Finance Act 1983

(a) by virtue of section 41 the amount of advance corporation tax payable by a company in respect of distributions made by it in an accounting period is less than the amount of advance corporation tax which would have been payable by the company in respect of those distributions if that section had not been enacted, and

(b) either—

(i) no amount is treated under section 41 (3) as a tax credit in respect of a distribution received by the company in the accounting period, or

(ii) the aggregate amount of the tax credits in respect of distributions made by the company in the accounting period is greater than the amount which is so treated under section 41 (3),

then, an amount of the tax credits in respect of distributions received by the company in the accounting period shall not be available for payment to the company under any provision of the Corporation Tax Acts, and the amount which is not so available shall be the aggregate amount of the tax credits in respect of distributions received by the company in the accounting period or, if it is less, an amount determined by the formula

A—B

where—

A is the aggregate amount of the tax credits in respect of distributions made by the company in the accounting period, and

B is the amount (if any) so treated under section 41 (3).

(2) For the purposes of subsection (1) account shall not be taken of any distribution made before the 9th day of February, 1983, or of any distribution which is treated as not being a distribution for the purposes of section 38 or 41 under any provision of this Chapter.

44 Group-dividends.

44.—(1) Where a company receives dividends from another company (both being companies resident in the State) and the company paying the dividends is—

(a) a 51 per cent. subsidiary of the other or of a company so resident of which the other is a 51 per cent. subsidiary, or

(b) a trading or holding company owned by a consortium the members of which include the company receiving the dividends,

then, subject to the following provisions of this section, the company receiving the dividends and the company paying them may jointly elect that this subsection shall apply to the dividends received from the latter by the former, and so long as the election is in force—

(i) any such dividends shall be treated as not being distributions for the purposes of either section 38 or 41, and

(ii) the tax credits in respect of those dividends shall not be available for payment, under any provision of the Corporation Tax Acts, to the company by which the dividends are received.

(2) Subsection (1) shall not apply to any dividend received by a company on any investments if a profit on the sale of those investments would be treated as a trading receipt of that company.

(3) Where a company purports by virtue of an election under subsection (1) to pay any dividend without paying advance corporation tax and advance corporation tax ought to have been paid, the inspector may make such assessments, adjustments or set-offs as may in his judgment be required for securing that the resulting liabilities to tax (including interest on unpaid tax) of the company paying and the company receiving the dividend are, so far as possible, the same as they would have been if the advance corporation tax had been duly paid.

(4) Where tax assessed under subsection (3) on the company which paid the dividend is not paid by that company before the expiry of three months from the date on which that tax is payable, that tax shall, without prejudice to the right to recover it from that company, be recoverable from the company which received the dividend.

(5) Subsections (5) and (6) of section 105 of the Corporation Tax Act, 1976, shall apply for the purposes of this section as they apply for the purposes of that section.

(6) References in this section to a dividend or dividends received by a company apply to any received by another person on behalf of or in trust for the company but not to any received by the company on behalf of or in trust for another person.

(7) The provisions of section 106 of the Corporation Tax Act, 1976, shall, with any necessary modifications, have effect for the purposes of this section as they have effect for the purposes of section 105 of that Act.

45 Surrender of advance corporation tax.

45.—(1) Where a company (hereafter in this section referred to as “the surrendering company”) has paid an amount of advance corporation tax in respect of a dividend or dividends paid by it in an accounting period and the advance corporation tax has not been repaid, and if throughout the accounting period the surrendering company would be treated as a member of a group of companies for the purposes of group relief under Part XI of the Corporation Tax Act, 1976, it may, on making a claim to the inspector, surrender the benefit of the whole or any part of that amount to any company (hereafter in this section referred to as “the recipient company”) which for the purposes of the said group relief would be treated as a member of the same group of companies throughout that accounting period or (in such proportions as the surrendering company may determine) to any two or more such companies.

(2) Subject to subsections (4) and (5), where the benefit of any amount of advance corporation tax (hereafter in this section referred to as “the surrendered amount”) is surrendered under this section to a recipient company, then—

(a) if the advance corporation tax mentioned in subsection (1) was paid in respect of one dividend only or of dividends all of which were paid on the same date, the recipient company shall be treated for the purposes of section 39 as having paid an amount of advance corporation tax equal to the surrendered amount in respect of a distribution made by it on the date on which the dividend or dividends were paid,

(b) if the advance corporation tax mentioned in subsection (1) was paid in respect of dividends paid on different dates, the recipient company shall be treated for the purposes of section 39 as having paid an amount of advance corporation tax equal to the appropriate part of the surrendered amount in respect of a distribution made by it on each of those dates.

(3) For the purposes of paragraph (b) of subsection (2) “the appropriate part of the surrendered amount”, in relation to any distribution treated as made on the same date as that on which a dividend was paid, means such part of that amount as bears to the whole of it the same proportion as the amount of the tax credit in respect of that dividend bears to the total amount of the tax credits in respect of the dividends mentioned in that paragraph.

(4) No amount of advance corporation tax which a recipient company is treated as having paid by virtue of subsection (2) shall, under section 39 (2), be set against the recipient company's liability to corporation tax; but in determining for the purposes of subsections (2) and (3) of the said section 39 what (if any) amount of surplus advance corporation tax there is in any accounting period of a recipient company, an amount so treated as having been paid shall be set against the recipient company's liability to corporation tax before any advance corporation tax paid in respect of any distribution made by the recipient company.

(5) No amount of advance corporation tax which a recipient company is treated as having paid by virtue of subsection (2) shall be set against the recipient company's liability to corporation tax for any accounting period in which, or in any part of which, the recipient company and the surrendering company would not be treated for the purposes of group relief under Part XI of the Corporation Tax Act, 1976, as members of the same group of companies.

(6) Any claim under this section shall be made within two years after the end of the accounting period to which it relates and shall require the consent of the recipient company or companies concerned (which shall be notified to the inspector in such form as the Revenue Commissioners may require).

(7) No amount of advance corporation tax which has been set off under section 39 (1) or dealt with under section 39 (2) shall be available for the purposes of a claim under this section; and no amount of advance corporation tax, the benefit of which has been surrendered under this section, shall be treated for the purposes of the said section 39 as advance corporation tax paid by the surrendering company.

(8) A payment made by a recipient company to a surrendering company in pursuance of an agreement between them as respects the surrender of the benefit of an amount of advance corporation tax, being a payment not exceeding that amount—

(a) shall not be taken into account in computing profits or losses of either company for corporation tax purposes, and

(b) shall not, for any of the purposes of the Corporation Tax Acts, be regarded as a distribution or a charge on income.

46 Change in ownership of company: calculation and treatment of advance corporation tax.

46.—(1) This section applies if—

(a) within any period of three years there is both a change in the ownership of a company and (either earlier or later in that period, or at the same time) a major change in the nature or conduct of a trade or business carried on by the company, or

(b) at any time after the scale of the activities in a trade or business carried on by a company has become small or negligible, and before any considerable revival of the trade or business, there is a change in ownership of the company.

(2) Sections 39, 41 and 50 shall apply to an accounting period in which the change of ownership occurs as if the part ending with the change of ownership, and the part after, were two separate accounting periods; and for that purpose the income of the company charged to corporation tax for the accounting period (as defined in section 39 (4)) shall be apportioned between those parts.

(3) No advance corporation tax paid by the company in respect of distributions made in an accounting period beginning before the change of ownership shall be treated under section 39 (3) as paid by it in respect of distributions made in an accounting period ending after the change of ownership; and this subsection shall apply to an accounting period in which the change of ownership occurs as if the part ending with the change of ownership, and the part after, were two separate accounting periods.

(4) In subsection (1) (a) “major change in the nature or conduct of a trade or business” includes—

(a) a major change in the type of property dealt in, or services or facilities provided, in the trade or business, or

(b) a major change in customers, outlets or markets of the trade or business, or

(c) a change whereby the company ceases to be a trading company and becomes an investment company or vice versa, or

(d) where the company is an investment company, a major change in the nature of the investments held by the company,

and this section applies even if the change is the result of a gradual process which began outside the period of three years mentioned in subsection (1) (a).

(5) In this section—

“trading company” means a company whose business consists wholly or mainly of the carrying on of a trade or trades;

“investment company” means a company (other than a holding company) whose business consists wholly or mainly in the making of investments and the principal part of whose income is derived therefrom;

“holding company” means a company whose business consists wholly or mainly in the holding of shares or securities of companies which are its 90 per cent. subsidiaries and which are trading companies.

(6) Subsection (3) applies to advance corporation tax which a company is treated as having paid by virtue of section 45 (2) as it applies to advance corporation tax which has been paid by the company.

(7) Subsections (6) and (7) of section 27 of the Corporation Tax Act, 1976, shall apply for the purposes of this section as they apply for the purposes of that section and shall so apply as if—

(a) the reference in paragraph 3 of Part I of the Fifth Schedule to the Finance Act, 1973, to losses or capital allowances were a reference to advance corporation tax, and

(b) the reference in paragraph 7 of the said Part I to the 16th day of May, 1973, were a reference to the 9th day of February, 1983.

(8) Section 149 of the Corporation Tax Act, 1976, shall apply in relation to a notice given under paragraph 9 of Part I of the Fifth Schedule to the Finance Act, 1973 (as applied for the purposes of this section by subsection (7)) as it applies in relation to such a notice given for the purposes of section 27 of the Corporation Tax Act, 1976.

