Financial Provisions (Covid-19) (No. 2) Act 2020

Financial Provisions (Covid-19) (No. 2) Act 2020 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 2020 Financial Provisions (Covid-19) (No. 2) Act 2020 Financial Provisions (Covid-19) (No. 2) Act 2020 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 Open PDFOscail PDF Print Full ActPriontáil an tAcht Iomlán Number 8 of 2020 FINANCIAL PROVISIONS (COVID-19) (NO. 2) ACT 2020 CONTENTS 1. Definitions 2. Amendment of Part 7 of Act of 2020 3. Covid-19: special warehousing and interest provisions (income tax and universal social charge) 4. Covid-19: special warehousing and interest provisions (value-added tax) 5. Covid-19: special warehousing and interest provisions (contributions) 6. Interest on overdue tax - supplementary provision 7. Stay and spend tax credit 8. Amendment of section 477C of Act of 1997 9. Amendment of section 118 of Act of 1997 10. Covid-19 losses 11. Accelerated loss relief for certain accounting periods 12. Amendment of section 46 of Act of 2010 13. Short title Acts Referred to Bankruptcy Act 1988 (No. 27) Capital Acquisitions Tax Consolidation Act 2003 (No. 1) Child Care Act 1991 (No. 17) Companies Act 2014 (No. 38) Customs Act 2015 (No. 18) Emergency Measures in the Public Interest (Covid-19) Act 2020 (No. 2) Finance (Local Property Tax) Act 2012 (No. 52) Finance Act 2001 (No. 7) Health Act 1947 (No. 28) Public Health (Alcohol) Act 2018 (No. 24) Social Welfare Consolidation Act 2005 (No. 26) Stamp Duties Consolidation Act 1999 (No. 31) Taxes Consolidation Act 1997 (No. 39) Tourist Traffic Act 1939 (No. 24) Tourist Traffic Act 1957 (No. 27) Value-Added Tax Consolidation Act 2010 (No. 31) Number 8 of 2020 FINANCIAL PROVISIONS (COVID-19) (NO. 2) ACT 2020 An Act to provide for the imposition, repeal, remission, alteration and regulation of taxation; to otherwise make further provision in connection with finance; to amend Part 7 of the Emergency Measures in the Public Interest (Covid-19) Act 2020 and otherwise make provision for supports to employers; and to provide for related matters. [1st August, 2020] Be it enacted by the Oireachtas as follows: Definitions 1. In this Act— “Act of 1997” means the Taxes Consolidation Act 1997 ; “Act of 2010” means the Value-Added Tax Consolidation Act 2010 ; “Act of 2020” means the Emergency Measures in the Public Interest (Covid-19) Act 2020 . Amendment of Part 7 of Act of 2020 2. (1) Section 28 of the Act of 2020 is amended— (a) in subsection (1)— (i) by substituting the following for the definition of “applicable period”: “ ‘applicable period’ means the period commencing on 26 March 2020 and ending on 31 August 2020;”, and (ii) by substituting the following for the definition of “specified employee”: “ ‘specified employee’, in relation to an employer, means— (a) an individual who was on the payroll of the employer as at 29 February 2020, and the following is the case, the employer— (i) has submitted to the Revenue Commissioners a notification or notifications of the payment of emoluments to the employee in February 2020 in accordance with Regulation 10 of the Regulations, and (ii) has submitted the return required under section 985G of the Act for the month of February 2020 on or before the return date (within the meaning of section 983 of the Act) for that month; or (b) an individual to whom subsection (1A) applies;”, (b) by inserting the following subsection after subsection (1): “(1A) This subsection applies to an individual who returns to work with his or her employer on or after 1 March 2020— (a) following a period of absence for which the individual was in receipt of maternity benefit, adoptive benefit, paternity benefit, parental benefit, health and safety benefit, parent’s benefit or illness benefit payable under the Social Welfare Acts, or a period of unpaid absence following on from and related to any such absence as aforesaid, or (b) having been on an apprenticeship and training course administered by An tSeirbhís Oideachais Leanúnaigh agus Scileanna in February 2020.”, (c) in subsection (4), by substituting “The conditions referred to in subsection (2)(c) are that, on or before 31 July 2020” for “The conditions referred to in subsection (2)(c) are”, (d) in subsection (6)(d), by substituting “85 per cent” for “70 per cent”, and (e) by deleting subsection (20). (2) Part 7 of the Act of 2020 is amended by inserting the following sections after section 28: “Objectives of section 28B, purposes for which its provisions are enacted and certain duty of Minister for Finance respecting those provisions’ operation 28A. (1) The objectives of section 28B are to provide— (a) the necessary stimulus to the economy so as to mitigate the effects, on the economy, of Covid-19, and (b) if, as of 1 January 2021, no agreement stands entered into between the European Union and the United Kingdom (with respect to the future relations between them on the relevant matters), to mitigate the effects on the economy which are apprehended may arise therefrom. (2) In subsection (1) ‘relevant matters’ means the matters described in Part II of the Political declaration setting out the framework for the future relationship between the European Union and the United Kingdom1 (3) The purposes for which the several provisions of section 28B (in this section referred to as the ‘wage subsidy scheme’) are, in furtherance of the foregoing objectives, enacted are: (a) in addition to the provision of basic mechanisms to fulfil those objectives, to ensure the efficient use of the wage subsidy scheme so as to minimise the cost to the Exchequer of the scheme (so far as consistent with fulfilment of those objectives); (b) to avoid, where possible, allocation of resources to sectors of the economy that are not in need of direct stimulus by means of the wage subsidy scheme (and which sectors may reasonably be expected to be restored to financial viability and an eventual growth path by the indirect effects of the scheme); (c) to protect the public finances through mechanisms for the discontinuance of one or more of the payments under the wage subsidy scheme (or for their variation) in defined circumstances; (d) to take account of the need to reflect changes in the circumstances of individuals who, as employees, are individuals in respect of whom payments under the wage subsidy scheme are being made, in cases where such individuals avail themselves of other financial supports provided by the State; (e) to have regard to the importance of maintaining the provision of child care facilities so as to enable parents to continue in, or to take up, positions of employment; (f) to take account of changes in the State’s economic circumstances and the demands on its financial resources which may occur in the remainder of the current financial year and thereafter. (4) It shall be the duty of the Minister for Finance to monitor and superintend the administration of the wage subsidy scheme (but this subsection does not derogate from the function of care and management conferred on the Revenue Commissioners by section 28B(19)). (5) Without prejudice to the generality of subsection (4), the Minister for Finance