Finance Act , 1963

PART I. Income Tax.

1 Income tax and sur-tax for the year 1963-64.

1.—(1) Income tax shall be charged for the year beginning on the 6th day of April, 1963, at the rate of six shillings and four pence in the pound.

(2) Sur-tax for the year beginning on the 6th day of April, 1963, shall be charged in respect of the income of any individual the total of which from all sources exceeds two 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, 1962.

(3) The several statutory and other provisions which were in force on the 5th day of April, 1963, 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 year beginning on the 6th day of April, 1963.

2 Exemption of bodies established for promotion of athletic or amateur games or sports.

2.—Exemption shall be granted from income tax in respect of so much of the income of any body of persons established for the sole purpose of promoting athletic or amateur games or sports as is shown to the satisfaction of the Revenue Commissioners to be income which has been or will be applied to that purpose.

3 Amendment of section 34 of Income Tax Act, 1918.

3.—As respects tax for the year 1963-64 or a subsequent year of assessment—

(a) the following section shall be substituted for section 34 of the Income Tax Act, 1918:

“34.—(1) Subject to the provisions of this section, where in any year of assessment any person has sustained a loss in any trade, profession, employment or vocation, carried on by him either solely or in partnership, or in the occupation of lands for the purposes of husbandry only, or in the occupation of woodlands in respect of which he has elected to be charged to tax under Schedule D, he shall be entitled, on making a claim in that behalf, to such repayment of tax as is necessary to secure that the aggregate amount of tax for the year ultimately borne by him will not exceed the amount which would have been borne by him if his income had been reduced by the amount of the loss.

(2) (a) For the purposes of subsection (1) of this section the amount of tax which would have been borne if income had been reduced by the amount of a loss shall be computed—

(i) where the loss has been sustained by an individual, on the basis of treating the loss as reducing first the appropriate income of the individual, then the other income of the individual, then the appropriate income of the individual's wife or husband and then the other income of the individual's wife or husband, and

(ii) where the loss has been sustained in a trade carried on by a body corporate, on the basis of treating the loss as reducing first the income of the body corporate from profits or gains of the trade in which the loss was sustained and then the other income of the body corporate.

(b) For the purposes of subparagraph (i) of paragraph (a) of this subsection, ‘appropriate income’ means either earned or unearned income according as income arising during the same period as the loss to the person sustaining it from the same activity would have been that person's earned or unearned income.

(3) Except as is otherwise provided by paragraph (2) of Rule 15 of the Rules applicable to Cases I and II of Schedule D, the amount of a loss sustained in an activity shall, for the purposes of this section, be computed in like manner as profits or gains arising or accruing from the activity would be computed under the relevant provisions of the Income Tax Acts.

(4) Where repayment has been made to a person for any year under this section—

(a) no portion of the loss which, in the computation of the repayment, was treated as reducing his income shall be taken into account in computing the amount of an assessment for any subsequent year, and

(b) so much of the loss as was required, by subsection (2) of this section, to be treated as reducing income of a particular class or income from a particular source shall, for all the purposes of the Income Tax Acts, be regarded as a deduction to be made from income of that class or from income from that source, as the case may be, in computing the person's total income for the year.

(5) Any claim to repayment under this section shall be made, in a form prescribed by the Revenue Commissioners, not later than two years after the end of the year of assessment and shall be made to, and determined by, the inspector of taxes; but any person aggrieved by any determination of the inspector of taxes on any such claim may, on giving notice in writing to the said inspector within twenty-one days after notification to him of the determination, appeal to the Special Commissioners.

(6) The Special Commissioners shall hear and determine an appeal to them under subsection (5) of this section as if it were an appeal to them against an assessment to income tax and the provisions of the Income Tax Acts relating to the re-hearing of an appeal or the statement of a case for the opinion of the High Court on a point of law, shall, with the necessary modifications, apply accordingly.”;

(b) paragraph (2) of Rule 15 of the Rules applicable to Cases I and II of Schedule D shall have effect subject to the substitution of “repayment of tax under section 34 of” for “an adjustment of its liability by reference to the loss and to the aggregate amount of its income under the provisions contained in”;

(c) section 4 of the Finance Act, 1943, shall not have effect;

(d) subsection (1) of section 52 of the Finance Act, 1958, and subsection (1) of section 9 of the Finance Act, 1959, shall have effect subject to the deletion of “and the aggregate amount of his income” in each subsection.

4 Amendment of section 39 of Income Tax Act, 1918.

4.—Subsection (2) of section 39 of the Income Tax Act, 1918, is hereby amended by the substitution of “six hundred pounds by way of gross sum” and “two hundred and fifty pounds a year by way of annuity” for “three hundred pounds by way of gross sum” and “one hundred and thirty pounds a year by way of annuity”, respectively.

5 Option to treat capital allowances as creating or augmenting loss in trade, etc.

5.—(1) In this section—

“balancing charges” means balancing charges under Part V of the Finance Act, 1959;

“capital allowances” means allowances, other than allowances falling to be made in computing profits or gains, under Rule 6 of the Rules applicable to Cases I and II of Schedule D, section 5 or section 6 of the Finance Act, 1946, Part V of the Finance Act, 1956, Part IV of the Finance (Miscellaneous Provisions) Act, 1956, Part V of the Finance Act, 1957, or Part V or section 74 of the Finance Act, 1959;

“year of claim” means, in relation to any claim under section 34 of the Income Tax Act, 1918, the year of assessment for which the claim is made.

(2) Subject to the provisions of this section, any claim made under section 34 of the Income Tax Act, 1918, for relief in respect of a loss sustained in any trade, being a claim in the case of which the year of claim is the year 1963-64 or a subsequent year of assessment, may require the amount of the loss to be determined as if an amount equal to the capital allowances for the year of assessment for which the year of claim is the basis year were to be deducted in computing the profits or gains or losses of the trade in the year of claim and a claim may be so made notwithstanding that apart from those allowances a loss has not been sustained in the trade in the year of claim.

(3) Where on any claim made by virtue of this section relief is not given under the said section 34 for the full amount of the loss determined as aforesaid, the relief shall be referred as far as may be to the loss sustained in the trade rather than to the capital allowances in respect of the trade.

(4) For the purposes of this section—

(a) where the end of the basis period for a year of assessment falls in or coincides with the end of any year of assessment, that year is the basis year for the first mentioned year of assessment, but so that if a year of assessment would under the foregoing provision be the basis year both for that year itself and another year of assessment, it shall be the basis year for the year itself and not for the other year;

(b) any reference to capital allowances or balancing charges for a year of assessment shall be construed as a reference to those falling to be made in charging the profits or gains of the trade for that year, excluding, in the case of allowances, amounts carried forward from an earlier year;

(c) effect shall be deemed to be given in charging the profits or gains of the trade for a year of assessment to allowances carried forward from an earlier year before it is given to allowances for the year of assessment; and

(d) any reference to an amount of capital allowances non-effective in a year of assessment shall be construed as referring to the amount to which by reason of an insufficiency of profits or gains effect cannot be given in charging the profits or gains of the trade for that year.

In paragraph (a) of this subsection “the basis period for a year of assessment” means in relation to any trade the period on the profits or gains of which income tax for that year falls to be finally computed under Case I of Schedule D in respect of the trade or, where, by virtue of any Act, the profits or gains of any other period are to be taken to be the profits or gains of the said period, that other period.

(5) The capital allowances for any year of assessment shall be taken into account under subsection (2) of this section only if and so far as they are not required to offset balancing charges for the year; and, where the capital allowances taken into account are allowances for the year of claim, relief shall not be given by reference to those allowances in respect of an amount greater than the amount non-effective in the year of claim.

(6) For the purposes of subsection (5) of this section, the capital allowances for any year of assessment shall be treated as required to offset balancing charges for the year up to the amount on which the balancing charges fall to be made after deducting from that amount the amount, if any, of capital allowances for earlier years which is carried forward to that year and would, without the balancing charges, be non-effective in that year.

(7) Subject to subsection (8) of this section, where for any year of claim relief is given under the said section 34 by reference to any capital allowances, then, for all the purposes of the Income Tax Acts, effect shall be deemed to have been given to those allowances up to the amount in respect of which relief is so given, and any relief previously given for a subsequent year on the basis that effect had not been given to the allowances as aforesaid shall be adjusted, where necessary, by additional assessment.