(9) This section shall not apply if the change of ownership took place before the 9th day of February, 1983, and subsection (1) (a) shall not apply if the major change in the nature or conduct of the trade or business was completed before that date; but in other respects this section shall have effect by reference to circumstances and events before that date, as well as by reference to later circumstances and events.

47 Distributions to certain non-resident companies.

47.—(1) (a) This section applies to any distribution which—

(i) is a distribution by virtue only of section 84 (2) (d) (iv) of the Corporation Tax Act, 1976, or

(ii) is a dividend paid by a company (hereafter in this subsection referred to as the “first-mentioned company”) to another company—

(I) of which the first-mentioned company is a 75 per cent. subsidiary, and,

(II) which is a resident of the United States of America or of a territory with the government of which arrangements having the force of law by virtue of section 361 of the Income Tax Act, 1967, have been made.

(b) For the purposes of paragraph (a)—

“resident of the United States of America” has the meaning assigned to it by the Convention set out in Schedule 8 to the Income Tax Act, 1967;

a company shall be regarded as being a resident of a territory other than the United States of America if it is so regarded under the provisions of arrangements made with the government of that territory and having the force of law by virtue of section 361 of the said Act.

(2) Where a company proves that this section applies to a distribution made by it and claims to have the distribution treated as not being a distribution for the purposes of section 38, then—

(a) the distribution shall be so treated, and

(b) notwithstanding any provision of the Tax Acts, the company to which the distribution is made shall not be entitled to a tax credit in respect of the distribution.

(3) Any claim under this section shall be made in the return made under section 50 for the accounting period in which the distribution is made and shall require the consent, notified to the inspector in such form as the Revenue Commissioners may require, of the company to which the distribution is made.

(4) Subsection (1) of section 361 of the Income Tax Act, 1967, is hereby amended by the substitution for “, the arrangements shall, notwithstanding anything in any enactment,” of “and section 47 of the Finance Act, 1983, the arrangements shall, notwithstanding anything in any enactment, other than the said section 47,”, and the said subsection (1), as so amended, is set out in the Table to this subsection.

TABLE

48 Interest in respect of certain securities.

48.—(1) Subject to subsection (2), this section applies to any interest which is a distribution and which is paid by a company in respect of a security of the company falling within subparagraph (ii), (iii) (I) or (v) of section 84 (2) (d) of the Corporation Tax Act, 1976, where—

(a) the security in respect of which the interest is paid was issued by the company to another company the ordinary trading activities of which include the lending of money, and

(b) either—

(i) the obligation to pay the interest was entered into before the 9th day of February, 1983, or

(ii) that obligation was entered into before the 9th day of June, 1983, pursuant to negotiations which were in progress on the 9th day of February, 1983:

Provided that an obligation shall be treated for the purposes of paragraph (b) as having been entered into before a particular date if, but only if, before that date, there was in existence a binding contract in writing under which that obligation arose and, where that contract was subject to the execution of a loan agreement, that the loan agreement was duly executed before the 9th day of June, 1983.

(2) (a) Where the period of repayment (hereafter in this subsection referred to as “the repayment period”) of either principal or interest provided for under such an obligation as is referred to in subsection (1) (b) is extended on or after the 9th day of February, 1983 (whether or not the right to such an extension arose out of the terms of the contract creating that obligation), then, subject to paragraph (b), this section shall not apply to any interest which is paid in respect of the period by which the repayment period is extended.

(b) Where the repayment period is extended before the 9th day of June, 1983, pursuant to negotiations which were in progress on the 9th day of February, 1983, paragraph (a) shall not apply to any interest which is paid in respect of the shorter of the following periods, that is to say—

(i) the period by which the repayment period is extended, and

(ii) the first five years of the period mentioned in subparagraph (i).

(3) Interest to which this section applies shall not be treated as a distribution for the purposes of either section 38 or 41.

(4) The tax credit in respect of any interest to which this section applies shall not be available, under any provision of the Corporation Tax Acts, for payment to the person by whom the interest is received.

49 Dividends paid before 1st July, 1983.

49.—(1) This section applies to a dividend which is paid by a company on or after the 9th day of February, 1983, and before the 1st day of July, 1983, and which—

(a) was declared by the company in general meeting before the first-mentioned date, or

(b) was declared in general meeting on or after the first-mentioned date, but in accordance with a recommendation of the directors, and the directors' decision to make that recommendation was, with the authority of the directors, publicly announced before that date, or

(c) was paid in accordance with a decision of the directors, and that decision was, with their authority, publicly announced before the first-mentioned date.

(2) Where a company proves that this section applies to a dividend paid by it, and claims to have the dividend treated as not being a distribution for the purposes of section 38, then—

(a) the dividend shall be so treated, and

(b) the dividend shall also be treated as not being a distribution for the purposes of section 41.

(3) A claim under this section shall be made to the inspector and shall be so made before the 9th day of August, 1983.

50 Returns and collection of advance corporation tax.

50.—(1) This section shall have effect for the purpose of regulating the time and manner in which advance corporation tax is to be accounted for and paid.

(2) A company shall, for each of its accounting periods make, in accordance with this section, a return to the Collector-General of the distributions made and distributions received by it in that period and of the advance corporation tax (if any) payable by it in respect of the distributions made by it.

(3) A return for any period for which a return is required to be made under this section shall be made within six months from the end of that period.

(4) A return under this section need not be made by a company for an accounting period in which it has not made a distribution.

(5) (a) The return made by a company for an accounting period shall show—

(i) the amount of the distributions made by the company in the period and the amount of the tax credits in respect of those distributions,

(ii) the amount (if any) of the distributions received by the company in the period and the amount of the tax credits in respect of those distributions,

(iii) the amount of any tax credit which is carried forward to the accounting period and treated under section 41 (3) as a tax credit in respect of a distribution received by the company in that period, and

(iv) the amount (if any) of advance corporation tax which is payable by the company in respect of the distributions made by it in the period.

(b) The return shall specify whether any amount of tax credits is included pursuant to paragraph (a) (i) in respect of distributions which are treated as not being distributions for the purposes of section 38 under any provision of this Chapter and, if so, the amount so included.

(c) The return shall specify whether any amount of tax credits is included pursuant to paragraph (a) (ii) in respect of distributions which are treated as not being distributions for the purposes of section 41 under any provision of this Chapter and, if so, the amount so included.

(d) Where any amount is included in the return pursuant to subparagraph (ii) or (iii) of paragraph (a), the inclusion shall be treated as a claim by the company to have it taken into account in determining the amount of advance corporation tax which is payable, and any such claim shall be supported by such evidence as the inspector may reasonably require.

(6) Advance corporation tax in respect of any distribution required to be included in a return under this section shall be due at the time by which the return is to be made and shall be paid to the Collector-General, and advance corporation tax so due shall be payable by the company without the making of any assessment; but advance corporation tax which has become due as aforesaid may be assessed on the company (whether or not it has been paid when the assessment is made) if that tax, or any part of it, is not paid on or before the due date.

(7) If it appears to the inspector that there is a distribution which ought to have been and has not been included in a return, or if the inspector is dissatisfied with any return, he may make an assessment on the company to the best of his judgment; and any advance corporation tax due under an assessment made by virtue of this subsection shall be treated for the purposes of interest on unpaid tax as having been payable at the time when it would have been payable if a correct return had been made.

(8) Where a company makes a distribution on a date which does not fall within an accounting period of the company, an accounting period of the company shall be deemed to end on that date and the company shall make a return of that distribution within six months from that date; and the advance corporation tax for which the company is accountable in respect of that distribution shall be due at the time by which the return is to be made.

(9) Where any item has been incorrectly included in a return under this section as a distribution made or a distribution received by a company, the inspector may make any such assessments, adjustments or set-offs as may in his judgment be required for securing that the resulting liabilities to tax (including interest on unpaid tax) whether of the company or of any other person are, so far as possible, the same as they would have been if the item had not been so included.

(10) (a) Advance corporation tax assessed on a company under this section shall be due within one month after the issue of the notice of assessment (unless due earlier under subsection (6) or (8)) subject to any appeal against the assessment, but no such appeal shall affect the date when tax is due under subsection (6) or (8).

(b) On the determination of an appeal against an assessment under this section any tax overpaid shall be repaid.

(11) (a) All the provisions of the Corporation Tax Acts relating to—

(i) assessments to corporation tax,

(ii) appeals against such assessments (including the rehearing of appeals and the statement of a case for the opinion of the High Court), and

(iii) the collection and recovery of corporation tax,

shall, so far as they are applicable, apply to the assessment, collection and recovery of advance corporation tax under this section.

(b) Any tax payable in accordance with this section without the making of an assessment shall carry interest at the rate of 1.25 per cent. for each month or part of a month from the date when the tax becomes due and payable until payment.

(c) The provisions of subsections (3), (4) and (5) of section 550 of the Income Tax Act, 1967, shall apply in relation to interest payable under paragraph (b) as they apply in relation to interest payable under the said section 550.

(d) In its application to any tax charged by any assessment to advance corporation tax in accordance with this section, section 550 of the Income Tax Act, 1967, shall have effect with the omission of the proviso to subsection (1) and subsections (2) and (2A).