shall cause an assessment, at such intervals as he or she considers appropriate but no less frequently than every 2 months beginning with the passing of the Financial Provisions (Covid-19)(No. 2) Act 2020, of the following, and any other relevant matters, to be made— (a) up-to-date data from the register commonly referred to as the ‘Live Register’ and data related to that register supplied to the Department of Finance by the Department of Business, Jobs and Innovation (whether data compiled by that last-mentioned Department of State from its own sources or those available to it from sources maintained elsewhere in the Public Service), (b) up-to-date data compiled by the Department of Finance relating to the State’s receipts and expenditure, (c) such other data as the Minister may consider relevant in relation to the impact from, and effects of, Covid-19 or the fact (should that be so) of there not being an agreement of the kind referred to in subsection (1)(b), and, if the following is commissioned, by reference to an assessment, on economic grounds, of the wage subsidy scheme that may be commissioned by the Minister for Finance and any opinion as to the sustainability of the scheme expressed therein. (6) Following an assessment under subsection (5), it shall be the duty of the Minister for Finance, after consultation with the Minister for Public Expenditure and Reform and the Minister for Employment Affairs and Social Protection, to determine whether it is necessary to exercise any or all of the powers under paragraphs (a) to (c) of subsection (21) of section 28B so, as appropriate, to— (a) fulfil, better, the objectives specified in subsection (1), or (b) facilitate the furtherance of any of the purposes specified in subsection (2), and, if the Minister for Finance determines that such is necessary, the powers under one, or more than one, as provided in that subsection (21), of those paragraphs (a) to (c) shall become and be exercisable by the Minister for Finance. Covid-19: employment wage subsidy scheme 28B. (1) In this section— ‘Act’ means the Taxes Consolidation Act 1997 ; ‘contribution week’ has the same meaning as it has in section 2 of the Social Welfare Consolidation Act 2005 ; ‘emoluments’, ‘employer’, ‘employee’ and ‘income tax month’ have the same meanings as they have in Chapter 4 of Part 42 of the Act; ‘gross pay’ has the same meaning as it has in the Regulations; ‘Minister’ means the Minister for Finance; ‘qualifying employee’, in relation to an employer, means— (a) an individual who, in relation to the employer, is or was a specified employee for the purposes of section 28, and (b) an individual, not being an individual to whom paragraph (a) applies, who is on the payroll of the employer at any time in the qualifying period and receives in that period a payment of emoluments from the employer, but does not include— (i) in any case where the employer is a company, an individual who is a proprietary director (within the meaning of section 472 of the Act) of the company, and (ii) in the case of paragraph (b), any individual who is connected with the employer other than where that individual had been on the payroll of the employer at any time in the period from 1 July 2019 to 30 June 2020 and had received in that period a payment of emoluments from the employer, and, for the purposes of this definition, the question of whether an individual is connected with any other person shall be determined in accordance with section 10 of the Act as it applies for the purposes of the Capital Gains Tax Acts; ‘qualifying period’ means the period commencing on 1 July 2020 and expiring on 31 March 2021 or on such later day than 31 March 2021 as the Minister may specify in an order made by him or her under subsection (21)(a); ‘Regulations’ means the Income Tax (Employments) Regulations 2018 ( S.I. No. 345 of 2018 ); ‘wage subsidy payment’ shall be construed in accordance with subsections (7), (8) and (21)(c). (2) Subject to subsections (4) and (5), this section shall apply to an employer where— (a) (i) in accordance with guidelines published by the Revenue Commissioners under subsection (20)(a), the employer demonstrates to the satisfaction of the Revenue Commissioners that, by reason of Covid-19 and the disruption that is being caused thereby to commerce— (I) there will occur in the period from 1 July 2020 to 31 December 2020 (in this subsection referred to as ‘the specified period’) at least a 30 per cent reduction, or such other percentage reduction as the Minister may specify in an order made by him or her under subsection (21)(b), in either the turnover of the employer’s business or in the customer orders being received by the employer by reference to the period from 1 July 2019 to 31 December 2019 (in this subsection referred to as ‘the corresponding period’), (II) in the case where the business of the employer has not operated for the whole of the corresponding period but the commencement of that business’s operation occurred no later than 1 November 2019, there will occur in the part of the specified period, which corresponds to the part of the corresponding period in which the business has operated, at least a 30 per cent reduction, or such other percentage reduction as the Minister may specify in an order made by him or her under subsection (21)(b), in either the turnover of the employer’s business or in the customer orders being received by the employer by reference to that part of the corresponding period, or (III) in the case where the commencement of the operation of the employer’s business occurred after 1 November 2019, the nature of the business is such that the turnover of the employer’s business or the customer orders being received by the employer in the specified period will be at least— (A) 30 per cent, or (B) such other percentage as the Minister may specify in an order made by him or her under subsection (21)(b), less than what that turnover or those customer orders, as the case may be, would otherwise have been had there been no disruption caused to the business by reason of Covid-19, or (ii) the employer’s name is entered in the register established and maintained under section 58C of the Child Care Act 1991 , and (b) the employer satisfies the conditions specified in subsection (3). (3) The conditions referred to in subsection (2)(b) are— (a) the employer has logged on to the online system of the Revenue Commissioners (in this section referred to as ‘ROS’) and applied on ROS to be registered as an employer to which this section applies, (b) having read the declaration referred to in ROS as the ‘Covid-19: Employment Wage Subsidy Scheme’ declaration, the employer has submitted that declaration to the Revenue Commissioners through ROS, (c) the employer has provided details of the employer’s bank account on ROS in the ‘Manage bank accounts’ and ‘Manage EFT’ fields, and (d) the employer is throughout the qualifying period eligible for a tax clearance certificate, within the meaning of section 1095 of the Act, to be issued to him or her. (4) Where on any date in the qualifying period the employer ceases to satisfy the condition specified in