(8) Where in any year of assessment a trade is permanently discontinued, or is treated, for the purposes of Rule 11 of the Rules applicable to Cases I and II of Schedule D, as permanently discontinued, and immediately before the discontinuance the trade was being carried on in partnership, then, notwithstanding the last foregoing subsection, for the purposes of any claim for relief made by virtue of section 4 of the Finance Act, 1960, and relating to that discontinuance, effect shall not be deemed to have been given either—

(a) to any part of the capital allowances falling to be made in charging the profits or gains of the trade for that year by reason of relief given under the said section 34 by reference to those allowances; or

(b) to any part of the capital allowances falling to be made in charging the profits or gains of the trade for the preceding year by reason of relief so given by reference to them, in so far as that relief must be referred to the part of the allowances apportionable to the part of the year within twelve months of the discontinuance on an apportionment made by reference to the comparative lengths of the two parts of the year;

but, where the same partner claims relief both under the said section 34 and under the said section 4 in respect of the same allowances, the total amount for which relief is to be given to him by reference thereto shall not exceed the greater of the amounts for which, apart from any deficiency of income, relief might have been given under either section separately, and the total amount for which relief is to be given to all the partners under those sections in respect of any allowances shall not in any event exceed the amount of the allowances to which effect has not been given apart from those sections.

(9) Where a person claiming relief under the said section 34 has, since the end of the year of claim, carried on the trade in question in partnership, effect shall not be given to this section in relation to that claim, except with the written consent of, or of the personal representatives of, every other person who has been engaged in carrying on the trade between the end of that year and the making of the claim:

Provided that where the claim is for a loss sustained before an event treated as the permanent discontinuance of the trade, this subsection shall not require the consent of any person as having been so engaged since that discontinuance or as the personal representative of such a person.

(10) Relief from tax may be given by virtue of subsection (2) of this section by reference to capital allowances for a year of assessment before the passing of any Act imposing income tax for that year, as if income tax had been imposed for the year without alteration; but if relief given to a person by virtue of that subsection for any year of claim is affected by a subsequent alteration of the law, or by any discontinuance of the trade or other event occurring after the end of the year, any necessary adjustment may be made, and so much of any repayment of tax as exceeded the amount repayable in the events that happened shall, if not otherwise made good, be recovered from the person by assessment under Case VI of Schedule D; and for the purpose of such assessment the amount of capital allowances by reference to which the repayment was made, or an appropriate part of that amount, shall be deemed to be income chargeable under the said Case VI for the year of claim.

(11) This section applies, with any necessary adaptations, in relation to a profession, employment or vocation and in relation to the occupation of lands for the purposes of husbandry only or of woodlands, where, in either case, profits or gains arising from the occupation are, for the year of claim and the year of assessment for which the year of claim is the basis year, chargeable under Schedule D, as it applies in relation to a trade.

6 Assessment of profits from occupation of land under Schedule D in certain cases.

6.—(1) Where, for any year of assessment, a person to whom this section applies is chargeable to tax under Schedule B in respect of the occupation for the purposes of husbandry of any lands—

(a) the person shall when required to do so by a notice in writing served on him by an inspector of taxes prepare and deliver to the inspector, within the time limited by the notice, a statement of the profits or gains on which he would have been chargeable for the year of assessment if he had made an election in relation to the lands under Rule 5 of the Rules applicable to Schedule B;

(b) where the person fails to deliver the statement, or where the Revenue Commissioners are not satisfied with the statement delivered by the person, the Revenue Commissioners may serve on the person a notice in writing or notices in writing requiring him to do any of the following things, that is to say—

(i) to deliver to an inspector of taxes copies of such accounts (including balance sheets) relating to the occupation of the lands as may be specified or described in the notice within such period as may be therein specified, including, where the accounts have been audited, a copy of the auditor's certificate,

(ii) to make available, within such time as may be specified in the notice, for inspection by an inspector of taxes or by any officer authorised by the Revenue Commissioners, all such books, accounts and documents in his possession or power as may be specified or described in the notice, being books, accounts and documents which contain information as to transactions related to the occupation of the lands;

(c) the inspector of taxes or other officer may take copies of, or extracts from, any books, accounts or documents made available for his inspection under the foregoing paragraph;

(d) where the person fails to do anything which he is required to do by a notice under paragraph (b) of this subsection, the Income Tax Acts shall apply as if he had duly made, under Rule 5 of the Rules applicable to Schedule B, an election in relation to the lands by notice delivered immediately after the commencement of the year of assessment;

(e) where the person has delivered copies of accounts relating to the occupation of the lands and the Revenue Commissioners are of opinion that the accounts overstate the profits or gains arising from such occupation, the Revenue Commissioners may certify accordingly;

(f) where the Revenue Commissioners have given a certificate under the foregoing paragraph—

(i) the Income Tax Acts shall, subject to the next subparagraph, apply as if the person had duly made, under Rule 5 of the Rules applicable to Schedule B, an election in relation to the lands by notice delivered immediately after the commencement of the year of assessment,

(ii) an appeal against the certificate shall, within twenty-one days after notification to the person of the giving of the certificate, lie to the Special Commissioners in like manner as an appeal would lie against an assessment to income tax and the provisions of the Income Tax Acts relating to appeals shall have effect accordingly.

(2) (a) This section applies to—

(i) a person carrying on in the year of assessment a trade, profession or vocation,

(ii) a person who, in the year of assessment, is a married person whose wife or husband carries on in that year a trade, profession or vocation, or

(iii) a person who, in the year of assessment, is a director of a company carrying on in that year a trade and is either the beneficial owner of, or able, either directly or through the medium of other companies or by any other means, to control, more than twenty-five per cent. of the ordinary share capital of the company,

subject to the proviso that a person who, apart from this proviso, would, by virtue of subparagraph (ii) of this paragraph, be a person to whom this section applies shall not be such a person in a case in which the wife is not to be treated for income tax purposes as living with her husband.

(b) For the purposes of subparagraph (iii) of paragraph (a) of this subsection, ordinary share capital which is owned or controlled as referred to in the subparagraph by a person being the wife, the husband or an infant child of a director, or by the trustee of a trust for the benefit of a person or persons being or including any such person or such director, shall be deemed to be owned or controlled by such director and not by any other person.

(c) In this subsection—

“company” means a company within the meaning of the Companies Acts, 1908 to 1959;

“director” includes a person holding any office or employment under a company;

“ordinary share capital” means all the issued capital (by whatever name called) of a company, other than capital the holders whereof have a right to a dividend at a fixed rate or a rate fluctuating in accordance with the rate of income tax, but have no other right to share in the profits of the company.

7 Deductions in relation to the establishment or alteration of superannuation schemes.

7.—Where a superannuation scheme is established in connection with a trade or undertaking or a superannuation scheme so established is altered and the person by whom the trade or undertaking is carried on makes, on or after the 6th day of April, 1963, a payment in respect of expenses (including a payment in respect of professional fees, but not including a payment by way of contribution towards the cost of providing the benefits payable under the scheme) in connection with such establishment or alteration, then, if the scheme or, as the case may be, the altered scheme is—

(a) operated through a fund approved, whether in whole or in part, by the Revenue Commissioners for the purposes of section 32 of the Finance Act, 1921,

(b) approved, whether in whole or in part, by the Revenue Commissioners under section 34 of the Finance Act, 1958, or

(c) an excepted scheme within the meaning of subsection (2) of section 33 of the Finance Act, 1958,

the amount of the payment shall be allowed to be deducted in the computation, for the purposes of assessment to income tax, of the profits or gains of the trade or undertaking as an expense incurred when the payment is made:

Provided that where, in a case falling within paragraph (a) or paragraph (b) of this section, a part only of the relevant fund or scheme is approved as therein mentioned, the deduction shall be restricted to so much of the payment as is referable to that part.

8 Annual payment payable out of dividend from which income tax is not deductible or is deductible at reduced rate.

8.—(1) Where the whole or any part of any annual payment is payable out of a dividend from which, by virtue of section 7 of the Finance (Profits of Certain Mines) (Temporary Relief from Taxation) Act, 1956, or section 9 or section 15 of the Finance (Miscellaneous Provisions) Act, 1956, income tax either is not deductible or is deductible at a reduced rate—

(a) a payment of the annual payment, or that part thereof, as the case may be, shall be treated as not having been paid out of profits or gains brought into charge to tax and, subject to the next paragraph, Rule 21 of the General Rules shall apply accordingly,

(b) the amount of tax recoverable from the payer shall be tax on the payment which he has made calculated—

(i) if income tax was not deductible from the dividend—at the standard rate of income tax, and

(ii) if income tax was deductible from the dividend at a reduced rate—at a rate arrived at by deducting from the standard rate of income tax the rate of tax deductible from the dividend.

(2) In the foregoing subsection “annual payment” means any payment from which, apart from any insufficiency of profits or gains of the person making it, tax is deductible under Rule 19 of the General Rules.

9 Amendment of Rule 21 of General Rules.

9.—(1) Rule 21 of the General Rules is hereby amended by the substitution of the following paragraphs for paragraph (2):

“(2) Where any such payment as aforesaid is made by or through any person, that person shall forthwith deliver to the Revenue Commissioners an account of the payment, or of so much thereof as is not made out of profits or gains brought into charge, and of the tax deducted out of the payment or out of that part thereof, and the inspector shall assess and charge the payment of which an account is so delivered on that person.