(e) Notwithstanding anything in the Corporation Tax Acts, the provisions of section 419 of the Income Tax Act, 1967, and section 30 of the Finance Act, 1976, shall not apply in relation to any tax which is charged by any assessment to advance corporation tax in accordance with this section.

(12) The provisions of subsections (3), (8), (9), (10), (11) and (12) (b) of section 143 of the Corporation Tax Act, 1976, shall, with any necessary modifications, apply in relation to a return under the provisions of this section as they apply in relation to a return under the provisions of the said section 143.

(13) In the foregoing provisions of this section references to a distribution or distributions do not include references to a distribution or distributions made by a company which is not resident in the State.

51 Cesser of certain provisions.

51.—(1) The provisions of the Corporation Tax Act, 1976, specified in subsection (2) shall not have effect in relation to distributions (other than dividends falling within section 49 (2)) made on or after the 9th day of February, 1983.

(2) The provisions of the Corporation Tax Act, 1976, referred to in subsection (1) are section 18 (4), subsection (8) (inserted by the Finance Act, 1982) of section 25, paragraph (b) of the proviso to section 26(3) and sections 90,91,167 and 168.

52 Transitional reduction of advance corporation tax.

52.—(1) Notwithstanding anything in this Chapter, the amount of advance corporation tax which a company shall be liable to pay in respect of distributions made by it in an accounting period ending on or before the 8th day of February, 1984, shall be one-half of the amount of advance corporation tax which, apart from this section, the company would have been liable to pay in respect of those distributions.

(2) Where part of an accounting period of a company falls before the 9th day of February, 1984, and the other part falls in a period beginning on that date, this Chapter shall apply as if the part ending on the 8th day of February, 1984, and the part beginning on the 9th day of February, 1984, were two separate accounting periods.

53 Application of Corporation Tax Acts.

53.—The provisions of the Corporation Tax Acts as to the charge, calculation and payment of corporation tax (including provisions conferring any relief or exemption) shall not be construed as affecting the charge, calculation or payment of advance corporation tax.

CHAPTER VIII Capital Gains Tax

54 Extension of section 19 (Government and other securities) of Capital Gains Tax Act, 1975.

54.—Section 19 of the Capital Gains Tax Act, 1975, shall apply in relation to securities issued by Irish Telecommunications Investments Limited and guaranteed by the Minister for Finance as it applies to the forms of security specified in paragraph (d) of that section.

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

55.—Paragraph 8 of Schedule 4 to the Capital Gains Tax Act, 1975, is hereby amended, as respects appeals against assessments made after the passing of this Act—

(a) by the substitution of the following subparagraph for subparagraph (1):

“(1) A person aggrieved by any assessment under this Act made upon him by the inspector or such other officer as is mentioned in paragraph 1 (2) shall be entitled to appeal to the Appeal Commissioners on giving, within thirty days after the date of the notice of assessment, notice in writing to the inspector or other officer and, in default of notice of appeal by a person to whom notice of assessment has been given, the assessment made on him shall be final and conclusive.”, and

(b) by the substitution in subparagraph (2) of the following clauses for clauses (e), (f) and (g):

“(e) the hearing, determination or dismissal of an appeal by the Appeal Commissioners, including the hearing, determination or dismissal of an appeal by one Appeal Commissioner;

(f) the assessment having the same force and effect as if it were an assessment in respect of which no notice of appeal had been given where the person who has given notice of appeal does not attend before the Appeal Commissioners at the time and place appointed;

(g) the extension of the time for giving notice of appeal and the readmission of appeals by the Appeal Commissioners and the provisions which apply where action by way of court proceedings has been taken;”.

56 Chargeable gains accruing on disposals by certain persons.

56.—(1) This section shall apply to chargeable gains accruing on disposals made after the passing of this Act.

(2) In this section—

“accountable person” means—

(a) a liquidator of a company, or

(b) any person entitled to an asset by way of security or to the benefit of a charge or encumbrance on an asset, or, as the case may be, any person appointed to enforce or give effect to the security, charge or encumbrance;

“referable capital gains tax” has the meaning assigned to it by subsection (8);

“referable corporation tax” has the meaning assigned to it by subsection (9);

“relevant disposal” has the same meaning as in section 36 of the Finance Act, 1982.

(3) Where section 8 (5) or 41 of the Capital Gains Tax Act, 1975, has effect in respect of the disposal of an asset in a year of assessment by an accountable person, then, notwithstanding any provision of the Capital Gains Tax Acts—

(a) any referable capital gains tax in respect of any chargeable gains which accrue on the disposal shall be assessable on and recoverable from the accountable person,

(b) the referable capital gains tax shall be treated as a necessary disbursement out of the proceeds of the disposal and shall be paid by the accountable person out of those proceeds, and

(c) referable capital gains tax paid by the accountable person shall discharge a corresponding amount of the liability to capital gains tax, for the year of assessment in which the disposal is made, of the person (hereafter in this section referred to as “the debtor”) who, apart from this subsection, is the chargeable person in relation to the disposal.

(4) Where section 8 (5) of the Capital Gains Tax Act, 1975, or section 13 (5) of the Corporation Tax Act, 1976, has effect in respect of the disposal (not being a relevant disposal) of an asset, in an accounting period of a company, by an accountable person, then, notwithstanding any provision of the Corporation Tax Acts—

(a) any referable corporation tax in respect of any chargeable gains which accrue on the disposal shall be assessable on and recoverable from the accountable person,

(b) the referable corporation tax shall be treated as a necessary disbursement out of the proceeds of the disposal and shall be paid by the accountable person out of those proceeds, and

(c) referable corporation tax paid by the accountable person shall discharge a corresponding amount of the liability to corporation tax, for the accounting period in which the disposal is made, of the company (hereafter in this section referred to as “the company”) which, apart from this subsection, is the chargeable person in relation to the disposal.

(5) Notwithstanding any provision of the Capital Gains Tax Acts or of the Corporation Tax Acts, the amount of referable capital gains tax or referable corporation tax, as the case may be, which, under this section, is assessable on an accountable person in relation to a disposal, shall be recoverable from him by an assessment on him to income tax under Case IV of Schedule D for the year of assessment in which the disposal occurred on an amount the income tax on which at the standard rate for the said year of assessment is equal to the amount of the referable capital gains tax or referable corporation tax, as the case may be.

(6) Where tax is paid by an accountable person under the provisions of this section and it is established that the amount of tax paid is excessive, appropriate relief, by repayment or otherwise, shall be given to him.

(7) Subject to subsections (3) (c) and (4) (c), nothing in this section shall affect the amount of chargeable gains on which—

(a) the debtor is chargeable to capital gains tax, or

(b) the company is chargeable to corporation tax.

(8) In this section—

(a) in the case where no chargeable gains other than the chargeable gains mentioned in subsection (3) (a) (hereafter in this subsection referred to as “the referable gains”) accrued to the debtor in the year of assessment, “referable capital gains tax” means the amount of capital gains tax which, apart from subsection (3), would be assessable on the debtor in respect of the referable gains;

(b) in the case where, in addition to the referable gains, other chargeable gains accrued to the debtor in the year of assessment, and, in charging all of those gains to capital gains tax without regard to the provisions of subsection (3), the same rate of tax would apply, and either—

(i) none of the disposals on which the chargeable gains accrued is a relevant disposal, or

(ii) each of the disposals is a relevant disposal,

“referable capital gains tax” means an amount of tax determined by the formula—

A __ C B

where—

A is the amount of capital gains tax which, apart from subsection (3), would be assessable on the debtor in respect of the referable gains if no other chargeable gains accrued to him in the year of assessment and if no deductions or reliefs fell to be allowed against the referable gains,

B is the amount of capital gains tax which, apart from subsection (3), would be assessable on the debtor in respect of all chargeable gains, including the referable gains, which accrued to him in the year of assessment, if no deductions or reliefs fell to be allowed against those chargeable gains, and

C is the amount of capital gains tax which, apart from subsection (3), would be assessable on the debtor in respect of the total amount of chargeable gains, including the referable gains, which accrued to him in the year of assessment;

(c) in any other case, “referable capital gains tax” means the amount of capital gains tax which, apart from subsection (3) and taking into account—

(i) all other chargeable gains accruing to the debtor in the year of assessment, and

(ii) where appropriate, the provisions of paragraph 8 of Schedule 1 to the Capital Gains Tax (Amendment) Act, 1978, and of sections 30 (3) and 40 of the Finance Act, 1982,

would be the amount of capital gains tax appropriate to the referable gains.