subsection (3)(d), the employer shall cease to be an employer to which this section applies as on and from that date. (5) Where, by virtue of subsection (2) (apart from paragraph (a)(ii) thereof), and subsection (3), an employer is an employer to which this section applies— (a) immediately upon the end of each income tax month (in this subsection referred to as ‘the relevant income tax month’) in the qualifying period, apart from July 2020 and the last such month, the employer shall review his or her business circumstances, and (b) if, based on the result of that review, it is manifest to the employer that the outcome referred to in clause (I), (II) or (III), as the case may be, of subsection (2)(a)(i) that had previously been envisaged would occur will not, in fact, now occur, then— (i) the employer shall immediately log on to ROS and declare that, from the first day of the income tax month following the relevant income tax month (in subparagraph (ii) referred to as ‘the relevant day’), the employer is no longer an employer to which this section applies, and (ii) on and from the relevant day, the employer shall not be an employer to which this section applies and shall not represent that his or her status is otherwise than as referred to in this subparagraph nor cause the Revenue Commissioners to believe it to be so otherwise. (6) (a) In this subsection, ‘authorised officer’ means an officer of the Revenue Commissioners authorised by them in writing to exercise the powers conferred by this subsection. (b) Where, upon making enquiries or on the basis of information already in the possession of the Revenue Commissioners, an authorised officer determines that it is reasonable to conclude that an employer, at any time in the qualifying period— (i) has, with respect to the operation of the employer’s payroll, in relation to the payment of emoluments to a qualifying employee, resorted to any contrivance by way of deferring, suspending, increasing or decreasing the gross pay that would otherwise have normally been paid to the qualifying employee, with a view to securing from the Revenue Commissioners a wage subsidy payment, or an increase in the amount of a wage subsidy payment, in relation to the qualifying employee, or (ii) other than for bona fide commercial reasons, has laid off and removed from the employer’s payroll a qualifying employee (in this subparagraph referred to as ‘the first-mentioned employee’) and replaced the first-mentioned employee with two or more qualifying employees each of whom work less hours than the first-mentioned employee, with a view to securing an increase in the number of qualifying employees in relation to whom a wage subsidy payment is payable from the Revenue Commissioners, the employer shall be deemed to have ceased to be, and to have never been, an employer to which this section applies in relation to any of its employees, and any wage subsidy payments that had been paid by the Revenue Commissioners to the employer in relation to those employees shall be refunded by the employer to the Revenue Commissioners. (c) Subsections (12), (13), (14) (apart from paragraph (b) thereof), (15) and (16) shall apply in relation to an amount that is required to be refunded by the employer in accordance with paragraph (b) as they apply in relation to an amount that is required to be refunded by an employer in accordance with subsection (11). (7) Subject to subsections (8) and (9), where this section applies to an employer, then, following the notification by the employer of the payment of emoluments to a qualifying employee in an income tax month in the qualifying period in accordance with Regulation 10 of the Regulations, the following provisions shall apply where such notification was received by the Revenue Commissioners no later than the return date (within the meaning of section 983 of the Act) for the income tax month: (a) the Revenue Commissioners shall pay to the employer in relation to the qualifying employee the amount (in this section referred to as a ‘wage subsidy payment’) specified in subsection (8); (b) the payment referred to in paragraph (a) shall be made by way of bank transfer to the bank account of the employer, the details of which have been provided in accordance with subsection (3)(c); (c) where, under paragraph (a), two or more payments are required to be made by the Revenue Commissioners to the employer in respect of an income tax month, whether in relation to one or more than one qualifying employee, all such payments under paragraph (a) may be aggregated by the Revenue Commissioners for the purposes of compliance with paragraph (b); (d) a payment or aggregate payment required under this subsection to be made by the Revenue Commissioners to the employer in respect of an income tax month in relation to a qualifying employee or qualifying employees shall be made by the Revenue Commissioners as soon as may be practicable after the return date (within the meaning of section 983 of the Act) for the income tax month concerned; (e) as respects the payment of the aforesaid emoluments to the qualifying employee, the employer shall treat the qualifying employee as falling within such class of Pay-Related Social Insurance for the purposes of the employer’s obligations under the Social Welfare Acts and the employer’s reporting obligations specified in Chapter 4 of Part 42 of the Act and the Regulations as the employer determines to be appropriate having regard to guidelines published by the Revenue Commissioners under subsection (20)(b); (f) the employer shall comply with any other direction of the Revenue Commissioners that, by virtue of this paragraph, they may reasonably give regarding the payment to the employer of a wage subsidy payment in relation to a qualifying employee in accordance with paragraph (a), being a direction that facilitates the effective administration of this section. (8) Subject to subsections (9) and (21)(c), the wage subsidy payment payable by the Revenue Commissioners to an employer in relation to a qualifying employee shall be— (a) in the case where the employer pays the qualifying employee gross pay of at least €151.50 per week but not more than €202. 99 per week, the sum of €151.50 per contribution week, (b) in the case where the employer pays the qualifying employee gross pay of not less than €203 per week but not more than €1,462 per week, the sum of €203 per contribution week, and, accordingly, neither in a case— (i) in which the employer pays gross pay of less than €151. 