920 (as adapted by or under subsequent enactments) shall be construed and have effect as if the words “six years after the end of the accounting period or part of an accounting period” were substituted for the words “three years after the end of the accounting period” now contained therein. Provisions in respect of certain accounting periods. 36.—(1) Paragraph (g) of the proviso to sub-section (2) of section 53 of the Finance Act, 1920 , shall not apply or have effect in relation to the ascertainment of profits in an accounting period ending on or after the 1st day of April, 1939. (2) The following provisions shall apply and have effect in respect of every accounting period (in this sub-section referred to as the said accounting period) which began before and ended on or after the …