(9) In this section—

(a) in the case where no chargeable gains other than—

(i) the chargeable gains mentioned in subsection (4) (a) (hereafter in this subsection referred to as “the referable gains”), or

(ii) any chargeable gains accruing on a relevant disposal,

accrued to the company in the accounting period, “referable corporation tax” means the amount of capital gains tax which, apart from subsection (4), would be assessable on the company in respect of the referable gains on the assumptions that—

(I) notwithstanding any provision to the contrary in the Corporation Tax Acts, capital gains tax fell to be charged in respect of those gains in accordance with the provisions of the Capital Gains Tax Acts, and

(II) accounting periods were years of assessment,

or, if it is less, the amount of corporation tax which, apart from subsection (4), would be assessable on the company for the accounting period;

(b) in the case where, in addition to the referable gains, other chargeable gains (not being chargeable gains accruing on a relevant disposal) accrued to the company in the accounting period, and, on the assumptions made in paragraph (a), in charging all of those gains to capital gains tax without regard to the provisions of subsection (4), the same rate of tax would apply, “referable corporation tax” means an amount of tax determined by the formula—

D __ F E

where—

D is the amount of capital gains tax which, apart from subsection (4) and on the assumptions made in paragraph (a), would be assessable on the company in respect of the referable gains if no other chargeable gains accrued to the company in the accounting period and if no deductions or reliefs fell to be allowed against the referable gains,

E is the amount of capital gains tax which, apart from subsection (4) and on the assumptions made in paragraph (a), would be assessable on the company in respect of all chargeable gains including the referable gains (but not including chargeable gains accruing on a relevant disposal) which accrued to the company in the accounting period, if no deductions or reliefs fell to be allowed against those chargeable gains, and

F is the amount (hereafter in this subsection referred to as “the notional amount”) of capital gains tax which, apart from subsection (4), would, in accordance with section 13 (1A) (inserted by the Finance Act, 1982) of the Corporation Tax Act, 1976, fall to be calculated in relation to the company for the accounting period in respect of all chargeable gains including the referable gains or, if it is less, the amount of corporation tax which, apart from subsection (4), would be assessable on the company for the accounting period;

(c) in any other case, “referable corporation tax” means the amount of capital gains tax which, apart from subsection (4) and on the assumptions made in paragraph (a), and taking into account—

(i) all other chargeable gains (not being chargeable gains accruing on a relevant disposal) accruing to the company in the accounting period, and

(ii) where appropriate, the provisions of sections 30 (3) and 40 of the Finance Act, 1982,

would be the amount of capital gains tax appropriate to the referable gains:

Provided that, in any case in which this paragraph applies, if the notional amount is greater than the amount of corporation tax which, apart from subsection (4), would be assessable on the company for the accounting period, “referable corporation tax” shall mean an amount determined by the formula—

G __ H K

where—

G is the amount which, under this paragraph apart from this proviso, would be the referable corporation tax,

H is the notional amount, and

K is the amount of corporation tax which, apart from subsection (4), would be assessable on the company for the accounting period.

(10) (a) In any case where, in calculating an amount of referable capital gains tax or referable corporation tax under subsection (8) (c) or (9) (c), deductions or reliefs fell to be allowed against chargeable gains accruing in a year of assessment or in an accounting period and, apart from this subsection, those deductions or reliefs (or part of them) would fall to be set against two or more chargeable gains chargeable at the same rate of capital gains tax, then, those deductions or reliefs (or, as the case may be, that part of them) shall, so far as is necessary to calculate the amount of referable capital gains tax or referable corporation tax, be apportioned between the chargeable gains chargeable at the same rate in proportion to the amounts of those chargeable gains.

(b) In the case of chargeable gains accruing to a company (not being chargeable gains accruing on a relevant disposal), any reference in paragraph (a) to a rate of tax shall be construed as a reference to the rate of capital gains tax which would be applicable to those gains on the assumptions made in subsection (9) (a).

PART II Customs and Excise

57 Foreign travel.

57.—Section 65 of the Finance Act, 1982, shall be amended, as on and from the 1st day of April, 1983,—

(a) in subsection (1), by the deletion of “‘aircraft’ means an aircraft suitable for the carriage of more than fifteen passengers;”,

and

(b) in subsection (3), by the substitution of the following paragraph for paragraph (b):

“(b) The rate at which the duty of excise imposed by subsection (2) of this section shall be paid shall be £5 for each person whose carriage is authorised by a passenger ticket relating to carriage by a ship or an aircraft on a voyage or a flight, as the case may be, to a destination (other than a destination in Northern Ireland) outside the State.”.

58 Televisions.

58.—The duty of excise on televisions imposed by paragraph 5(1) of the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979 (S.I. No. 57 of 1979), shall be charged, levied and paid, as on and from the 10th day of February, 1983, at the several rates specified in the First Schedule in lieu of the several rates specified in the Sixth Schedule to the Imposition of Duties (No. 259) (Excise Duties) Order, 1982 (S.I. No. 48 of 1982).

59 Video players.

59.—The duty of excise on video players imposed by paragraph 4 of the Imposition of Duties (No. 260) (Excise Duty on Video Players) Order, 1982 (S.I. No. 49 of 1982), shall be charged, levied and paid, as on and from the 10th day of February, 1983, at the rate of £40 for each video player in lieu of the rate specified in the said paragraph 4.

60 Hydrocarbons.

60.—(1) In this section “the Order of 1975” means the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 (S.I. No. 307 of 1975).

(2) Notwithstanding clause (b) or (c) of paragraph 11 (5) of the Order of 1975, the duty of excise imposed by paragraph 11 (1) of the said Order shall be charged, levied and paid at the rate of £1.75 per hectolitre, as on and from the 10th day of February, 1983, on mineral hydrocarbon light oil to which the said clause (b) or (c) applies, in lieu of the rate specified in section 70 (4) of the Finance Act, 1980.

(3) Notwithstanding subparagraph (6) of paragraph 12 of the Order of 1975, the duty of excise imposed by subparagraph (1) of the said paragraph 12 shall be charged, levied and paid at the rate of £1.75 per hectolitre, as on and from the 10th day of February, 1983, on hydrocarbon oil to which the said subparagraph (6) applies in lieu of the rate specified in section 70 (5) of the Finance Act, 1980.

(4) Paragraph 11 (7) of the Order of 1975, as amended by section 40 (3) of the Finance Act, 1976, shall be amended, as on and from the 10th day of February, 1983, by the substitution for “£1.53” (inserted by the Finance Act, 1980) of “£1.75”.

(5) Any authorisation issued before the 10th day of February, 1983, under the provisions of paragraph 11 (7) of the Order of 1975 in relation to the importation or the delivery from the premises of a refiner of hydrocarbon oil or from a bonded warehouse of articles chargeable with the duty imposed by paragraph 11 (1) of the Order of 1975, upon payment of a duty of excise at the rate of £1.53 per hectolitre payable under section 70 (6) of the Finance Act, 1980, shall, so far as it affects articles imported or delivered on or after that date, be deemed to authorise the importation or delivery of such articles on payment of a duty of excise at the rate of £1.75 per hectolitre in lieu of payment of the duty of excise aforesaid.

(6) The repayments of excise duty provided for in paragraphs 11 (10) and 12 (10) of the Order of 1975 shall, where the duty is chargeable and paid after the 9th day of February, 1983, be at the rate of duty paid less an amount of £1.75 per hectolitre in lieu of the rate specified in section 70 (8) of the Finance Act, 1980.

(7) Paragraph 12 (1) of the Order of 1975, as amended by section 70 (9) of the Finance Act, 1980, is hereby amended by the deletion of the proviso thereto.

(8) The amount of any rebate allowed under paragraph 12 (3) of the Order of 1975 shall, in respect of any hydrocarbon oil (other than fuel oil within the meaning of paragraph 3 of the Imposition of Duties (No. 256) (Excise Duty on Hydrocarbon Oils) Order, 1981 (S.I. No. 404 of 1981)) which is imported or delivered from the premises of a refiner of hydrocarbon oil or from a bonded warehouse on or after the 10th day of February, 1983, be the amount of excise duty chargeable less an amount calculated at the rate of £1.75 per hectolitre in lieu of the rate specified in section 70 (10) of the Finance Act, 1980.

(9) The amount of any repayment allowed under section 35 (5) (b) of the Finance Act, 1981, shall, in respect of any hydrocarbon oil imported or delivered from the premises of a refiner of hydrocarbon oil or from a bonded warehouse on or after the 10th day of February, 1983, be the amount of excise duty paid less an amount calculated at the rate of £1.09 per hectolitre.

(10) Section 42 (2) of the Finance Act, 1976, shall be amended, as on and from the 10th day of February, 1983, by the substitution for “£0.07” (inserted by the Finance Act, 1980) of “£0.08”.

(11) Paragraph 12 (11) of the Order of 1975 is hereby amended—

(a) by the substitution for “a passenger road service in respect of which the licence was granted” of “the passenger road service” and

(b) by the substitution for “repay to the licensee” of “repay to him”.

61 Motor Vehicles.

61.—The duty of excise imposed by paragraph 4 (1) of the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979, on category A motor vehicles (within the meaning of the said Order) shall be charged, levied and paid, as on and from the 1st day of July, 1983—

(a) in so far as it is chargeable on such vehicles which derive their motive power from an internal combustion engine and which exceed 16 horse-power (calculated in accordance with regulations made by the Minister for the Environment under section 1 (3) of the Finance (Excise Duties) (Vehicles) Act, 1952, for the purpose of a rate of duty specified in the Schedule to the said Act), at the rate of an amount equal to 64.5 per cent. of the chargeable value (within the meaning aforesaid) in lieu of the rate specified in paragraph 10 of the Imposition of Duties (No. 259) (Excise Duties) Order, 1982, and

(b) in so far as it is chargeable on other such vehicles (other than motor-cycles, auto-cycles, or cycles fitted with an auxiliary motor, whether or not incorporating side-cars), at the rate of an amount equal to 54.5 per cent. of the chargeable value (within the meaning aforesaid) in lieu of the rate specified in section 7 of the Finance (No. 2) Act, 1981.