50 per week to a qualifying employee, nor (ii) in which the employer pays gross pay of more than €1,462 per week to a qualifying employee, shall there be paid by the Revenue Commissioners any wage subsidy payment to the employer in relation to that qualifying employee. (9) Where, following the notification by an employer of the payment of emoluments to any qualifying employee in the period from 1 July 2020 to 31 August 2020 in accordance with Regulation 10 of the Regulations, the employer would be entitled under section 28 to be paid a temporary wage subsidy (within the meaning of that section) by the Revenue Commissioners in relation to that qualifying employee, the employer shall not be entitled under this section to be paid a wage subsidy payment by the Revenue Commissioners in relation to that qualifying employee. (10) Notwithstanding any obligation imposed on the Revenue Commissioners under section 851A of the Act or any other enactment in relation to the confidentiality of taxpayer information (within the meaning of that section), the names and addresses of all employers to whom a wage subsidy payment has been paid by the Revenue Commissioners for an income tax month shall be published on the website of the Revenue Commissioners— (a) in a case in which wage subsidy payments are so paid in any of the income tax months July to December 2020, as soon as may be practicable in January 2021, and (b) in a case in which wage subsidy payments are so paid subsequent to the income tax month December 2020, as soon as may be practicable following the end of each relevant period (that is to say, firstly, the period beginning on 1 January 2020 and ending on 31 March 2020 and, then, each subsequent period of 3 months thereafter) in which wage subsidy payments were so paid. (11) Where the Revenue Commissioners have paid to an employer a wage subsidy payment in relation to an employee in accordance with subsection (7)(a) and it transpires that the employer was not entitled to receive such payment in relation to the employee, the wage subsidy payment so paid to the employer shall be refunded by the employer to the Revenue Commissioners. (12) An amount that is required to be refunded by an employer to the Revenue Commissioners in accordance with subsection (11) (in this section referred to as ‘relevant tax’) shall be treated as if it were income tax due and payable by the employer from the date the wage subsidy payment referred to in that subsection had been paid by the Revenue Commissioners to the employer and shall be so due and payable without the making of an assessment. (13) Notwithstanding subsection (12), where an officer of the Revenue Commissioners is satisfied there is an amount of relevant tax due to be paid by an employer which has not been paid, that officer may make an assessment on the employer to the best of the officer’s judgment, and any amount of relevant tax due under an assessment so made shall be due and payable from the date the wage subsidy payment referred to in subsection (11) had been paid by the Revenue Commissioners to the employer. (14) The provisions of the Income Tax Acts relating to— (a) assessments to income tax, (b) appeals against such assessments (including the rehearing of appeals and the statement of a case for the opinion of the High Court), and (c) the collection and recovery of income tax, shall, in so far as they are applicable, apply to the assessment, collection and recovery of relevant tax. (15) Any amount of relevant tax payable in accordance with this section shall carry interest at the rate of 0.0219 per cent for each day or part of a day from the date when the amount is due and payable. (16) Subsections (3) to (5) of section 1080 of the Act shall apply in relation to interest payable under subsection (15) as they apply in relation to interest payable under section 1080 of the Act. (17) A person shall, without prejudice to any other penalty to which the person may be liable, be guilty of an offence under this section if the person— (a) knowingly or wilfully delivers any incorrect return or statement, or knowingly or wilfully furnishes any incorrect information, in connection with the operation of subsection (2) or the eligibility for a wage subsidy payment in relation to any individual, or (b) knowingly aids, abets, assists, incites or induces another person to make or deliver knowingly or wilfully any incorrect return or statement, or knowingly or wilfully furnish any incorrect information, in connection with the operation of subsection (2) or the eligibility for a wage subsidy payment in relation to any individual, and the provisions of subsections (3) to (10) of section 1078, and section 1079, of the Act shall, with any necessary modifications, apply for the purposes of this subsection as they apply for the purposes of offences in relation to tax within the meaning of section 1078 of the Act. (18) Notwithstanding any obligation imposed on the Revenue Commissioners under section 851A of the Act or any other enactment in relation to the confidentiality of taxpayer information (within the meaning of that section) or any obligation imposed on the Minister for Employment Affairs and Social Protection under the Social Welfare Acts or any other enactment in relation to the confidentiality of information relating to employers and insured persons or other persons entitled to benefits or assistance under those Acts, information relevant to the effective operation of this section may be exchanged between the Minister for Employment Affairs and Social Protection and the Revenue Commissioners. (19) The administration of this section shall be under the care and management of the Revenue Commissioners and section 849 of the Act shall apply for this purpose with any necessary modifications as it applies in relation to tax within the meaning of that section. (20) The Revenue Commissioners shall prepare and publish guidelines with respect to— (a) the matters that are considered by them to be matters to which regard shall be had in determining whether a reduction, as referred to in subsection (2), will occur by reason of Covid-19 and the disruption that is being caused thereby to commerce, and (b) the matters to which an employer shall have regard in determining the appropriate class of Pay-Related Social Insurance to be operated by an employer in relation to a qualifying employee for the purposes of compliance by the employer with subsection (7)(e). (21) Where the Minister makes a determination of the kind lastly referred to in section 28A(6), the Minister shall, as he or she deems fit and necessary— (a) make an order that the day referred to in the definition of ‘qualifying period’ in subsection (1) as the day on which the period there referred to shall expire shall be such day as is later than 31 March 2021 (but not later than 30 June 2021) as the Minister considers appropriate and specifies in the order, (b) make an order that the percentage reduction specified in clauses (I) to (III) of subsection (2)(a)(i) shall be such percentage reduction, greater or lower than the percentage reduction specified in those clauses, as the Minister— (i) considers necessary to— (I) fulfil, better, the objectives specified in section 28A(1), or (II) facilitate the furtherance of any of the purposes specified in section 28A(2), and (ii) specifies in the order, or (c) make an order providing that an amount, being such amount as the Minister— (i) considers necessary to— (I) fulfil, better, the objectives specified in section 28A(1), or (II) facilitate the furtherance of any of the purposes specified in section 28A(2), and (ii) specifies in the order, shall stand substituted for an amount for the time being specified in subsection (8) (and which amount, so specified, is greater or lower, as the Minister considers necessary, than the amount concerned for the time being specified in subsection (8)) and references in this paragraph to the amount concerned for the time being specified in the foregoing subsection are references to the amount concerned for the time being specified in that subsection, as enacted, or in consequence of a previous order that has been made under this paragraph. (22) Where an order under paragraph (a), (b) or (c) of subsection (21) is proposed to be made, a draft of the order shall be laid before Dáil Éireann and the order shall not be made unless a resolution approving of the draft has been passed by that House. (23) (a) In so far as it relates to income tax, this section shall be construed together with the Income Tax Acts. (b) Subsection (7)(e), in so far as it relates to pay related social insurance, shall be construed together with the Social Welfare Acts.”