(2A) The inspector may, where any person has made default in delivering an account required by this Rule, or where he is not satisfied with the account so delivered, make an assessment according to the best of his judgment.

(2B) In paragraph (2) and (2A) of this Rule “the inspector” means such inspector of taxes as the Revenue Commissioners may direct.

(2C) All the provisions of the Income Tax Acts relating—

(a) to persons who are to be chargeable with income tax and to income tax assessments;

(b) to appeals against such assessments;

(c) to the collection and recovery of income tax; and

(d) to cases to be stated for the opinion of the High Court;

shall, so far as they are applicable, apply to the charge, assessment, collection and recovery of income tax under this Rule.”

(2) The provisions of the said Rule 21 as amended by subsection (1) of this section shall, subject to any necessary modifications, apply in the case of a payment which has been made before the passing of this Act unless at such passing the tax deducted out of the payment stands paid to the Revenue Commissioners.

10 Amount of assessment under Rule 21 to be allowed as a loss for certain purposes.

10.—(1) Subject to the provisions of this section, where a person has been assessed to tax for the year 1963-64 or a subsequent year of assessment under Rule 21 of the General Rules, in respect of a payment made wholly and exclusively for the purposes of a trade, profession or vocation, the amount on which tax has been paid under that assessment shall, for the purposes of section 14 of the Finance Act, 1929, and section 4 of the Finance Act, 1960, be treated as though it were a loss sustained in that trade, profession or vocation and relief in respect thereof shall be allowed accordingly:

Provided that no relief shall be allowed under this section in respect of any such payment or any part of such payment which is not ultimately borne by the person assessed or which is charged to capital.

(2) This section shall not apply to any sum assessed under the said Rule 21 by virtue of section 13 of the Finance Act, 1950, Part V of the Finance Act, 1958, or section 50 of the Finance Act, 1959, or section 8 or paragraph (b) of subsection (3) of section 71 of this Act.

11 Amendment of section 21 of Finance Act, 1920.

11.—(1) Subsection (3) of section 21 of the Finance Act, 1920, is hereby amended by the substitution of “of two hundred pounds a year or more and, where the child in respect of whom the deduction is to be allowed is entitled in his own right to an income exceeding eighty pounds a year, the deduction, instead of being one hundred and twenty pounds, shall be that amount reduced by the amount of the excess” for “exceeding eighty pounds a year”.

(2) Subsection (1) of this section shall come into operation on the 6th day of April, 1964.

12 Amendment of section 22 of Finance Act, 1920.

12.—(1) Subsection (1) of section 22 of the Finance Act, 1920, is hereby amended by the substitution of “one hundred and twenty pounds” for “one hundred and ten pounds”.

(2) (a) Subsection (1) of section 22 of the Finance Act, 1920, is hereby amended—

(i) by the substitution of “is less than one hundred and eighty pounds” for “does not exceed one hundred and twenty pounds”,

(ii) by the insertion of “a person whose total income from all sources is less than one hundred and eighty pounds a year and being” before “a son or daughter”,

(iii) by the addition of the following proviso: “Provided that each of the foregoing provisions of this subsection shall have effect, in a case in which the total income from all sources of the person in respect of whom the deduction is to be made exceeds one hundred and twenty pounds a year, as if, instead of specifying a deduction of sixty pounds, it specified a deduction of that amount reduced by the amount of the excess.”

(b) Paragraph (a) of this subsection shall come into operation on the 6th day of April, 1964.

13 Amendment of section 8 of Finance Act, 1924.

13.—(1) Section 8 of the Finance Act, 1924, and that section as applied by subsection (9) of section 17 of the Finance Act, 1929, shall have effect subject to the substitution in subsection (1) of “six years after the end of the year of assessment within” for “three years after the end of the year of assessment for”.

(2) Subsection (1) of this section shall not apply in relation to an assessment for a year earlier than the year 1960-61 if it was made before the 6th day of April, 1963.

14 Amendment of section 227 of Income Tax Act, 1918.

14.—Section 227 of the Income Tax Act, 1918, is hereby amended by the insertion at the end of the section of “and any person shall also be liable as aforesaid if he knowingly and wilfully aids, abets, assists, incites or induces another person to make or deliver a false or fraudulent account, return, list, declaration or statement with reference to property, profits or gains or to tax”.

15 Time for certain summary proceedings.

15.—Notwithstanding subsection (4) of section 10 of the Petty Sessions (Ireland) Act, 1851, summary proceedings under section 227 of the Income Tax Act, 1918, section 7 of the Finance (No. 2) Act, 1959, or section 9 or section 31 of the Finance Act, 1960, may be instituted within three years from the date of the committing of the offence or incurring of the penalty (as the case may be).

16 Power to require production of accounts and books.

16.—(1) Where a person who has been duly required to deliver a statement of the profits or gains arising to him from any trade, profession or vocation fails to deliver the statement, or where the Revenue Commissioners are not satisfied with the statement delivered by any such person, the Revenue Commissioners may serve on that person a notice in writing or notices in writing requiring him to do any of the following things, that is to say—

(a) to deliver to an inspector of taxes copies of such accounts (including balance sheets) relating to the trade, profession or vocation as may be specified or described in the notice within such period as may be therein specified, including, where the accounts have been audited, a copy of the auditor's certificate;

(b) to make available, within such time as may be specified in the notice, for inspection by an inspector of taxes or by any officer authorised by the Revenue Commissioners, all such books, accounts and documents in his possession or power as may be specified or described in the notice, being books, accounts and documents which contain information as to transactions of the trade, profession or vocation.

(2) The inspector of taxes or other officer may take copies of, or extracts from, any books, accounts or documents made available for his inspection under this section.

17 Power to obtain information as to interest paid or credited without deduction of tax.

17.—(1) Every person carrying on a trade or business who, in the ordinary course of the operations thereof, receives or retains money in such circumstances that interest becomes payable thereon which is paid or credited without deduction of income tax, and, in particular, every person carrying on the trade or business of banking, shall, if required to do so, by notice from an inspector of taxes, make and deliver to the said inspector of taxes, within the time specified in the notice, a return of all interest paid or credited by him as aforesaid during a year specified in the notice in the course of his trade or business or any such part of his trade or business as may be so specified, giving the names and addresses of the persons to whom the interest was paid or credited and stating, in each case, the amount of the interest:

Provided that—

(a) no interest paid or credited to any person shall be required to be included in any such return if the total amount of the interest paid or credited to that person which would otherwise have fallen to be included in the return does not exceed £15; and

(b) the year specified in a notice under this subsection shall not be a year ending more than three years before the date of the service of the notice.

(2) Without prejudice to the generality of so much of subsection (1) of this section as enables different notices to be served thereunder in relation to different parts of a trade or business, separate notices may be served under that subsection as respects the transactions carried on at any branch or branches respectively specified in the notices, and any such separate notice shall, if served on the manager or other person in charge of the branch or branches in question, be deemed to have been duly served on the person carrying on the trade or business; and where such a separate notice is so served as respects the transactions carried on at any branch or branches, any notice subsequently served under the said subsection (1) on the person carrying on the trade or business shall not be deemed to extend to any transaction to which the said separate notice extends.

(3) This section shall, with any necessary adaptations, apply in relation to the Post Office Savings Bank as if it were a trade or business carried on by the Minister for Posts and Telegraphs.

This subsection shall have effect notwithstanding anything in section 4 of the Post Office Savings Bank Act, 1861, but save as aforesaid that section shall remain in full force and effect.

(4) The foregoing provisions of this section shall apply to interest paid or credited on or at any time after the 6th day of April, 1962, and only to money received or retained in the State, and, if a person to whom any interest is paid or credited in respect of any money received or retained in the State by notice in writing served on the person paying or crediting the interest—

(a) declares that the person who was beneficially entitled to that interest when it was paid or credited was not then ordinarily resident in the State, and

(b) requests that the interest shall not be included in any return under this section,

the person paying or crediting the interest shall not be required to include the interest in any such return.

18 Amendment of Rule 18(2) of General Rules and section 8(4) of Finance Act, 1925.

18.—(1) Paragraph (2) of Rule 18 of the General Rules is hereby amended by the insertion at the end of the paragraph of “in a case in which the grant of probate or letters of administration was made in that year, and no such assessment shall be made later than two years after the expiration of the year of assessment in which such grant was made in any other case, but the foregoing provisions of this paragraph shall have effect subject to the proviso that where the executor or administrator lodges a corrective affidavit for the purpose of assessment of estate duty after the year of assessment in which the deceased person died, such assessment may be made at any time before the expiration of two years after the end of the year of assessment in which the corrective affidavit was lodged”.