62 Gaming licences.

62.—The duty of excise imposed by section 17 of the Finance Act, 1956, on gaming licences issued under section 19 of the Gaming and Lotteries Act, 1956, shall be charged, levied and paid on such licences issued on or after the 10th day of February, 1983, at the rates specified in the Second Schedule in lieu of the rates specified in Part III of the Seventh Schedule to the Finance Act, 1980.

63 Gaming machine licences.

63.—(1) Section 74 (1) of the Finance Act, 1980, shall, as respects the grant of gaming machine licences on or after the 10th day of February, 1983, be amended by the substitution for “£37.50”, “£75”, “£112.50” and “£150” (inserted by the Imposition of Duties (No. 259) (Excise Duties) Order, 1982 (S.I. No. 48 of 1982)) of “£62.50”, “£125”, “£187.50” and “£250”, respectively.

(2) Section 43 (7) (aa) of the Finance Act, 1975 (inserted by the Finance Act, 1980), shall, as respects the grant of gaming machine licences on or after the 10th day of February, 1983, be amended by the substitution for “£25”, “£50”, “£75” and “£100” (inserted by the Imposition of Duties (No. 259) (Excise Duties) Order, 1982) of “£40”, “£80”, “£120” and “£160”, respectively.

64 Firearm certificates.

64.—The duty of excise on a firearm certificate imposed by section 18 (2) of the Finance Act, 1964, shall, in the case of any such certificate coming into force, whether by way of grant or renewal, on or after the 1st day of August, 1983, be charged, levied and paid at the rates specified in the Third Schedule in lieu of the rates specified in Part II of the Seventh Schedule to the Finance Act, 1980.

65 Dogs.

65.—(1) Section 37 of the Finance Act, 1925, is hereby amended by the substitution in subsection (1) of “£5” for “£1” (inserted by the Finance Act, 1975) and the said subsection (1), as so amended, is set out in the Table to this subsection.

TABLE

(1) On and after the 1st day of January, 1926, an excise duty (in this Act referred to as dog duty) of £5 shall be payable on every dog aged one month or upwards in respect of every year or part of a year during which such dog is kept in Saorstát Éireann.

(2) Section 33 of the Finance Act, 1963, is hereby amended by the substitution in subsections (1) and (2) of “£100” for “£25” (inserted by the Finance Act, 1975) and the said subsections (1) and (2), as so amended, are set out in the Table to this subsection.

TABLE

(1) Any person who is liable to pay dog duty may elect to pay an annual sum of £100 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 £100 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) Section 44 (3) of the Finance Act, 1975, is hereby repealed and in lieu thereof it is hereby enacted that any person guilty of an offence under section 37 of the Finance Act, 1925, shall be liable on summary conviction to an excise penalty of £20.

(4) This section shall come into operation on the 1st day of January, 1984.

66 Auctioneers and house agents.

66.—(1) In this section “the Act” means the Auctioneers and House Agents Act, 1947.

(2) The duty of excise on an auctioneer's licence (within the meaning of the Act) imposed by section 11 of the Finance Act, 1947, shall be charged, levied and paid at the rate of £125 in lieu of the rate specified at reference number 1 in Part IV of the Seventh Schedule to the Finance Act, 1980.

(3) The duty of excise on an auction permit (within the meaning of the Act) imposed by section 12 of the Finance Act, 1947, shall be charged, levied and paid at the rate of £125 in lieu of the rate specified at reference number 2 in Part IV of the Seventh Schedule to the Finance Act, 1980.

(4) Section 6 of the Act is hereby amended by the substitution in subsection (3) of “£500” for “one hundred pounds” and the said subsection (3), as so amended, is set out in the Table to this subsection.

TABLE

(3) A person who, in contravention of this section carries on or holds himself out or represents himself as carrying on the business of auctioneer or conducts an auction shall be guilty of an offence under this section and shall be liable on summary conviction thereof to an excise penalty of £500.

(5) The duty of excise on a house agent's licence (within the meaning of the Act) imposed by section 13 of the Finance Act, 1947, shall be charged, levied and paid at the rate of £62.50 in lieu of the rate specified at reference number 3 in Part IV of the Seventh Schedule to the Finance Act, 1980.

(6) Section 7 of the Act is hereby amended by the substitution in subsection (3) of “£500” for “one hundred pounds” and the said subsection (3), as so amended, is set out in the Table to this subsection.

TABLE

(3) A person who, in contravention of this section carries on or holds himself out or represents himself as carrying on the business of house agent or acts as a house agent shall be guilty of an offence under this section and shall be liable on summary conviction thereof to an excise penalty of £500.

(7) This section shall come into operation on the 6th day of July, 1983.

67 Bookmakers.

67.—(1) The duty of excise imposed by section 17 of the Finance Act, 1931, on a bookmaker's licence issued under the Betting Act, 1931, shall be charged, levied and paid, as on and from the 1st day of December, 1983, at the rate of £125 in lieu of the rate specified at reference number 4 in Part IV of the Seventh Schedule to the Finance Act, 1980.

(2) The duty of excise imposed by section 18 of the Finance Act, 1931, on the registration, or on the renewal of the registration, under the Betting Act, 1931, of any premises in which the business of bookmaking is carried on shall be charged, levied and paid, as on and from the 1st day of December, 1983, at the rate of £125 in lieu of the rate specified at reference number 5 in Part IV of the Seventh Schedule to the Finance Act, 1980.

68 Repayment of excise duty on licences not used.

68.—(1) In this section “licence” shall be construed as including permit and certificate.

(2) Where it is shown to the satisfaction of the Revenue Commissioners in respect of a licence to which subsection (4) of section 77 of the Finance Act, 1980, relates that either—

(a) no trading took place under the licence, or

(b) the holder of the licence did not engage in the activity to which the licence relates during the period of validity of the licence,

the Commissioners may, subject to compliance with such conditions as they may think fit to impose and notwithstanding the provisions of subsection (6) of the said section 77, repay the duty of excise paid on the said licence.

69 Amendment of section 50 (penalty for the wholesale dealing in or the sale by retail of intoxicating liquor without a licence) of Finance (1909-10) Act, 1910.

69.—Section 50 of the Finance (1909-10) Act, 1910, is hereby amended—

(a) by the substitution in subsection (2) of “£500” for “one hundred pounds”, and

(b) by the substitution in subsection (3) of “£500” for “fifty pounds”,

and the said subsections (2) and (3), as so amended, are set out in the Table to this section.

TABLE

(2) If any person deals wholesale in any intoxicating liquor, for the wholesale dealing in which he is required to take out a licence under this Act, without taking out such a licence, he shall be liable in respect of each offence to an excise penalty of £500.

(3) If any person sells by retail any intoxicating liquor, for the retail sale of which he is required to take out a licence under this Act, without taking out such a licence, he shall be liable in respect of each offence to an excise penalty of £500.

70 Amendment of section 21 (duties on hydrocarbon oils) of Finance Act, 1935.

70.—(1) Subsection (12) (inserted by the Finance Act, 1940) of section 21 of the Finance Act, 1935, is hereby amended—

(a) by the substitution of “£1,000 and the oil in respect of which the offence was committed shall be liable to forfeiture” for “£500 and the oil in respect of which the offence was committed shall be forfeited” (inserted by the Finance Act, 1976),

(b) by the substitution in paragraph (i) (inserted by the Finance Act, 1976) of “this section” for “the section”,

(c) by the substitution of the following paragraph for paragraph (ii) (inserted by the Finance Act, 1976):

“(ii) if—

(I) a concealed tank or other container, or

(II) any device, contrivance or method of any kind,

is employed to conceal the presence in the vehicle of hydrocarbon oil intended for use for combustion in the engine of the vehicle in contravention of this section,”,

and

(d) by the substitution of “the vehicle shall be liable to forfeiture” for “the vehicle shall be forfeited” (inserted by the Finance Act, 1976),

and so much of the said subsection (12), as so amended, as follows paragraph (e) thereof is set out in the Table to this subsection.

TABLE

such person shall be guilty of an offence under this section and shall be liable to a penalty, under the law relating to customs or the law relating to excise (as the case may be), of £1,000 and the oil in respect of which the offence was committed shall be liable to forfeiture and, in the case of an offence involving a motor vehicle—

(i) if it is a second or subsequent offence under this section by the person, or

(ii) if—

(I) a concealed tank or other container, or

(II) any device, contrivance or method of any kind,

is employed to conceal the presence in the vehicle of hydrocarbon oil intended for use for combustion in the engine of the vehicle in contravention of this section,

the vehicle shall be liable to forfeiture.

(2) Section 21 (15) of the Finance Act, 1935, is hereby amended by the insertion in the definition of “motor vehicle” (inserted by the Finance Act, 1942) after “road roller” of “or a vehicle referred to in paragraph 4B (inserted by the Finance Act, 1983) of Part I of the Schedule to the Finance (Excise Duties) (Vehicles) Act, 1952”, and the said definition, as so amended, is set out in the Table to this subsection.