. (3) (a) Subsection (1)(a)(ii) and (b) shall be deemed to have come into operation on 26 March 2020 and shall apply and have effect in relation to an employee as on and from the latest of that date, the date the employee’s employer has satisfied the conditions specified in section 28(4) of the Act of 2020 or the date of the employee’s return to work with the employer concerned. (b) Subsection (1)(c) shall be deemed to have come into operation on and from 24 July 2020. (c) Subsection (1)(d) shall be deemed to have come into operation on 4 May 2020, and shall apply and have effect as respects the payment of emoluments by an employer on payroll dates on or after that date, where the Revenue Commissioners have received the requisite payroll notification from the employer on or after that date. (d) Subsection (2) shall be deemed to have come into operation on and from 1 July 2020. (e) In this subsection “emoluments”, “employee” and “employer” have the same meanings as they have in section 28 of the Act of 2020. Covid-19: special warehousing and interest provisions (income tax and universal social charge) 3. The Act of 1997 is amended by inserting the following section after section 991A: “Covid-19: special warehousing and interest provisions 991B. (1) In this section— ‘the Acts’ means— (a) Parts 18C and 18D, (b) the Stamp Duties Consolidation Act 1999 and the enactments amending or extending that Act, (c) the Capital Acquisitions Tax Consolidation Act 2003 and the enactments amending or extending that Act, (d) the Value-Added Tax Consolidation Act 2010 and the enactments amending or extending that Act, (e) the Finance (Local Property Tax) Act 2012 and the enactments amending or extending that Act, (f) the Customs Act 2015 and the enactments amending or extending that Act, (g) the Capital Gains Tax Acts, (h) the Tax Acts, other than this section, (i) the statutes relating to the duties of excise and to the management of those duties, and (j) any instruments made under any of the enactments referred to in paragraphs (a) to (i); ‘Covid-19’ has the same meaning as it has in the Emergency Measures in the Public Interest (Covid-19) Act 2020 ; ‘Covid-19 liabilities’ means, subject to subsections (14) and (15), the following that an employer is required to pay in respect of income tax months in Period 1 to the Revenue Commissioners, namely— (a) income tax under this Chapter and any regulations made under this Chapter, and (b) universal social charge under Part 18D; ‘Period 1’, in relation to an employer, means the period— (a) beginning on the later of— (i) the first day of the income tax month immediately preceding the income tax month in which the employer’s business was first adversely affected by Covid-19, and (ii) 1 February 2020, and (b) ending on the last day of the taxable period next following the taxable period in which the recommencement date falls; ‘Period 2’, in relation to an employer, means the period— (a) beginning on the day next following the last day of Period 1, and (b) ending on— (i) the day that is the earlier of— (I) the day that is 12 months from the day first-mentioned in paragraph (a), and (II) 31 December 2022, or (ii) where the Minister for Finance makes an order for the purposes of this subparagraph, the day that is the earlier of— (I) the day specified in the order, and (II) 31 December 2022; ‘Period 3’, in relation to an employer, means the period— (a) beginning on the day next following the last day of Period 2, and (b) ending on the day on which the employer has discharged the Covid-19 liabilities in full; ‘recommencement date’, in relation to an employer, means the later of— (a) the day on which the employer’s business ceased to be subject to restrictions provided for in regulations made under sections 5 and 31A of the Health Act 1947 , and (b) where it is demonstrated to the satisfaction of the Revenue Commissioners that the business did not recommence on the day referred to in paragraph (a), the day on which the business recommenced after it ceased to be subject to the restrictions referred to in that paragraph; ‘taxable period’ has the same meaning as it has in the Value-Added Tax Consolidation Act 2010 . (2) For the purposes of this section, the business of an employer shall be treated as being adversely affected by Covid-19 on the date on which the Revenue Commissioners agreed to temporarily suspend the collection of the liabilities of the employer in respect of the tax and charge referred to in the definition of ‘Covid-19 liabilities’ as a consequence of the effect on the employer’s business of Covid-19. (3) This section shall apply to an employer— (a) who, as a consequence of the effect on the employer’s business of Covid-19 is unable to pay all or part of the employer’s Covid-19 liabilities, (b) who complies with the requirements to file returns under this Chapter, and (c) either— (i) the employer’s tax affairs are administered by the Personal Division or Business Division of the Office of the Revenue Commissioners, or (ii) the employer has formed the view that the employer is unable to pay all or part of the employer’s Covid-19 liabilities, and has notified the Revenue Commissioners that the employer has formed such a view. (4) For the purposes of subsection (3)(c)(i), an employer’s tax affairs shall be treated as being administered by the Personal Division or Business Division of the Office of the Revenue Commissioners where the most recent correspondence received by the employer from that Office indicates that to be the case. (5) An inspector, or such other officer as the Revenue Commissioners have nominated for the purposes of section 990, may make such enquiries as he or she considers necessary to satisfy himself or herself as to whether an employer is unable to pay all or part of the employer’s Covid-19 liabilities. (6) Where this section applies to an employer, section 991 shall not apply to the employer’s Covid-19 liabilities. (7) Where— (a) this section applies to an employer, and (b) the employer complies with the employer’s obligations under the Acts, no interest shall be due and payable by the employer in respect of the employer’s Covid-19 liabilities during Period 1 and Period 2. (8) Where— (a) this section applies to an