(2) Subsection (4) of section 8 of the Finance Act, 1925, is hereby amended by the insertion at the end of the subsection of “in a case in which the grant of probate or letters of administration was made in that year, and none of such acts and things may be done later than the end of the second year after the year of assessment in which such grant was made in any other case, but the foregoing provisions of this subsection shall have effect subject to the proviso that where the executor or administrator lodges a corrective affidavit for the purpose of assessment of estate duty after the year of assessment in which the deceased person died, any such act or thing may be done at any time before the expiration of two years after the end of the year of assessment in which the corrective affidavit was lodged”.

(3) Neither of the foregoing subsections of this section shall apply in a case in which the deceased person died before the 6th day of April, 1960, and the executor or administrator had fully administered the estate and distributed the assets of the deceased person before the 23rd day of April, 1963.

19 Amendment of section 7 of Finance Act, 1935.

19.—In relation to a company licensed under the Insurance Act, 1936, to carry on assurance business, section 7 of the Finance Act, 1935, shall have effect as if paragraph (e) contained in subsection (1) thereof were amended by the deletion of subparagraph (ii).

20 Amendment of section 12 of Finance (Miscellaneous Provisions) Act, 1956.

20.—Subsection (6) of section 12 of the Finance (Miscellaneous Provisions) Act, 1956, shall apply to each of the five consecutive years of assessment, the first of which is the year of assessment immediately following the company's last year of claim for the purposes of that subsection within the meaning of section 10 of that Act, as if—

(a) each of those years were a year of claim, and

(b) for “reduced by twenty-five per cent.” in paragraph (a) of the said subsection (6) there were substituted—

(i) in the case of the first of those years, “reduced by twenty per cent.”,

(ii) in the case of the second of those years, “reduced by fifteen per cent.”,

(iii) in the case of the third of those years, “reduced by ten per cent.”,

(iv) in the case of the fourth and fifth of those years, “reduced by five per cent.”.

21 Aggregation of assessments.

21.—(1) Where two or more assessments fall to be made on a person under Schedule A, B, D or E, or under two or more of those Schedules,—

(a) the tax in the assessments may be stated in one sum,

(b) as regards Schedule A or B in a case in which there are two or more tenements or rateable hereditaments, one assessment may be made on the total of the annual or assessable values,

and the notice of assessment may be stated correspondingly, but particulars of the annual or assessable values comprised in one assessment made pursuant to paragraph (b) of this subsection shall, on request, be given by the inspector of taxes.

(2) A notice of appeal in a case in which subsection (1) of this section applies must, to be valid, indicate each assessment appealed against.

(3) Pending the determination of an appeal against any one or more of such assessments as are referred to in subsection (1) of this section, an amount of tax being a portion of the one sum referred to in that subsection shall be payable on the due date or dates and shall be the amount which results when the appropriate personal reliefs are deducted from the assessments not under appeal or allowed from the tax charged in those assessments (as may be appropriate).

(4) The tax stated in one sum under subsection (1) or the amount payable under subsection (3) of this section shall for the purposes of section 14 of the Finance Act, 1962, be deemed to be tax charged by an assessment to income tax.

(5) If for any of the purposes of the Income Tax Acts, other than subsection (3) of this section, it becomes necessary to determine what amount of the tax charged is applicable to any one of two or more assessments referred to in subsection (1) of this section—

(a) a certificate from the inspector of taxes indicating the manner in which the deductions, allowances or reliefs were allocated and stating the separate amounts of tax, if any, and the instalments thereof applicable to any one or more assessments or to each assessment shall be sufficient evidence of the charge to tax in and by each such assessment,

(b) where an assessment to which that certificate relates is made under paragraph (b) of subsection (1) of this section, the inspector of taxes may further certify what portion of the amount of the tax charged in and by that assessment is applicable to any of the annual or assessable values, and for the purposes of the Income Tax Acts that portion shall be deemed to be tax charged in and by an assessment.

(6) Notwithstanding the making of one assessment pursuant to paragraph (b) of subsection (1) of this section, the provisions of the Income Tax Acts, other than this section, relating to assessments under Schedule A or B (as the case may be) shall continue to apply as if the tenements or rateable hereditaments had been assessed separately.

(7) In this section “personal reliefs” means any relief under section 32 of the Income Tax Act, 1918, under sections 16, 18, 19, 20, 21 and 22 of the Finance Act, 1920, under section 4 of the Finance Act, 1951, or under section 17 of the Finance (No. 2) Act, 1959.

22 Particulars of sums to be collected.

22.—(1) After assessments to income tax and sur-tax have been made, the inspectors of taxes shall transmit particulars of the sums to be collected to the Collector-General for collection, and references in the Income Tax Acts to duplicates of assessments delivered to collectors shall be construed as including references to particulars so transmitted.

(2) Subsection (1) of this section shall not apply to sums to be collected in respect of assessments to income tax made before the 6th day of April, 1964, where particulars of the sums are contained in duplicates of assessments delivered to the collectors of taxes appointed under section 7 of the Finance Act, 1934.

23 Collector-General.

23.—(1) A collector, to be known as the Collector-General, shall be appointed by the Revenue Commissioners from their officers and shall hold office as the Collector-General at their will and pleasure.

(2) The Collector-General shall collect and levy the tax from time to time charged in all assessments to income tax and sur-tax of which particulars have been transmitted to him under the preceding section.

(3) (a) The Revenue Commissioners may nominate persons to exercise on behalf of the Collector-General and at his direction the powers contained in sections 162, 164 and 199 of the Income Tax Act, 1918.

(b) Those powers, as well as being exercisable by the Collector-General, shall also be exercisable on his behalf and at his direction by persons nominated under this subsection.

(c) A person shall not be nominated under this subsection unless he is an officer or employee of the Revenue Commissioners.

(4) Paragraph (c) of subsection (1) of section 190 of the Income Tax Act, 1918, and subsection (3) of section 7 of the Finance Act, 1934, are each hereby amended by the insertion of “or Revenue Commissioners” after “Special Commissioners”.

(5) Subsection (1) of this section shall have effect notwithstanding section 7 of the Finance Act, 1934, but shall not affect the operation of that section.

(6) Sections 172, 175, 176, 177, 178, 179, 180 and 184 of the Income Tax Act, 1918, shall not apply to the Collector-General.

(7) If and so long as the office created by subsection (1) of this section is vacant or the holder of that office is unable through illness, absence or other cause to fulfil his duties, a person nominated in that behalf by the Revenue Commissioners from their officers shall act as the Collector-General, and any reference in this or any other Act to the Collector-General shall be construed as including, where appropriate, a reference to a person nominated under this subsection.

(8) The Revenue Commissioners may revoke a nomination under this section.

24 Amendment of section 187(2) and section 196(1) of Income Tax Act, 1918.

24.—(1) Subsection (2) of section 187 of the Income Tax Act, 1918, is hereby amended by the substitution of “inspector of taxes” for “special commissioners”.

(2) Subsection (1) of section 196 of the Income Tax Act, 1918, is hereby amended by the substitution of “judge of the Circuit Court in whose circuit is situate, in the case of (a) a person who is not resident in the State, (b) the estate of a deceased person, (c) an incapacitated person, or (d) a trust, the place where the assessment was made and, in any other case, the place to which the notice of assessment was addressed” for “recorder or county court judge, as the case may be, having jurisdiction in the place where the assessment was made”.

25 Change of date on which sur-tax is due and payable.

25.—(1) Subsection (2) of section 3 of the Finance Act, 1928, is hereby amended by the substitution of “on the first day of January in the year of assessment” for “on or before the first day of January next after the end of the year of assessment” and by the substitution of “made” for “signed and allowed” in both places where the latter words occur in the subsection.

(2) (a) Subsections (2) and (3) of section 11 of the Finance Act, 1961, are hereby amended by the substitution of “year of assessment” for “preceding year” wherever the latter words occur.

(b) Accordingly—

(i) notices given before the commencement of this Act for the purposes of that section stating that income tax will be deductible from emoluments paid in the year 1963-64, and

(ii) notices so given stating that it is not practicable to give effect to an election for such deductions,

shall have effect as if they were notices given for the purposes of that section as amended by this section.

(3) Where sur-tax is payable by a person for the year 1962-63 and for the year 1963-64, the amount of the sur-tax for the year 1962-63 shall, if it exceeds the sur-tax payable for the year 1963-64, be reduced by an amount equal to the sur-tax payable for the year 1963-64, and shall, if less than, or equal to, the sur-tax payable for the year 1963-64, be remitted.

26 Assessment and charge of sur-tax by inspectors of taxes.

26.—(1) References in subsections (1), (2) and (5) of section 7 of the Income Tax Act, 1918, and subsection (1) of section 22 of the Finance Act, 1922, to the special commissioners shall be construed as references to an inspector of taxes and the reference in subsection (3) of the said section 7 to the special commissioners shall be construed as a reference to the Revenue Commissioners.