TABLE

the expression “motor vehicle” means a mechanically propelled vehicle which is designed, constructed, and suitable for use on roads, but does not include a tractor which is designed and constructed for use for agricultural purposes or a road roller or a vehicle referred to in paragraph 4B (inserted by the Finance Act, 1983) of Part I of the Schedule to the Finance (Excise Duties) (Vehicles) Act, 1952.

71 Amendment of section 23 (forfeiture) of Finance Act, 1946.

71.—Section 23 of the Finance Act, 1946, is hereby amended—

(a) in paragraph (i), by the substitution of “liable to forfeiture” for “forfeited”,

(b) in paragraph (ii), by the substitution of “the sum of £1,000” for “either treble the value of all such goods or articles or the sum of one hundred pounds, at the election of the Revenue Commissioners”, and

(c) by the addition of the following subsection:

“(2) Where a duty of excise chargeable on any goods is not paid at the time at which payment thereof becomes due or within such longer period as may be permitted for payment by or under any enactment, the goods shall be liable to forfeiture.”,

and the said paragraphs (i) and (ii), as so amended, are set out in the Table to this section.

TABLE

(i) all such goods and articles and all such materials, utensils and vessels respectively shall be liable to forfeiture,

(ii) every person who removes, deposits, or conceals or is concerned in removing, depositing, or concealing, any such goods or articles, with intent to defraud the Minister for Finance of such duty or any part thereof, shall forfeit the sum of £1,000.

72 Amendment of section 34 (amendments relative to penalties) of Finance Act, 1963.

72.—Section 34 of the Finance Act, 1963, is hereby amended—

(a) in subsection (4)—

(i) in paragraph (c) (i), by the substitution of “£1,000” for “£500” (inserted by the Finance Act, 1976),

(ii) in paragraph (d) (ii), by the substitution of “£1,000” for “£500” (inserted by the Finance Act, 1976),

and

(b) in subsection (5), by the substitution of “£1,000” for “£500” (inserted by the Finance Act, 1976),

and the said paragraphs (c) (i) and (d) (ii) and subsection (5), as so amended, are set out in the Table to this section.

TABLE

(c) (i) in case treble the estimated value exceeds £1,000, the offence shall be tried on indictment, and,

(d) (ii) where treble the value so determined exceeds £1,000, the offence shall be tried on indictment,

(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 £1,000.

73 Excise duties on licences for mechanically propelled vehicles.

73.—(1) In this section “the Act” means the Finance (Excise Duties) (Vehicles) Act, 1952.

(2) The Act shall, as respects licences under section 1 of the Act for periods beginning on or after the 1st day of April, 1983, be amended—

(a) by the substitution in section 1 (2) (b) of “forty pounds or less” for “thirty pounds or less” (inserted by the Finance Act, 1982),

(b) by the substitution in paragraph 1 of Part I of the Schedule thereto of “£5”, “£11”, “£18”, “£26”, “£33”, “£6”, “£28”, “£21” and “£7” for “£4”, “£10”, “£16”, “£24”, “£30”, “£5”, “£25”, “£19” and “£6”, respectively,

(c) by the substitution in paragraph 4 of Part I of the Schedule thereto of—

(i) “£15” for “£10” (inserted by the Finance Act, 1980) in subparagraph (a),

(ii) “£15” for “£10” (inserted by the Finance Act, 1980) in subparagraph (b) (inserted by the Finance Act, 1973),

(iii) “£15” for “£10” (inserted by the Finance Act, 1980) in subparagraph (c) (inserted by the Finance Act, 1973), and

(iv) “£75” for “£50” in paragraph (d) (inserted by the Finance Act, 1973),

(d) by the substitution in paragraph 4A (inserted by the Finance Act, 1961) of Part I of the Schedule thereto of “£10”, “£20”, “£30” and “£40” for “£5”, “£10”, “£15” and “£20”, respectively,

(e) by the substitution in Part I of the Schedule thereto (as amended by section 93 of the Finance Act, 1973) of the following paragraph for paragraph 5:

“5. Vehicles (including tricycles weighing more than 8 cwt. unladen) constructed or adapted for use and used for the conveyance of goods or burden of any other description in the course of trade or business (including agriculture and the performance by a local or public authority of its functions) and vehicles constructed or adapted for use and used for the conveyance of a machine, workshop, contrivance or implement by or in which goods being conveyed by such vehicles are processed or manufactured while the vehicles are in motion:

(a) being vehicles which are electrically propelled and which do not exceed 25 cwt. in weight unladen		£22
(b) being vehicles which are not such electrically propelled vehicles as aforesaid—
(i) not exceeding 12 cwt. in weight unladen		£28
(ii) exceeding 12 cwt. but not exceeding 16 cwt. in weight unladen		£34
(iii) exceeding 16 cwt. but not exceeding 1 ton in weight unladen		£41
(iv) exceeding 1 ton but not exceeding 2 tons in weight unladen	£41, plus £7 for each quarter-ton, or part thereof, of weight unladen in excess of 1 ton
(v) exceeding 2 tons but not exceeding 3 tons in weight unladen	£69, plus £8 for each quarter-ton, or part thereof, of weight unladen in excess of 2 tons
(vi) exceeding 3 tons but not exceeding 4 tons in weight unladen	£101, plus £10 for each quarter-ton, or part thereof, of weight unladen in excess of 3 tons
(vii) exceeding 4 tons but not exceeding 5 tons in weight unladen	£141, plus £10 for each quarter-ton, or part thereof, of weight unladen in excess of 4 tons
(viii) exceeding 5 tons but not exceeding 6 tons in weight unladen	£181, plus £17 for each quarter-ton, or part thereof, of weight unladen in excess of 5 tons
(ix) exceeding 6 tons in weight unladen	£249, plus £22 for each quarter-ton, or part thereof, of weight unladen in excess of 6 tons
with an additional duty, in the case of any vehicle used for drawing a trailer, of—
(I) where the vehicle does not exceed 2 tons in weight unladen		£15
(II) where the vehicle exceeds 2 tons but does not exceed 3 tons in weight unladen		£20
(III) where the vehicle exceeds 3 tons but does not exceed 4 tons in weight unladen		£26
(IV) where the vehicle exceeds 4 tons but does not exceed 5 tons in weight unladen		£35
(V) where the vehicle exceeds 5 tons but does not exceed 6 tons in weight unladen		£46
(VI) where the vehicle exceeds 6 tons in weight unladen		£59”,

(f) by—

(i) the substitution in subparagraph (c) of paragraph 6 of Part I of the Schedule thereto of “£16” and “£2” for “£8” and “£1”, respectively, and

(ii) the substitution in subparagraph (cc) (inserted by the Finance Act, 1961) of the said paragraph 6 of “£16” and “£2” for “£8” and “£1”, respectively,

(g) by the insertion of the following subparagraph before subparagraph (d) of the said paragraph 6 of Part I of the Schedule thereto:

“(ccc) any vehicle which is used as a hearse and for no other purpose—

	not exceeding 8 horse-power or electrically propelled	£26
	exceeding 8 horse-power but not exceeding 9 horse power	£29
	exceeding 9 horse-power but not exceeding 10 horse power	£33
	exceeding 10 horse-power but not exceeding 11 horse-power	£39
	exceeding 11 horse-power	£44”.

(3) (a) Subject to paragraphs (b) and (c) of this subsection, the Act shall, as respects licences under section 1 of the Act taken out for periods beginning on or after the 1st day of April, 1983, be further amended by the substitution in Part I of the Schedule thereto (as amended by section 71 of the Finance Act, 1982) of the following subparagraph for subparagraph (d) of paragraph 6:

“(d) other vehicles to which this paragraph applies—

	not exceeding 8 horse-power	£7 for each unit or part of a unit of horse-power
	exceeding 8 horse-power and not exceeding 12 horse-power	£9 for each unit or part of a unit of horse-power
	exceeding 12 horse-power and not exceeding 16 horse-power	£11 for each unit or part of a unit of horse-power
	exceeding 16 horse-power and not exceeding 20 horse-power	£13 for each unit or part of a unit of horse-power
	exceeding 20 horse-power	£14 for each unit or part of a unit of horse-power
	electrically propelled	£46”.

(b) Paragraph (a) of this subsection shall not have effect in relation to any vehicle—

(i) which is used as a small public service vehicle within the meaning of the Road Traffic Act, 1961, and for no other purpose, or

(ii) which is fitted with a taximeter and is lawfully used as a street service vehicle within the meaning of the said Road Traffic Act, 1961, or for purposes incidental to such user and for no other purpose.

(c) Paragraph (a) of this subsection shall not have effect in relation to vehicles specified in Article 3 of the Imposition of Duties (No. 170) (Excise Duties) (Vehicles) Order, 1968 (S.I. No. 68 of 1968), as amended by the Imposition of Duties (No. 216) (Excise Duties) (Vehicles) Order, 1975 (S.I. No. 5 of 1975).

(4) (a) The Act shall be further amended by the insertion in Part I of the Schedule after paragraph 4A (inserted by the Finance Act, 1961) of the following paragraph:

“4B Vehicles (commonly known as ‘off-road dumpers’) exceeding 4 cubic yards in capacity, level loaded, designed and constructed primarily for use on sites of construction works (including road construction and house and other building works) for the purpose of conveying concrete, rubble, earth or other like materials and incapable by reason of their design and construction of exceeding a speed of 30 miles per hour on a level road under their own power and which are the subject of special permits under article 17 of the Road Traffic (Construction, Equipment and Use of Vehicles) Regulations 1963, (S.I. No. 190 of 1963) £250.”.