employer, (b) the employer complies with the employer’s obligations under the Acts, (c) the employer has, prior to Period 3, entered into an agreement with the Collector-General to pay the employer’s Covid-19 liabilities, together with interest under this subsection, and (d) the employer complies with the obligations of the employer under the agreement referred to in paragraph (c), interest shall be paid by the employer in respect of the Covid-19 liabilities from the first day of Period 3 and the amount of that interest shall be determined in accordance with subsection (9). (9) The interest referred to in subsection (8) shall be the amount determined by the formula— DL x D x P where— DL is the amount of the Covid-19 liabilities which remains unpaid on the first day of Period 3, D is the number of days (including part of a day) forming Period 3, and P is 0.0082 per cent. (10) Where an employer— (a) during Period 1 or Period 2, fails to comply with an obligation referred to in subsection (7)(b), (b) on the first day of Period 3, has not entered into an agreement referred to in subsection (8)(c), or (c) during Period 3, fails to comply with an obligation referred to in subsection (8)(b) or (d), interest shall be paid by the employer in respect of the employer’s Covid-19 liabilities from— (i) in a case in which paragraph (a) or (c) applies, the date on which the event resulting in failure to comply with the obligation concerned occurred, and (ii) in a case in which paragraph (b) applies, the first day of Period 3, and the amount of that interest shall be determined in accordance with subsection (11). (11) The interest referred to in subsection (10) shall be the amount determined by the formula— DL x D x P where— DL is the amount of the Covid-19 liabilities which remains unpaid on the date referred to in subsection (10), D is the number of days (including part of a day) during which the Covid-19 liabilities remain unpaid, and P is 0.0274 per cent. (12) Where an employer has complied with the requirements to file returns under this Chapter, the failure of the employer to pay Covid-19 liabilities shall not, for the purpose of section 1094 or 1095, be treated as a failure to comply with the obligations imposed on the employer by the Acts (within the meaning of section 1094 or 1095, as the case may be). (13) Section 960E(2) shall not apply in respect of Covid-19 liabilities where the employer concerned complies with the employer’s requirements to file returns under this Chapter. (14) Where the Collector-General has, under section 985G(7), varied the due date for payment of any income tax due in respect of an income tax month such that an employer may pay such tax liabilities quarterly, liabilities in respect of— (a) income tax under this Chapter and any regulations made under this Chapter, and (b) universal social charge under Part 18D, for any income tax months which are due from the employer at the same time as liabilities for income tax months within Period 1 shall be treated as Covid-19 liabilities. (15) Where— (a) the Collector-General has, under section 985G(7), varied the due date for payment of any income tax due in respect of an income tax month such that an employer may pay such tax liabilities annually, and (b) Period 1 for the employer ends in December 2020 or February 2021, liabilities of the employer in respect of— (i) income tax under this Chapter and any regulations made under this Chapter, and (ii) universal social charge under Part 18D, for all income tax months in 2020 shall be treated as Covid-19 liabilities. (16) (a) The Minister for Finance may, in order to mitigate the adverse economic consequences resulting, or likely to result, from the spread of Covid-19, by order specify a day for the purpose of subparagraph (ii) of paragraph (b) of the definition of ‘Period 2’ in subsection (1). (b) The Minister for Finance shall not specify in an order under paragraph (a) a day that falls after 31 December 2022. (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.”. Covid-19: special warehousing and interest provisions (value-added tax) 4. The Act of 2010 is amended by inserting the following section after section 114A: “Covid-19: special warehousing and interest provisions 114B. (1) In this section— ‘the Acts’ means— (a) this Act, other than this section, (b) Parts 18C and 18D of the Taxes Consolidation Act 1997 , (c) the Stamp Duties Consolidation Act 1999 and the enactments amending or extending that Act, (d) the Capital Acquisitions Tax Consolidation Act 2003 and the enactments amending or extending that Act, (e) the Finance (Local Property Tax) Act 2012 and the enactments amending or extending that Act, (f) the Customs Act 2015 and the enactments amending or extending that Act, (g) the Capital Gains Tax Acts, (h) the Tax Acts, within the meaning of section 1 of the Taxes Consolidation Act 1997 , (i) the statutes relating to the duties of excise and to the management of those duties, and (j) any instruments made under any of the enactments referred to in paragraphs (a) to (i); ‘Covid-19’ has the same meaning as it has in the Emergency Measures in the Public Interest (Covid-19) Act 2020 ; ‘Covid-19 liabilities’ means, subject to subsection (14), value-added tax due and payable by an accountable person under this Act and any regulations made under this Act, in respect of taxable periods in Period 1; ‘Period 1’, in relation to an accountable person, means the period— (a) beginning on the later of— (i) the first day of the taxable period immediately preceding the taxable period in which the accountable person’s business was first adversely affected by Covid-19, and (ii) 1 January 2020, and (b) ending on the last day of the taxable period next following the taxable period in which the recommencement date falls; ‘Period 2’, in relation to an accountable person, means the period— (a) beginning on the day next following the last day of Period 1, and (b) ending on— (i) the day that is the earlier of— (I) the day that is 12 months from the day first-mentioned in paragraph (a), and (II) 31 December 2022, or (ii) where the Minister makes an order for the purposes of this subparagraph, the day that is the earlier of— (I) the day specified in the order, and (II) 31 December 2022; ‘Period 3’, in relation to an accountable person, means the period— (a) beginning on the day next following the last day of Period 2, and (b) ending on the day on which the accountable person has discharged the Covid-19 liabilities in full; ‘recommencement date’, in relation to an accountable person, means the later of— (a) the day on which the accountable person’s business ceased to be subject to restrictions provided for in regulations made under sections 5 and 31A of the Health Act 1947 , and (b) where it is demonstrated to the satisfaction of the Revenue Commissioners that the business did not recommence on the day referred to in paragraph (a), the day on which the business recommenced after it ceased to be subject to the restrictions referred to in that paragraph. (2) For the purposes of this section, the business of an accountable person shall be treated as being adversely affected by