(2) The following subsection is hereby substituted for subsection (7) of section 7 of the Income Tax Act, 1918:

“(7) An inspector of taxes may amend any assessment made under this section (including an assessment made before the 6th day of April, 1963) or make an assessment or an additional assessment at any time in respect of any year of assessment (including a year of assessment earlier than the year 1963-64, but not earlier than the year 1922-23).”

(3) Subsection (5) of section 54 of the Finance Act, 1958, is hereby amended by the insertion in paragraph (a) of “or sur-tax” after “income tax”.

(4) Subsection (6) of section 14 of the Finance Act, 1962, is hereby amended by the insertion after “income tax” of “or sur-tax” and by the deletion of “sur-tax or”.

27 Estimation of certain amounts.

27.—(1) Where—

(a) the total income of an individual from all sources includes income from any source or sources which is to be computed on the basis of the actual amounts receivable in the year of assessment or where any deductions allowable on account of any annual sums paid out of the property or profits of an individual are to be allowed as deductions in respect of the year in which they are payable, and

(b) an assessment to sur-tax is being made before the end of the year of assessment to which such assessment to sur-tax relates,

the inspector of taxes in making the assessment shall, in computing the total amount of income assessable to sur-tax, estimate the amount of income from each such source or the amount of any such allowable deductions and, in making any such estimate, he shall have due regard to any corresponding amount of income or allowable deductions in the year immediately preceding the year of assessment.

(2) Where—

(a) an estimate has been made under subsection (1) of this section,

(b) notice of an appeal against the assessment to sur-tax has not been given, and

(c) the person assessed gives to the inspector of taxes within a period of one year from the end of the year of assessment particulars of the correct amount of the income or deductions in respect of which the estimate was made,

the inspector of taxes shall adjust the assessment by reference to the difference between the correct amount of income assessable to sur-tax and the amount of the assessment, and any amount of sur-tax overpaid shall be repaid.

28 Payment of reduced amount of sur-tax pending determination of appeal.

28.—Where an appeal relating to sur-tax is taken and the Special Commissioners are of opinion that the amount of sur-tax charged in any assessment exceeds the amount of sur-tax which will be payable when the appeal is finally determined—

(a) the Special Commissioners shall order payment of such reduced amount of sur-tax as in their opinion is just, having regard to the information available,

(b) that reduced amount of sur-tax shall be collected and paid in all respects as if it was sur-tax charged in an assessment which had become final and conclusive,

(c) when the amount of sur-tax correctly chargeable has been finally determined, any balance of sur-tax chargeable in accordance with the determination shall be payable or any tax overpaid shall be repaid, as the case may require.

PART II. Customs and Excise.

29 Temporary importation of motor vehicles without payment of customs duty.

29.—(1) The Minister for Finance may make regulations providing for the temporary importation of motor vehicles without payment of customs duty, in such circumstances and subject to such conditions as may be specified in the regulations.

(2) Where a person contravenes, whether by act or omission, a condition under a regulation under this section, such person, without prejudice to any other penalty to which he may be liable, shall be guilty of an offence under the Customs Acts and shall be liable on summary conviction thereof to a penalty of one hundred pounds; and the motor vehicle shall be liable to forfeiture and the offender may either be detained or proceeded against by summons.

(3) For the purposes of this section “motor vehicle” means a mechanically propelled vehicle (including a bicycle and a tricycle) which derives its motive power from an internal combustion engine or from an electric motor and includes any vehicle which is designed, constructed and suitable for traction on a road by a mechanically propelled vehicle.

30 Deferment of payment of beer duty.

30.—The power under section 16 of the Inland Revenue Act, 1880, and the Finance Act, 1918, to defer the time for payment of beer duty may, in the case of lager beer which is kept for a period of at least three months in the premises in which it is brewed, be exercised so as to permit payment of duty on the beer to be deferred to a date not later than the 25th day of the fourth month after the month in which the duty was charged.

31 Relief by order from customs duties.

31.—(1) The Minister for Finance, whenever he considers that it is necessary or expedient to relieve any goods from customs duties chargeable with a view to conforming with an international convention or agreement to which the State is a party and which relates to matters other than commercial relations, may by order provide for the relief of those goods from all or any of those duties in such circumstances and subject to such conditions as may be specified in the order.

(2) An order made under this section may provide for the repayment of any duty paid on goods provided that the goods could, on the date on which the duty was paid, have been imported or delivered without payment of duty in accordance with an order made under this section.

(3) Where a person contravenes, whether by act or omission, a condition specified in an order under this section, such person, without prejudice to any other penalty to which he may be liable, shall be guilty of an offence under the Customs Acts and shall be liable on summary conviction thereof to a penalty of one hundred pounds; and any article in respect of which the offence was committed shall be liable to forfeiture and the offender may either be detained or proceeded against by summons.

(4) The Minister for Finance may by order revoke or amend an order made under this section.

(5) Every order made under this section shall be laid before each House of the Oireachtas as soon as may be after it is made and, if a resolution annulling the order is passed by either such House within the next twenty-one days upon which that House 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.

32 Amendment of section 2(2) of Betting Act, 1931.

32.—Subsection (2) of section 2 of the Betting Act, 1931, is hereby amended by the substitution of “one hundred pounds” for “five hundred pounds”.

33 Dog duty—general licence.

33.—(1) Any person who is liable to pay dog duty may elect to pay an annual sum of £10 in respect of such duty in lieu of the rate specified in subsection (1) of section 37 of the Finance Act, 1925, and this amount shall be paid and collected through the Post Office by means of a general licence to be taken out annually by such person.

(2) Any person who pays a sum of £10 and takes out a general licence in accordance with this section shall be deemed to have paid dog duty in respect of all dogs kept by him during the whole or any part of the year to which the general licence relates.

(3) Any reference to a licence in section 38 of the Finance Act, 1925, shall be construed as including a reference to a general licence provided for by this section.

(4) The foregoing subsections of this section shall come into operation on the 1st day of January, 1964.

34 Amendments relative to penalties.

34.—(1) Section 186 of the Customs Consolidation Act, 1876, is hereby amended by the substitution of “whichever is the greater” for “at the election of the Commissioners of Customs”.

(2) Subsection (1) of section 3 of the Customs Act, 1956, is hereby amended by the substitution of “whichever is the greater” for “at the election of the Revenue Commissioners”.

(3) Where in any enactment of the Customs Acts, other than the enactments specified in the foregoing subsections of this section, there occurs a provision under which the Revenue Commissioners may elect between alternative penalties, the enactment shall have effect as if, instead of providing for such election, it provided for the imposition of the greater of the penalties.

(4) The following provisions shall, notwithstanding any other enactment, have effect in relation to an offence under section 186 of the Customs Consolidation Act, 1876, section 3 of the Customs Act, 1956, or any enactment of the Customs Acts amended by subsection (3) of this section—

(a) an estimated value of the goods shall be stated in the summons, information or charge,

(b) the defendant may, by notice to the prosecution given before the commencement of the period of four days ending immediately before the date fixed for the hearing of the proceedings in the District Court (or given later by permission of that Court), challenge the estimated value,

(c) if the estimated value is not challenged—

(i) in case treble the estimated value exceeds one hundred pounds, the offence shall be tried on indictment, and

(ii) at the trial of the offence, whether on indictment or summarily, the estimated value shall be taken conclusively as being the value of the goods, without any further evidence of that value,

(d) if the estimated value is challenged—

(i) the justice of the District Court shall, before proceeding with the hearing, determine the value of the goods and the value so determined shall be final and not appealable,

(ii) where treble the value so determined exceeds one hundred pounds, the offence shall be tried on indictment,

(iii) at the trial of the offence, whether on indictment or summarily, the value so determined shall be taken conclusively as being the value of the goods, without any further evidence of that value,

(e) in estimating or determining pursuant to this subsection the value of the goods, that value shall be taken as the price which the goods might reasonably be expected to have fetched, after payment of any duty chargeable thereon, if they had been sold on the open market at or about the date of the commission of the offence.

(5) An offence under any enactment of the Customs Acts, other than an enactment referred to in the foregoing subsections of this section, shall be tried on indictment if the penalty exceeds or may exceed one hundred pounds.

(6) Nothing in the foregoing subsections of this section shall prevent—

(a) any action or other proceeding being brought under section 38 of the Finance Act, 1924, or

(b) any action, information or proceeding being brought in the High Court under section 11 of the Customs and Inland Revenue Act, 1879.

(7) In any application of subsection (4) of this section in relation to section 15 of the Tobacco Act, 1840, or section 106 of the Customs Consolidation Act, 1876—

(a) the references in the subsection to the value of the goods shall be construed as references to the amount or value of drawback sought or claimed,

(b) paragraph (e) of the subsection shall not apply.