(b) The appropriate repayments shall be made having regard to the foregoing provisions of this subsection and the repayments shall be made in accordance with such directions as may be given by the Minister for the Environment.

(c) This subsection shall come into operation on such day as may be fixed therefor by order made by the Minister for the Environment.

(5) (a) Section 94 (2) of the Finance Act, 1973, shall be amended—

(i) by the substitution of “£2” for “£1” in paragraph (a) (inserted by the Finance (No. 2) Act, 1981),

(ii) by the substitution of “£10” for “£5” in subparagraph (aa) (inserted by the Finance (No. 2) Act, 1981),

(iii) by the substitution of “£40” for “£20” in paragraph (c) (inserted by the Finance Act, 1981), and

(iv) by the substitution of “£20” for “£10” in paragraph (d) (inserted by the Finance Act, 1981).

(b) Paragraph (a) of this subsection shall have effect in respect of vehicles in relation to which licences under section 1 of the Act are taken out for periods beginning on or after the 1st day of April, 1983.

74 Increase of excise duty on driving licences.

74.—The Finance (Excise Duties) (Vehicles) Act, 1952, shall, as on and from the 1st day of April, 1983, be amended by the substitution in section 4(1A) (inserted by the Finance Act, 1961) of the following paragraphs for paragraphs (a) and (b):

“(a) four pounds if the period of the licence is one year, and

(b) four pounds for each year of the period of the licence if that period is two or more years,”.

75 Increase of excise duties on motor vehicle trade licences.

75.—Section 15(2) of the Finance Act, 1922, shall, as applied by section 3 of the Finance (Excise Duties) (Vehicles) Act, 1952, and notwithstanding the terms of the latter section, have effect, as respects licences to which the said section 15(2) applies taken out on or after the 1st day of January, 1984, as if—

(a) “£200” were substituted for “£100” (inserted by the Finance Act, 1980) in paragraph (a),

(b) “£40” were substituted for “£20” (inserted by the said Finance Act, 1980) in paragraphs (a) and (b), and

(c) “£8” were substituted for “£4” (inserted by the said Finance Act, 1980) in paragraph (b).

76 Confirmation of Orders.

76.—The Orders mentioned in the Table to this section are hereby confirmed—

TABLE

S.I. No. 22 of 1982	Imposition of Duties (No. 257) (Beer) Order, 1982.
S.I. No. 37 of 1982	Imposition of Duties (No. 258) (Beer) (No. 2) Order, 1982.
S.I. No. 9 of 1983	Imposition of Duties (No. 261) (Excise Duties) Order, 1983.
S.I. No. 42 of 1983	Imposition of Duties (No. 263) (Excise Duties) (No. 2) Order, 1983.
S.I. No. 85 of 1983	Imposition of Duties (No. 264) (Hydrocarbons) Order, 1983.

PART III Value-Added Tax

77 Interpretation (Part III).

77.—In this Part—

“the Principal Act” means the Value-Added Tax Act, 1972;

“the Act of 1976” means the Finance Act, 1976;

“the Act of 1978” means the Value-Added Tax (Amendment) Act, 1978;

“the Act of 1981” means the Finance (No. 2) Act, 1981;

“the Act of 1982” means the Finance Act, 1982.

78 Amendment of section 3 (delivery of goods) of Principal Act.

78.—Section 3 of the Principal Act is hereby amended by the insertion after subsection (6) of the following subsection:

“(7) (i) Where, in the case of a business carried on, or that has ceased to be carried on, by a taxable person, goods forming part of the assets of the business are, under any power exercisable by another person, including a liquidator and a receiver, disposed of by the other person in or towards the satisfaction of a debt owed by the taxable person, or in the course of the winding-up of a company, they shall be deemed to be supplied by the taxable person in the course or furtherance of his business.

(ii) A disposal of goods under this subsection shall include any disposal which is deemed to be a supply of immovable goods under section 4(2).”.

79 Amendment of section 8 (accountable persons) of Principal Act.

79.—Section 8 of the Principal Act is hereby amended—

(a) in subsection (3) (inserted by the Act of 1978)—

(i) in paragraph (b) (inserted by the Act of 1982), by the substitution of “£12,000” for “£15,000”,

(ii) in paragraph (c) (inserted by the Act of 1981), by the substitution of “£25,000” for “£30,000”, and

(iii) in paragraph (e) (inserted by the Act of 1981), by the substitution of “£12,000” for “£15,000”,

(b) in subsection (3A) (inserted by the Act of 1982), by the substitution of “£12,000” for “£15,000”, and

(c) in subsection (9), in the definition of “farmer” (inserted by the Act of 1982), by the substitution of “£12,000” for “£15,000” in each place where it occurs.

80 Amendment of section 9 (registration) of Principal Act.

80.—Section 9 of the Principal Act is hereby amended—

(a) in subsection (1), by the insertion after “taxable persons” of “or who are persons who dispose of goods which pursuant to section 3 (7) are deemed to be supplied by a taxable person in the course or furtherance of his business”, and

(b) by the insertion after subsection (2) of the following subsection:

“(2A) Every person who disposes of goods which pursuant to section 3 (7) are deemed to be supplied by a taxable person in the course or furtherance of his business shall, within fourteen days of such disposal, furnish in writing to the Revenue Commissioners the particulars specified in regulations as being required for the purpose of registering such person for tax.”.

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

81.—(1) Section 11 of the Principal Act is hereby amended—

(a) in subsection (1)—

(i) in paragraph (a) (inserted by the Act of 1978), by the substitution of “23 per cent.” for “18 per cent.” (inserted by the Act of 1982), and

(ii) in paragraph (c) (inserted by the Finance Act, 1980), by the substitution of “35 per cent.” for “30 per cent.” (inserted by the Act of 1982),

and

(b) in subsection (2)—

(i) in paragraph (a) (inserted by the Act of 1978), as respects supplies on or after the 1st day of July, 1983, by the substitution of “8.69 per cent.” for “10 per cent.”,

(ii) in paragraph (b) (inserted by the Act of 1978), by the substitution of “21.74 per cent.” for “16.67 per cent.” (inserted by the Act of 1982),

(iii) in paragraph (c) (inserted by the Act of 1981), by the substitution of “21.74 per cent.” for “16.67 per cent.” (inserted by the Act of 1982),

(iv) in paragraph (d) (inserted by the Act of 1982), by the substitution of “21.74 per cent.” for “16.67 per cent.”, and

(v) in paragraph (e) (inserted by the Act of 1982), by the substitution of “21.74 per cent.” for “16.67 per cent.”.

(2) Section 11 of the Principal Act is hereby further amended—

(a) in subsection (1)—

(i) by the insertion of the following paragraph after paragraph (a):

“(aa) 5 per cent. of the amount on which tax is chargeable in relation to the supply of goods or services of a kind specified in the Sixth Schedule,”,

and

(ii) in paragraph (c), by the substitution of “any of the rates specified in paragraphs (a), (aa) and (b)” for “either of the rates specified in paragraphs (a) and (b)”,

(b) in subsection (2), by the deletion of paragraphs (b), (c), (d) and (e),

(c) in subsection (7) (inserted by the Act of 1976), by the insertion in paragraph (e) (i) after “subsection (1) (a)” of “, subsection (1) (aa)”, and

(d) in subsection (8), by the substitution in paragraph (a) (inserted by the Finance Act, 1973) of “Second, Third or Sixth Schedule” for “Second or Third Schedules”.

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

82.—Section 12A (inserted by the Act of 1978) of the Principal Act is hereby amended—

(a) as respects supplies on or after the 1st day of March, 1983, by the substitution in subsection (1) of “2.3 per cent.” for “1.8 per cent.” (inserted by the Act of 1982), and

(b) as respects supplies on or after the 1st day of July, 1983, by the substitution in the said subsection (1) of “2 per cent.” for “2.3 per cent.” (inserted by paragraph (a)).

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

83.—Section 15 of the Principal Act is hereby amended—

(a) in subsection (1), by the insertion after paragraph (a) of the following paragraph:

“(aa) on goods of a kind specified in the Sixth Schedule at the percentage specified in section 11 (1) (aa) of the value of the goods, and”,

and

(b) in subsection (4), as respects importations on or after the 1st day of July, 1983, by the substitution of “8.69 per cent.” for “10 per cent.”.

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

84.—Section 19 of the Principal Act is hereby amended by the substitution of the following subsection for subsection (3):

“(3) (a) Subject to paragraph (b), a taxable person shall, within 9 days immediately after the tenth day of the month immediately following a taxable period, furnish to the Collector-General a true and correct return prepared in accordance with regulations of the amount of tax which became due by him during the taxable period, not being tax already paid by him in relation to goods imported by him, and the amount, if any, which may be deducted in accordance with section 12 in computing the amount of tax payable by him in respect of such taxable period and such other particulars as may be specified in regulations, and shall at the same time remit to the Collector-General the amount of tax, if any, payable by him in respect of such taxable period.