Covid-19 on the date on which the Revenue Commissioners agreed to temporarily suspend the liabilities of the accountable person in respect of value-added tax as a consequence of the effect on the accountable person’s business of Covid-19. (3) This section shall apply to an accountable person— (a) who, as a consequence of the effect on the accountable person’s business of Covid-19 is unable to pay all or part of the accountable person’s Covid-19 liabilities, (b) who complies with the requirements to furnish returns under Chapter 3 of Part 9, and (c) either— (i) the accountable person’s tax affairs are administered by the Personal Division or Business Division of the Office of the Revenue Commissioners, or (ii) the accountable person has formed the view that the accountable person is unable to pay all or part of the accountable person’s Covid-19 liabilities and has notified the Revenue Commissioners that the accountable person has formed such a view. (4) For the purposes of subsection (3)(c)(i), an accountable person’s tax affairs shall be treated as being administered by the Personal Division or Business Division of the Office of the Revenue Commissioners where the most recent correspondence received by the accountable person from that Office indicates that to be the case. (5) An inspector of taxes, or such other officer as the Revenue Commissioners have nominated for the purposes of section 111, may make such enquiries as he or she considers necessary to satisfy himself or herself as to whether an accountable person is unable to pay all or part of the accountable person’s Covid-19 liabilities. (6) Where this section applies to an accountable person, section 114 shall not apply to the accountable person’s Covid-19 liabilities. (7) Where— (a) this section applies to an accountable person, and (b) the accountable person complies with the accountable person’s obligations under the Acts, no interest shall be due and payable by the accountable person in respect of the accountable person’s Covid-19 liabilities during Period 1 and Period 2. (8) Where— (a) this section applies to an accountable person, (b) the accountable person complies with the accountable person’s obligations under the Acts, (c) the accountable person has prior to Period 3, entered into an agreement with the Collector-General to pay the accountable person’s Covid-19 liabilities, together with interest under this section, and (d) the accountable person complies with the obligations of the accountable person under the agreement referred to in paragraph (c), interest shall be paid by the accountable person in respect of the Covid-19 liabilities from the first day of Period 3 and the amount of that interest shall be determined in accordance with subsection (9). (9) The interest referred to in subsection (8) shall be the amount determined by the formula— DL x D x P where— DL is the amount of the Covid-19 liabilities which remains unpaid on the first day of Period 3, D is the number of days (including part of a day) forming Period 3, and P is 0.0082 per cent. (10) Where an accountable person— (a) during Period 1 or Period 2, fails to comply with an obligation referred to in subsection (7)(b), (b) on the first day of Period 3, has not entered into an agreement referred to in subsection (8)(c), or (c) during Period 3, fails to comply with an obligation referred to in subsection (8)(b) or (d), interest shall be paid by the accountable person in respect of the accountable person’s Covid-19 liabilities from— (i) in a case in which paragraph (a) or (c) applies, the date on which the event resulting in failure to comply with the obligation concerned occurred, and (ii) in a case in which paragraph (b) applies, the first day of Period 3, and the amount of that interest shall be determined in accordance with subsection (11). (11) The interest referred to in subsection (10) shall be the amount determined by the formula— DL x D x P where— DL is the amount of the Covid-19 liabilities which remains unpaid on the date referred to in subsection (10), D is the number of days (including part of a day) during which the Covid-19 liabilities remain unpaid, and P is 0.0274 per cent. (12) Where an accountable person has complied with the requirements to file returns under Chapter 3 of Part 9, the failure of the accountable person to pay Covid-19 liabilities shall not, for the purpose of section 1094 or 1095 of the Taxes Consolidation Act 1997 , be treated as a failure to comply with the obligations imposed on the accountable person by the Acts (within the meaning of section 1094 or 1095 of the Taxes Consolidation Act 1997 , as the case may be). (13) Section 960E(2) of the Taxes Consolidation Act 1997 shall not apply in respect of Covid-19 liabilities where the accountable person concerned complies with the requirements to furnish returns under Chapter 3 of Part 9. (14) Where an accountable person— (a) is an authorised person for the purposes of section 77, and (b) has been authorised to use an accounting period, within the meaning of that section, of 12 months’ duration which ends— (i) in that part of Period 1 which is on or after 1 February 2020, or (ii) in the month immediately following Period 1, the value-added tax due and payable for that accounting period by the accountable person under this Act and any regulations under this Act shall be treated as Covid-19 liabilities. (15) (a) The Minister may, in order to mitigate the adverse economic consequences resulting, or likely to result, from the spread of Covid-19, by order specify a day for the purpose of subparagraph (ii) of paragraph (b) of the definition of ‘Period 2’ in subsection (1). (b) The Minister shall not specify in an order under paragraph (a) a day that falls after 31 December 2022. (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.”. Covid-19: special warehousing and interest provisions (contributions) 5. The Social Welfare Consolidation Act 2005 is amended by inserting the following section after section 17B: “Covid-19: special warehousing and interest provisions for contributions 17C. (1) In this section— ‘Covid-19’ has the same meaning as it has in the Emergency Measures in the Public Interest (Covid-19) Act 2020 ; ‘Covid-19 liabilities’ means, subject to subsections (13) and (14), the contributions that an employer is liable to pay under section 13 in respect of income tax months in Period 1, to the Collector-General; ‘inspector of taxes’ means an inspector of taxes appointed under section 852 of the Act of 1997; ‘Period 1’, in relation to an employer, means the period— (a) beginning on the later of— (i) the first day of the income tax month immediately preceding the income tax month in which the employer’s business was first adversely affected by Covid-19, and (ii) 1 February 2020, and (b) ending on the last day of the taxable period next following the taxable period in which the recommencement date falls; ‘Period 2’, in relation to an employer, means the period— (a) beginning on the day next following the last day of Period 1, and (b) ending on— (i) the day that is the earlier of— (I) the day that is 12 months from the day first-mentioned in paragraph (a), and (II) 31 December 2022, or (ii) where the Minister for Finance makes an order for the purposes of this subparagraph, the day that is the earlier of— (I) the day specified in the order, and (II) 31 December 2022; ‘Period 3’, in relation to an employer, means the period— (a) beginning on the day next following the last day of Period 2, and (b) ending on the day on which the employer has discharged the Covid-19 liabilities in full; ‘recommencement date’, in relation to an employer, means the later of— (a) the day on which the employer’s business ceased to be subject to restrictions provided for in regulations made under sections 5 and 31A of the Health Act 1947 , and (b) where it is demonstrated to the satisfaction of the Revenue Commissioners that the business did not recommence on the day referred to in paragraph (a), the day on which the business recommenced after it ceased to be subject to the restrictions referred to in that paragraph; ‘taxable period’ means a period of 2 months beginning on 1 January, 1 March, 1 May, 1 July, 1 September or 1 November. (2) For the purposes of this section, the business of an employer shall be treated as being adversely affected by Covid-19 on the date on which the Revenue Commissioners agreed to temporarily suspend the collection of the liabilities of the employer in respect of contributions as a consequence of the effect on the employer’s business of Covid-19. (3) This section shall apply to an employer— (a) who, as a consequence of the effect on the employer’s business of Covid-19 is unable to pay all or part of the employer’s Covid-19 liabilities, (b) who complies with the requirement to file returns under section 17A, and (c) either— (i) the employer’s tax affairs are administered by the Personal Division or Business Division of the Office of the Revenue Commissioners, or (ii) the employer has formed the view that the employer is unable to pay all or part of the employer’s Covid-19 liabilities and has notified the Revenue Commissioners that the employer has formed such a view. (4) For the purposes of subsection (3)(c)(i), an employer’s tax affairs shall be treated as being administered by the Personal Division or Business Division of the Office of the Revenue Commissioners where the most recent correspondence received by the employer from that Office indicates that to be the case. (5) An inspector of taxes, or such other officer as the Revenue Commissioners have nominated for the purposes of section 990 of the Act of 1997, may make such enquiries as he or she considers necessary to satisfy himself or herself as to whether an employer is unable to pay all or part of the employer’s Covid-19 liabilities. (6) Where this section applies to an employer— (a) subsections (1) and (2) of section 17B, (b) section 991 of the Act of 1997, and (c) Article 10 of the Social Welfare (Consolidated Contributions and Insurability) Regulations, 1996 (S.I. No. 312 of 1996), shall not apply to the employer’s Covid-19 liabilities. (7) Where— (a) this section applies to an employer, and (b) the employer complies with the employer’s obligations under section 17A, no interest shall be due and payable by the employer in respect of the employer’s Covid-19 liabilities during Period 1 and Period 2. (8) Where— (a) this section applies to an employer, (b) the employer complies with the employer’s obligations under section 17A, (c) the employer has, prior to Period 3, entered into an agreement with the Collector-General to pay the employer’s Covid-19 liabilities, together with interest under this subsection, and (d) the employer complies with the obligations of the employer under the agreement referred to in paragraph (c), interest shall be paid by the employer in respect of the Covid-19 liabilities from the first day of Period 3 and the amount of that interest shall be determined in accordance with subsection (9). (9) The interest referred to in subsection (8) shall be the amount determined by the formula— DL x D x P where— DL is the amount of the Covid-19 liabilities which remains unpaid on the first day of Period 3, D is the number of days (including part of a day) forming Period 3, and P is 0.0082 per cent. (10) Where an employer— (a) during Period 1 or Period 2, fails to comply with an obligation referred to in subsection (7)(b), (b) on the first day of Period 3, has not entered into an agreement referred to in subsection (8)(c), or (c) during Period 3, fails to comply with an obligation referred to in subsection (8)(b) or (d), interest shall be paid by the employer in respect of the employer’s Covid-19 liabilities from— (i) in a case in which paragraph (a) or (c) applies, the date on which the event resulting in failure to comply with the obligation concerned occurred, and (ii) in a case in which paragraph (b) applies, the first day of Period 3, and the amount of that interest shall be determined in accordance with subsection (11). (11) The interest referred to in subsection (10) shall be the amount determined by the formula— DL x D x P where— DL is the amount of the Covid-19 liabilities which remains unpaid on the date referred to in subsection (10), D is the number of days (including part of a day) during which the Covid-19 liabilities remain unpaid, and P is 0.0274 per cent. (12) Section 960E(2) of the Act of 1997 shall not apply in respect of Covid-19 liabilities where the employer concerned complies with the employer’s requirement to file returns under section 17A. (13) Where the Collector-General has, under section 985G(7) of the Act of 1997, varied the due date for payment of any income tax due in respect of an income tax month such that an employer may pay such tax liabilities quarterly, liabilities in respect of contributions for any income tax months which are due from the employer at the same time as liabilities for income tax months within Period 1 shall be treated as Covid-19 liabilities. (14) Where— (a) the Collector-General has, under section 985G(7) of the Act of 1997, varied the due date for payment of any income tax due in respect of an income tax month such that an employer may pay such tax liabilities annually, and (b) Period 1 for the employer ends in December 2020 or February 2021, liabilities of the employer in respect of contributions for all income tax months in 2020 shall be treated as Covid-19 liabilities. (15) (a) The Minister for Finance may, in order to mitigate the adverse economic consequences resulting, or likely to result, from the spread of Covid-19, by order specify a day for the purpose of subparagraph (ii) of paragraph (b) of the definition of ‘Period 2’ in subsection (1). (b) The Minister for Finance shall not specify in an order under paragraph (a) a day that falls after 31 December 2022. (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.”. Interest on overdue tax - supplementary provision 6. The Act of 1997 is amended by inserting the following section after section 1080: “Interest on overdue tax - supplementary provision 1080A. (1) In this section— ‘the Acts’ means— (a) Parts 18C and 18D, (b) the Stamp Duties Consolidation Act 1999 and the enactments amending or extending that Act, (c) the Capit …