(8) In every case tried on indictment by virtue of this section, the Attorney-General or the accused person shall be entitled on application to have the case sent forward to the Central Criminal Court.

(9) The definition of “Justice” in section 284 of the Customs Consolidation Act, 1876, is hereby amended by the addition thereto of “and shall also, in relation to a case tried in the Central Criminal Court, be construed as including a reference to the judge of that Court”.

(10) Section 232 of the Customs Consolidation Act, 1876, is hereby amended by the addition of the following sentence: “The requirement of committal contained in this section shall have effect subject to the proviso that there shall be a discretion to allow a period not exceeding three months for payment of the penalty and, where such a period is allowed, the offender shall not be committed if the penalty is paid during that period.”

(11) Section 1 of the Probation of Offenders Act, 1907, shall not apply in relation to offences under the Customs Acts.

35 Confirmation of Order.

35.—The Imposition of Duties (No. 133) (Matches) Order, 1963, is hereby confirmed.

PART III. Death Duties.

36 Amendment of section 33 of Finance Act, 1935.

36.—(1) Subsection (1) of section 33 of the Finance Act, 1935, is hereby amended by the substitution of “one thousand pounds” for “five hundred pounds”.

(2) This section shall have effect only in relation to persons dying after the passing of this Act.

PART IV. Corporation Profits Tax.

37 Increase of rate of corporation profits tax.

37.—(1) Section 35 of the Finance Act, 1941, shall not apply or have effect in respect of any accounting period ending on or after the 1st day of January, 1962, and in lieu thereof, the following provisions shall, subject to the next subsection, apply and have effect in respect of every such accounting period:

(i) subsection (1) of section 52 of the Finance Act, 1920, shall be construed and have effect as if “fifteen per cent.” were substituted for “five per cent.”;

(ii) paragraph (a) of the proviso to that subsection shall be construed and have effect as if “tax shall be charged at a rate of five per cent. on so much of the profits as does not exceed two thousand five hundred pounds, and where the profits are profits arising in some shorter accounting period, tax shall be charged at a rate of five per cent. on such amount of the profits as bears to two thousand five hundred pounds” were substituted for “no tax shall be charged on the first five hundred pounds thereof, and where the profits are profits arising in some shorter accounting period, no tax shall be charged on such amount of the profits as bears to five hundred pounds”;

(iii) paragraph (b) of that proviso shall be construed and have effect as if “twenty per cent.” were substituted for “ten per cent.”

(2) In the case of any such accounting period which began before the 1st day of January, 1962, the profits shall be apportioned between the part of the period before that day and the part thereof after the 31st day of December, 1961, in proportion to the respective lengths of those parts and—

(a) as respects so much of the profits as is apportioned to the first-mentioned part, corporation profits tax shall be charged thereon at the rate of ten per cent., provided that no tax shall be charged on so much thereof as bears to two thousand five hundred pounds the same proportion as that part bears to twelve months,

(b) as respects so much of the profits as is apportioned to the second-mentioned part, corporation profits tax shall be charged thereon at the rate of fifteen per cent., provided that tax shall be charged at the rate of five per cent. on so much thereof as bears to two thousand five hundred pounds the same proportion as that part bears to twelve months,

(c) the amount of tax payable by a company incorporated by or under the laws of the State shall in no case exceed the sum of the following amounts:

(i) the amount represented by fifteen per cent. of the balance of the profits apportioned to the first-mentioned part remaining after allowing such proportion of the deductions specified in paragraph (b) of the proviso to subsection (1) of section 52 of the Finance Act, 1920, as would be appropriate to that part if those deductions were apportioned in the same manner as the profits are required by this subsection to be apportioned, and

(ii) the amount represented by twenty per cent, of the balance of the profits apportioned to the second-mentioned part remaining after allowing such proportion of those deductions as would be appropriate to that part if those deductions were apportioned as aforesaid.

(3) (a) This subsection applies where the profits of the accounting period in question do not exceed—

(i) in case that accounting period is a period of twelve months—two thousand five hundred pounds, and

(ii) in case that accounting period is a period of less than twelve months—a sum which bears the same proportion to two thousand five hundred pounds as the length of the accounting period bears to twelve months.

(b) One-half of so much of the corporation profits tax chargeable for an accounting period beginning before and ending on or after the 1st day of January, 1962, as is referable to the profits apportioned pursuant to subsection (2) of this section to the part of that accounting period after the 31st day of December, 1961, shall not be payable.

(c) One-half of the corporation profits tax chargeable for an accounting period beginning on or after the 1st day of January, 1962, and ending on or before the 31st day of December, 1963, shall not be payable.

(d) One-half of so much of the corporation profits tax chargeable for an accounting period beginning before and ending on or after the 1st day of January, 1964, as is referable to the profits apportioned to the part of that accounting period before that day shall not be payable.

(e) For the purpose of paragraph (d) of this subsection, the profits apportioned to a part of an accounting period shall be the part of the profits of the accounting period apportioned to that part on an apportionment of the profits of the accounting period between that part and the remainder of the accounting period in proportion to the respective lengths of that part and such remainder.

(4) (a) Where the profits of an accounting period mentioned in paragraph (c) of the immediately preceding subsection exceed the sum which bears to two thousand five hundred pounds the same proportion as the length of the accounting period bears to twelve months, the tax payable for the accounting period shall not exceed the aggregate of—

(i) the amount of tax which would have been payable if the profits of the accounting period had not exceeded the said sum, and

(ii) one-quarter of the amount by which the profits exceed the said sum.

(b) Where, in the case of an accounting period mentioned in paragraph (b) or (d) of the immediately preceding subsection, the profits apportioned to the part of the accounting period after the 31st day of December, 1961, or, as the case may be, before the 1st day of January, 1964, exceed the sum which bears to two thousand five hundred pounds the same proportion as the length of that part bears to twelve months, the tax payable on those profits shall not exceed the aggregate of—

(i) the amount of tax which under the said paragraph (b) or paragraph (d) would have been payable on those profits if they had not exceeded the said sum, and

(ii) one-quarter of the amount by which those profits exceed the said sum.

(5) Any additional corporation profits tax payable by virtue of the alterations in the law made by this section in respect of any accounting period ending on or after the 1st day of January, 1962, may be assessed and recovered notwithstanding that corporation profits tax has already been assessed in respect of that period.

38 Application of section 227 of Income Tax Act, 1918.

38.—Section 227 of the Income Tax Act, 1918, shall apply to corporation profits tax and, notwithstanding subsection (4) of section 10 of the Petty Sessions (Ireland) Act, 1851, summary proceedings under that section as so applied may be instituted within three years from the date of the committing of the offence.

39 Amendment of section 13 of Finance (Miscellaneous Provisions) Act, 1956.

39.—Subsection (10) of section 13 of the Finance (Miscellaneous Provisions) Act, 1956, shall apply to any accounting period or part of an accounting period of the company within the period of five years commencing on the 1st day of October, 1961, as if—

(a) “accounting period”, wherever occurring in that subsection, referred to it, and

(b) for “reduced by twenty-five per cent.” in paragraph (a) of the said subsection (10) there were substituted—

(i) in case it is an accounting period or part of an accounting period within the first of those years, “reduced by twenty per cent.”,

(ii) in case it is an accounting period or part of an accounting period within the second of those years, “reduced by fifteen per cent.”,

(iii) in case it is an accounting period or part of an accounting period within the third of those years, “reduced by ten per cent.”,

(iv) in case it is an accounting period or part of an accounting period within the fourth and fifth of those years, “reduced by five per cent.”.

PART V. Stamp Duties.

40 Termination of stamp duty on bills of lading.

40.—(1) The stamp duty charged by the Stamp Act, 1891, under the heading “Bill of Lading” in the First Schedule to that Act shall cease to be chargeable.

(2) This section shall come into operation on the 1st day of August, 1963, or the date of the passing of this Act, whichever is the later.

41 Exemption from stamp duty on certain bills of exchange.

41.—The First Schedule to the Stamp Act, 1891, shall have effect as if the following exemption were inserted therein under the heading “Bill of Exchange or Promissory Note”:

“Bill drawn on any form supplied by the Revenue Commissioners for the purpose of remitting amounts of turnover tax”.

42 Amendment of sections 33 and 34 of Finance Act, 1961.

42.—(1) Subsection (4) of section 33 of the Finance Act, 1961, shall not apply to a conveyance or transfer to a body corporate incorporated in the State otherwise than under the Companies Acts, 1908 to 1959, and subsection (4) of section 34 of that Act shall not apply to a lease to such a body.

(2) This section shall come into operation on the 1st day of August, 1963, or the date of the passing of this Act, whichever is the later.