(b) A person who disposes of goods which pursuant to section 3 (7) are deemed to be supplied by a taxable person in the course or furtherance of his business—

(i) shall within 9 days immediately after the tenth day of the month immediately following a taxable period furnish to the Collector-General a true and correct return, prepared in accordance with regulations, of the amount of tax which became due by such taxable person in relation to the disposal, and such other particulars as may be specified in regulations, and shall at the same time remit to the Collector-General the amount of tax payable in respect of the taxable period in question,

(ii) shall send to the person whose goods were disposed of a statement containing such particulars as may be specified in regulations, and

(iii) shall treat the said amount of tax as a necessary disbursement out of the proceeds of the disposal.

(c) The owner of goods which pursuant to section 3 (7) are deemed to be supplied by a taxable person in the course or furtherance of his business shall exclude from any return, which he is or, but for this subparagraph, would be, required to furnish under this Act, the tax payable in accordance with paragraph (b).”.

85 Amendment of section 25 (appeals) of Principal Act.

85.—Section 25 (2) of the Principal Act is hereby amended—

(a) by the substitution of the following paragraphs for paragraph (f):

“(f) the determination of an appeal through the failure of a person who has given notice of appeal to attend before the Appeal Commissioners at the time and place appointed;

(ff) the refusal of an application for the adjournment of any proceedings in relation to an appeal, and the dismissing of an appeal, by the Appeal Commissioners;”,

and

(b) by the substitution of “shall, subject to the modifications set out hereunder and to other necessary modifications, apply to a claim under section 22 or an appeal under section 11 (1B) or 23 or this section as if the claim or appeal were an appeal against an assessment to income tax:

(i) a reference to a year of assessment shall include a reference to the taxable periods concerned,

(ii) a reference to a return of income shall include a reference to a return required to be made under section 19,

(iii) a reference to interest shall include a reference to interest payable under section 21”

for the words from paragraph (k) to the end of the section.

86 Amendment of Second Schedule to Principal Act.

86.—The Second Schedule (inserted by the Act of 1976) to the Principal Act is hereby amended by the substitution of the following paragraph for paragraph (xx):

“(xx) (a) electricity,

(b) wax candles and night-lights which are white and cylindrical, excluding candles and night-lights which are decorated, spiralled, tapered or perfumed.”.

87 Amendment of Third Schedule to Principal Act.

87.—The Third Schedule (inserted by the Act of 1976) to the Principal Act is hereby amended—

(a) in Part I—

(i) in paragraph (ix), by the deletion of “, atlases”,

(ii) by the deletion of paragraph (xii), and

(iii) by the insertion in paragraphs (xxiii) and (xxiv) after “Schedule” of “or paragraph (i) of the Sixth Schedule”, and

(b) in Part II, by the substitution of the following paragraph for paragraph (i):

“(i) Services other than—

(a) the hiring or letting of goods,

(b) services of a kind specified in the Sixth Schedule;”.

88 Insertion of Sixth Schedule in Principal Act.

88.—The Principal Act is hereby amended by the insertion after the Fifth Schedule of the following Schedule:

“SIXTH SCHEDULE

(i) (a) Coal, peat and other solid substances, held out for sale solely as fuel,

(b) gas of a kind used for domestic or industrial heating or lighting, whether in gaseous or liquid form, but not including gas of a kind normally used for welding and cutting metals or gas sold as lighter fuel,

(c) hydrocarbon oil of a kind used for domestic or industrial heating, excluding gas oil (within the meaning of the Hydrocarbon Oil (Rebated Oil) Regulations, 1961 (S.I. No. 122 of 1961)), other than gas oil which has been duly marked in accordance with Regulation 6 (2) of the said Regulations;

(ii) immovable goods;

(iii) services consisting of the development of immovable goods, and the maintenance and repair of immovable goods including the installation of fixtures, where the value of movable goods (if any) provided in pursuance of an agreement in relation to such services does not exceed two-thirds of the total amount on which tax is chargeable in respect of the agreement;

(iv) services, supplied on or after the 1st day of July, 1983, consisting of the repair or maintenance of mechanically propelled land vehicles including self-propelled mobile machinery (other than vehicles and machinery designed, constructed or intended for use on rails) and goods specified in paragraph (v), insofar as it applies to farmers, and paragraph (xx), of Part I of the Third Schedule, including the provision and installation in the course of supplying such services of goods of a kind normally included as parts of such vehicles when supplied new, but excluding—

(a) the provision in the course of a repair or maintenance service of accessories, attachments, goods specified in paragraph (xxv) of the said Part I and batteries,

(b) the repair and maintenance, whether performed separately or in the course of the repair or maintenance of other goods, of articles which are accessories or attachments or goods specified in the said paragraph (xxv), other than such articles that are of a kind specified in the said paragraph (v), insofar as it applies to farmers, and the said paragraph (xx), and

(c) washing, cleaning and polishing;

(v) agricultural services consisting of—

(a) field work, reaping, mowing, threshing, baling, harvesting, sowing and planting,

(b) disinfecting and ensilage of agricultural products,

(c) destruction of weeds and pests and dusting and spraying of crops and land,

(d) lopping, tree felling and similar forestry services, and

(e) land drainage and reclamation;

(vi) services of an auctioneer, solicitor, estate agent or other agent, directly related to the supply of immovable goods used for the purposes of an Annex A activity;

(vii) farm accountancy or farm management services.”.

89 Relief for hotels etc.

89.—(1) (a) In this section “qualifying service” means a service consisting of the supply, for the benefit of persons not resident in the State, under an agreement made before the 1st day of January, 1983, of sleeping accommodation, with or without board, or of motor cars upon hire, boats upon hire or entertainment, at charges fixed at the time of the making of the agreement, to persons carrying on the business of travel agent, tour operator or the hiring out of motor cars or boats.

(b) In respect of the taxable periods commencing on the 1st day of March, 1983, the 1st day of May, 1983, the 1st day of July, 1983, the 1st day of September, 1983 and the 1st day of November, 1983, notwithstanding the provisions of section 11 of the Principal Act (as amended by this Act), tax shall, in relation to the supply of a qualifying service, be, and be deemed to have been, chargeable at the rate of 18 per cent.

(2) Notwithstanding the provisions of section 11 of the Principal Act (as amended by this Act), the rate of tax chargeable in relation to the letting of immovable goods specified in paragraph (iv) (b) of the First Schedule to the Principal Act shall be 18 per cent.

PART IV Stamp Duties

90 Levy on banks.

90.—(1) In this section, except where the context otherwise requires—

“assessable amount” means the amount arrived at by dividing the specified amount by three and deducting £5,000,000 from the quotient;

“bank” means a person who, on the 1st day of April, 1983, was the holder of a licence granted under section 9 of the Central Bank Act, 1971;

“returns”, in relation to a bank, means the monthly bank returns furnished to the Central Bank of Ireland by the bank in respect of the assets and liabilities of the bank as on the 30th day of September, 1982, the 20th day of October, 1982, and the 17th day of November, 1982;

“specified amount” means—

(a) in the case of an associated bank, the amount obtained by deducting the aggregate of the sums shown in the returns of that bank in respect of Item 7 in Appendix II of the returns as an adjustment of current accounts for cheques in transit from the aggregate of the sums shown in the returns in respect of current accounts and deposit accounts by whomsoever held at offices in the State of the bank and shown as liabilities of the bank in such returns;

(b) in the case of any other bank, the amount obtained by deducting the aggregate of the sums shown in the analysis of selected liabilities in the returns of that bank as due to banks (including banks that are not banks within the meaning of subsection (1)) in respect of current accounts, deposit accounts, other accounts and secured loans from the aggregate of the sums shown in the returns in respect of current accounts, deposit accounts, other accounts and secured loans by whomsoever held at offices in the State of the bank and shown as liabilities of the bank in such returns.

(2) A bank shall, not later than the 14th day of September, 1983, deliver to the Revenue Commissioners a statement in writing showing the assessable amount for that bank, the specified amount for that bank and the sums referred to in the definition of “specified amount” in subsection (1) by reference to which that specified amount was calculated.

(3) There shall be charged on every statement delivered pursuant to subsection (2) a stamp duty of an amount equal to the sum of the following:

(a) 0.2 per cent. of that part of the assessable amount shown therein that does not exceed £100,000,000 and

(b) 0.375 per cent. of that part of the assessable amount shown therein that exceeds £100,000,000:

Provided that in any case where the assessable amount shown in the statement does not exceed £100,000,000 stamp duty of an amount equal to 0.2 per cent. of the assessable amount shown therein shall be charged.

(4) The duty charged by subsection (3) upon a statement delivered by a bank pursuant to subsection (2) shall be paid by the bank upon delivery of the statement.

(5) There shall be furnished to the Revenue Commissioners by a bank such particulars as the Revenue Commissioners may deem necessary in relation to any statement required by this section to be delivered by the bank.

(6) In the case of failure by a bank to deliver any statement required by subsection (2) within the time provided for in that subsection or of failure to pay the duty chargeable on any such statement on the delivery thereof, the bank shall, from the date of the passing of this Act until the day on which the duty is paid, be liable to pay, by way of penalty, in addition to the duty, interest thereon at the rate of 15 per cent. per annum and also from the 14th day of September, 1983, by way of further penalty, a sum equal to 1 per cent. of the duty for each day the duty remains unpaid and each penalty shall be recoverable in the same manner as if the penalty were part of the duty.