43 Extension of section 19 of Finance Act, 1950.

43.—Section 19 of the Finance Act, 1950, is hereby amended—

(a) by the substitution in subsection (1) of “a business of issuing policies of insurance” for “industrial assurance business”,

(b) by the substitution in subsection (3) of “the business to which the agreement relates” for “its industrial assurance business”.

44 Alteration of stamp duties on conveyances and transfers of stock and marketable securities.

44.—(1) Conveyances or transfers of stocks or marketable securities, instead of being chargeable with stamp duty at the rates in force immediately before the commencement of this section, shall be chargeable with that duty at the following rates:

When the amount or value of the consideration for the sale does not exceed
exceed £1 5s.							3d.
Exceeds £1 5s. and does not exceed £2 10s.							6d.
”	£2 10s.	”	”	”	”	£3 15s.	9d.
”	£3 15s.	”	”	”	”	£5	1s.
”	£5	”	”	”	”	£10	2s.
”	£10	”	”	”	”	£15	3s.
”	£15	”	”	”	”	£20	4s.
”	£20	”	”	”	”	£35	5s.
”	£35	”	”	”	”	£60	10s.
”	£60	”	”	”	”	£80	15s.
”	£80	”	”	”	”	£100	20s.
”	£100	”	”	”	”	£125	25s.
”	£125	”	”	”	”	£150	30s.
”	£150	”	”	”	”	£175	35s.
”	£175	”	”	”	”	£200	40s.
”	£200	”	”	”	”	£225	45s.
”	£225	”	”	”	”	£250	50s.
”	£250	”	”	”	”	£275	55s.
”	£275	”	”	”	”	£300	60s.
”	£300
For every £50, and also for any fractional part of £50, of such amount or value							10s.

(2) This section shall come into operation on the 1st day of August, 1963, or the date of the passing of this Act, whichever is the later.

45 Agreement as to stamp duty on certain instruments.

45.—(1) The Revenue Commissioners may, if they in their discretion so think proper, enter into an agreement with any local authority to which this section applies for the composition, in accordance with the following provisions of this section, of the stamp duty chargeable under the heading “Bill of Exchange or Promissory Note” in the First Schedule to the Stamp Act, 1891, on instruments drawn by the local authority on their banker on forms provided by themselves.

(2) Any such agreement shall be in such form and on such terms and shall contain such conditions as the Revenue Commissioners think proper and, in particular, the agreement shall require the local authority to deliver to the Revenue Commissioners periodical accounts in respect of the instruments to which it relates giving particulars of those instruments.

(3) While any such agreement remains in force, any instrument to which it relates and which bears such indication of the payment of stamp duty as the Revenue Commissioners may require shall not be chargeable with stamp duty, but, in lieu thereof and by way of composition, the local authority who have entered into the agreement shall pay to the Revenue Commissioners, on the delivery of any account under the agreement, such sums as would, but for the provisions of this section, have been chargeable by way of stamp duty on instruments to which the agreement relates drawn during the period to which the account relates.

(4) Where the local authority concerned make default in delivering any account required by any such agreement or in paying the duty payable on the delivery of any such account, they shall be liable to a fine not exceeding fifty pounds for any day during which the default continues and shall also be liable to pay, in addition to the duty, interest thereon, which shall be recoverable in the same manner as if it were part thereof, at the rate of five per cent. per annum from the date when the default begins.

(5) This section applies to the following local authorities:

(a) the council of a county,

(b) the corporation of a county or other borough,

(c) the Dublin Health Authority,

(d) the Cork Health Authority,

(e) the Limerick Health Authority,

(f) the Waterford Health Authority.

PART VI. Turnover Tax.

46 Interpretation (Part VI).

46.—In this Part of and the First Schedule to this Act, save where the context otherwise requires—

“body of persons” has the same meaning as is given to that expression in section 237 of the Income Tax Act, 1918;

“goods” has the same meaning as in the Sale of Goods Act, 1893;

“hotel” includes any guest house, holiday hostel, holiday camp, motor hotel, motel, coach hotel, motor inn, motor court or tourist court;

“month” means any of the months January to December;

“secretary” includes such persons as are mentioned in subsection (1) of section 106 of the Income Tax Act, 1918, and subsection (1) of section 55 of the Finance Act, 1920;

“tax” means tax chargeable by virtue of this Part of this Act.

47 Charge of turnover tax.

47.—(1) With effect on and from the 1st day of November, 1963, a tax, to be called turnover tax, shall, subject to this Part of this Act and the regulations thereunder, be charged, levied and paid—

(a) on moneys received in respect of all or any of the following activities:

(i) sale of goods sold in the course of business (including goods sold before the 1st day of November, 1963),

(ii) hire of goods hired in the course of business (including goods hired before the 1st day of November, 1963),

(iii) provision of services provided in the course of business (including services provided before the 1st day of November, 1963),

(iv) acceptance of bets made or entered into with the holder of a bookmaker's licence under the Betting Act, 1931,

(v) acceptance of stakes staked by means of a totalisator to which a licence under the Totalisator Act, 1929, relates,

(vi) acceptance of stakes staked at gaming to which a licence under Part III of the Gaming and Lotteries Act, 1956, relates,

(vii) issue of tickets or coupons issued for the purpose of a lottery to which a licence under Part IV of the Gaming and Lotteries Act, 1956, relates,

(viii) acceptance of entry fees in respect of crossword puzzles, competitions and contests promoted through the medium of newspapers and other publications,

(ix) entertainments as defined in Section 1 of the Finance (New Duties) Act, 1916 (including any ball or dance);

(b) on goods imported into the State.

(2) For the purposes of subsection (1) of this section, the moneys received in respect of the acceptance of bets made or entered into with the holder of a bookmaker's licence under the Betting Act, 1931, shall be the aggregate of the sums of money which by the terms of the bets such holder will be entitled to receive, retain or take credit for if the events which are the subjects of the bets are determined in his favour.

(3) In a case in which the moneys received by the person providing an entertainment referred to in subsection (1) of this section have not in any month exceeded, and are not likely in any month to exceed, £100, and he has hired the premises in which the entertainment takes place, the reference in that subsection to the moneys received in respect of the entertainment shall be construed as a reference to the moneys received by the proprietor of those premises in respect of the hiring.

(4) Moneys received from sales of goods sold by a club or other body of persons to any of its members shall be liable to tax to the same extent as if the sales were made to persons who are not members.

(5) Tax shall not be chargeable under subsection (1) of this section on moneys received in respect of the sale of goods delivered to or the provision of services provided for persons outside the State or on moneys received in respect of admissions to sporting events or in respect of the hiring of premises for the purpose of sporting events.

48 Persons accountable.

48.—(1) Save as otherwise provided by this Part of this Act, the person accountable for and liable to pay tax shall be—

(a) in the case of goods sold—the seller,

(b) in the case of goods hired—the person from whom the hirer hired the goods,

(c) in the case of the provision of services—the provider,

(d) in the case of the acceptance of bets made or entered into with the holder of a bookmaker's licence under the Betting Act, 1931—such holder,

(e) in the case of the acceptance of stakes staked by means of a totalisator to which a licence under the Totalisator Act, 1929, relates—the holder of the licence,

(f) in the case of the acceptance of stakes staked at gaming to which a licence under Part III of the Gaming and Lotteries Act, 1956, relates—the holder of the licence,

(g) in relation to the issue of tickets or coupons issued for the purposes of a lottery to which a licence under Part IV of the Gaming and Lotteries Act, 1956, relates—the holder of the licence,

(h) in the case of the acceptance of entry fees in respect of crossword puzzles, competitions and contests promoted through the medium of newspapers and other publications—the promoter,

(i) in the case of entertainments—in case the person providing the entertainment hired the premises in which the entertainment takes place and subsection (3) of section 47 of this Act does not apply, the person providing the entertainment and, in any other case, the proprietor of the premises.

(2) (a) Tax shall not be chargeable and a person shall not be accountable for tax on the moneys received by him in relation to any exempted activity.

(b) In the foregoing paragraph “exempted activity” means any activity which is mentioned in the First Schedule to this Act or is declared by the Minister for Finance by order to be, for the purposes of this subsection, exempted.

(3) (a) (i) Subject to subparagraph (ii) of this paragraph, a person who sells goods in the course of business may at his discretion elect to be accountable for tax on the moneys received by him in relation to the activities in which he engages in a case in which those moneys have not in any month exceeded, and are not likely in any month to exceed, £250, and unless he so elects and subject to paragraph (d) of this subsection, tax shall not be chargeable and he shall not be accountable for tax on those moneys.

(ii) Subparagraph (i) of this paragraph shall apply if, but only if, not less than 90 per cent. of the moneys received are received in respect of the sale of goods.

(b) (i) Subject to subparagraph (ii) of this paragraph, a person who sells goods in the course of business, other than a person to whom paragraph (a) of this subsection applies, may at his discretion elect to be accountable for tax on the moneys received by him in relation to the activities in which he engages in a case in which those moneys have not in any month exceeded, and are not likely in any month to exceed, £750, and unless he so elects and subject to paragraph (e) of this subsection, tax shall not be chargeable and he shall not be accountable for tax on those moneys.

(ii) Subparagraph (i) of this paragraph shall apply if, but only if, not less than 90 per cent. of the moneys received are received in respect of the sale of goods which have been procured by the seller from a person accountable for tax in respect of his sale of those goods.

(c) A person, other than a person to whom paragraph (a) or paragraph (b) of this subsection applies, may at his discretion elect to be accountable for tax on the moneys received by him in relation to the activities in which he engages in a case in which those moneys have not in any month exceeded, and are not likely in any month to exceed, £100, and unless he so elects and subject to paragraph (f) of this subsection, tax shall not be chargeable and he shall not be accountable for tax on those moneys.

(d) Where a person has not been accountable for tax by virtue of paragraph (a) of this subsection and the moneys received by him in relation to the activities in which he engages exceed £250 in each of two successive months, he shall become accountable for tax immediately on the expiration of the second month.

(e) Where a person has not been accountable for tax by virtue of paragraph (b) of this subsection and the moneys received by him in relation to the activities in which he engages exceed £750 in each of two successive months, he shall become accountable for tax immediately on the expiration of the second month.

(f) Where a person has not been accountable for tax by virtue of paragraph (c) of this subsection and the moneys received by him in relation to the activities in which he engages exceed £100 in any month he shall become accountable for tax from the commencement of such month.

(4) Reference in this Part of this Act to persons accountable and accountability in relation to tax shall be construed by reference to the foregoing provisions of this section.

49 Registration.

49.—(1) The Revenue Commissioners shall set up and maintain a register of persons who may become or who are accountable for tax and shall allot a registration number to every person registered and shall cancel such number if the person does not become or ceases to be accountable for tax.

(2) Every person who on the appointed day is carrying on any activity with respect to which section 48 of this Act provides for accountability, or who, after the appointed day commences or is about to commence to carry on any such activity, may after the appointed day, but not earlier than one month before he commences to carry on the relevant activity, furnish in writing to the Revenue Commissioners the particulars specified in the regulations under section 52 of this Act as being required for the purpose of registering such person.

(3) Where a person after the appointed day is carrying on any such activity as is mentioned in subsection (2) of this section and has not already furnished the particulars mentioned in that subsection he shall do so within the period of nine days beginning on the appointed day or on the day thereafter on which he commences to carry on the activity.

(4) Subsection (3) of this section shall not compel any person to furnish particulars in a case falling within the description mentioned in paragraph (a), paragraph (b) or paragraph (c) of subsection (3) of section 48 of this Act.

(5) In this section “the appointed day” means the day appointed by the Minister for Finance by order to be the appointed day for the purposes of this section.

(6) A registered person who has not elected under subsection (3) of section 48 of this Act shall be taken as a person not entitled so to elect.

50 Exception in the case of moneys received from registered persons in certain cases.

50.—(1) (a) Tax shall not be charged on moneys received from a registered person for or in respect of goods sold or hired to him or services provided for him for the purposes of activities with respect to which section 48 of this Act provides for his being the accountable person if (but only if)—

(i) he has given to the person from whom the goods were bought or hired or by whom the services were provided a statement in writing quoting his registration number, and

(ii) in a case of a sale or hire of goods otherwise than to a dealer therein, the goods do not fall within any of the descriptions set out in the Second Schedule to this Act.

(b) For the purposes of the foregoing paragraph registered persons carrying on business as proprietors of hotels and restaurants may be treated as if they were dealers in the goods required for the purposes of their business, but this provision shall not apply in relation to—

(i) motor vehicles designed for the conveyance of persons by road, or

(ii) hydrocarbon oils for domestic use or for road transport.

(2) Where a registered person is sold or hired goods or provided with services by a person to whom he has given a statement under subparagraph (i) of paragraph (a) of the foregoing subsection and the circumstances are such that tax is chargeable, he shall so notify that person.

51 Withdrawing goods from stock.

51.—(1) A person withdrawing goods from stock for his own use or for the use of any other person, shall, for the purposes of this Part of this Act, be deemed thereby to have received payment in respect of a sale of the goods at the retail price current at the time of the withdrawal.

(2) The foregoing subsection does not apply in the case of a withdrawal of goods, not being goods of any of the descriptions specified in the Second Schedule to this Act, if the goods are required by the person withdrawing them exclusively for the purposes of his business.

52 Regulations.

52.—(1) The Revenue Commissioners shall make such regulations as seem to them to be necessary for the purpose of giving effect to this Part of this Act and of enabling them to discharge their functions thereunder and, without prejudice to the generality of the foregoing, the regulations may make provision in relation to all or any of the following matters:

(a) particulars required for registration and the manner in which registration is to be effected and cancelled,

(b) the manner in which and the times at which the tax is to be paid and collected (and it is hereby declared that the procedures for payment and collection may include a procedure for payment and collection by means of stamps affixed to cards),

(c) the manner in which tax is to be recovered in cases of default in payment,

(d) the keeping by persons accountable for tax of accounts and records, and the preserving of such documents and supporting documents,

(e) disclosure to the Revenue Commissioners of such information as they may require for the ascertainment of liability to tax,

(f) the production to and inspection and removal by persons authorised by the Revenue Commissioners of invoices, receipts, books, records, accounts and other documents for the purpose of satisfying themselves as to whether tax has been duly paid,

(g) the refund of tax paid to the Revenue Commissioners by registered persons in excess of the amount required by law,

(h) the remission at the discretion of the Revenue Commissioners of small amounts of tax and interest,

(i) the remission or refund of tax payable by bookmakers in respect of void and uncollectable bets and bets laid with other bookmakers,

(j) matters consequential on the death of a registered person or his becoming subject to any incapacity,

(k) service of notices,

(l) the nomination by the Revenue Commissioners of officers to perform any acts and discharge any functions authorised by this Part of this Act to be performed or discharged by the Revenue Commissioners,

(m) the acceptance of estimates (whether or not subject to subsequent review) of taxable turnover where particulars of actual moneys received are not readily available,

(n) specification of anything referred to, in the First Schedule to this Act, as specified by regulations under this section.

(2) Regulations under this section may make different provisions in relation to different cases and may in particular provide for differentiation between different classes of persons affected by this Part of this Act and for the adoption of different procedures for different such classes.

(3) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next twenty-one days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.

53 Rate of tax.

53.—(1) Subject to subsection (2) of this section, the tax shall be two and one-half per cent. of the taxable turnover of the accountable person and the amount of tax chargeable during every month shall be paid after the expiration of the month in accordance with the regulations under this Part of this Act.

(2) In respect of any month—

(a) where the taxable turnover does not exceed £100, the tax shall be 5s.,

(b) Where the taxable turnover exceeds £100, the tax chargeable in respect of the first £100 shall be 5s.

(3) Where it is shown to the satisfaction of the Revenue Commissioners that—

(a) any part of the taxable turnover of an accountable person in any month consisted of moneys paid under a contract entered into before the 1st day of August, 1963, which provides for the sale or hire of goods or the provision of services at prices or charges fixed before that day, or

(b) any part of the taxable turnover of an accountable person in the month of November, 1963, or any of the four months next following that month consisted of moneys received in respect of goods sold or hired or services provided before the 1st day of August, 1963,

the Revenue Commissioners may repay the tax paid on that part or, at their discretion, allow it to be set off against the tax payable in any month.

(4) In this section “taxable turnover” means the total amount of money received by the accountable person on account of the activities in respect of which he is accountable.

54 Estimation of tax due.

54.—(1) If on any occasion an accountable person fails to furnish in accordance with the relevant regulations the particulars necessary for the ascertainment of the amount of tax due by him, then, without prejudice to any other action which may be taken, the Revenue Commissioners may on each such occasion estimate the amount of tax due by him and serve notice on him of the amount estimated.

(2) Where a notice is served under subsection (1) of this section on a person—

(a) the person may, if he claims that he is not an accountable person, by notice in writing given to the Revenue Commissioners within the period of fourteen days from the service of the notice, require the claim to be referred for decision to the Special Commissioners of Income Tax and their decision shall be final and conclusive,

(b) on the expiration of the said period, if no such claim is required to be so referred, or, if such claim is required to be so referred, on determination by the Special Commissioners of Income Tax against the claim, the estimated tax specified in the notice shall be recoverable in the same manner and by the like proceedings as if the person had sent, in accordance with the relevant regulations, particulars showing as due by him such estimated tax,

(c) if the person furnishes the particulars at any time after the service of the notice and tax has been paid in accordance with the particulars, together with any interest and costs which may have been incurred in connection with the default, the notice shall stand discharged and any excess which may have been paid shall be repaid.

55 Interest.