FINANCE ACT, 1991

“the expression ‘accountable person’ means—

• (a) the person referred to in column (2) of the Table to this definition in respect of the corresponding instruments set out in column (1) of that Table by reference to the appropriate Heading in the First Schedule to this Act,

• (b) in the case of an instrument which operates, or is deemed to operate, as a voluntary disposition inter vivos under the provisions of section 74 of the Finance (1909-10) Act, 1910, or section 24 of the Finance Act, 1949, the parties to such instrument,

• (c) in the case of any other instrument, the parties to that instrument:

Provided that, in the case of any person who would be an accountable person if alive, the accountable person shall be the personal representative of such person:

TABLE

Instrument Heading specified in the First Schedule	Accountable Person
(1)	(2)
BOND, COVENANT or INSTRUMENT of any kind whatsoever.	The obligee, covenantee, or other person taking the security.
CONVEYANCE or TRANSFER on sale of any stocks or marketable securities.	The vendee or transferee.
CONVEYANCE or TRANSFER on sale of any property other than stocks or marketable securities.	The vendee or transferee.
LEASE.	The lessee.
MORTGAGE, BOND, DEBENTURE, COVENANT (except a marketable security) and WARRANT OF ATTORNEY to confess and enter up judgement.	The mortgagee or obligee; in the case of a transfer, the transferee.
SETTLEMENT.	The settlor.
DUPLICATE or COUNTERPART of any instrument chargeable with any duty.	Any of the persons specified in this column, as appropriate.

”.

97 Facts and circumstances affecting duty to be set forth in instruments, etc.

97.—The Act of 1891 is hereby amended as respects instruments executed on or after the 1st day of November, 1991, by the substitution of the following section for section 5:

“5. (1) Except as hereinafter provided, all the facts and circumstances affecting the liability of any instrument to duty, or the amount of the duty with which any instrument is chargeable, are to be fully and truly set forth in the instrument.

• (2) Where it is not practicable to set out all the facts and circumstances, to which subsection (1) refers, in an instrument, additional facts and circumstances which—

  • (a) affect the liability of such instrument to duty, or

  • (b) affect the amount of the duty with which such instrument is chargeable, or

  • (c) may from time to time be required by the Commissioners,

  are to be fully and truly set forth in a statement which shall be delivered to the Commissioners together with such instrument and the form of any such statement may from time to time be prescribed by the Commissioners.

• (3) Any person who—

  • (a) fraudulently or negligently executes any instrument, or

  • (b) being employed or concerned in or about the preparation of any instrument, fraudulently or negligently prepares any such instrument,

  in which all the facts and circumstances affecting the liability of such instrument to duty, or the amount of the duty with which such instrument is chargeable, are not fully and truly set forth in the instrument or in any statement to which subsection (2) relates, shall incur a fine of—

  - (i) £1,000, and
  
  - (ii) the amount, or in the case of fraud, twice the amount, of the difference between—
  
      - (A) the amount of duty payable in respect of the instrument based on the facts and circumstances set forth and delivered, and
  
      - (B) the amount of duty which would have been the amount so payable if the instrument and any accompanying statement had fully and truly set forth all the facts and circumstances referred to in subsections (1) and (2).
  

• (4) Where any instrument was executed neither fraudulently nor negligently by a person and it comes to his notice, or it would have come to his notice, if he had taken reasonable care, that such instrument or any statement to which subsection (2) relates does not fully and truly set forth all the said facts and circumstances then, unless the Commissioners are informed of the error without unreasonable delay, such matter shall be treated, for the purposes of subsection (3), as having been negligently done by him.

• (5) Where an instrument operates, or is deemed to operate, as a voluntary disposition inter vivos under the provisions of section 74 of the Finance (1909-10) Act, 1910, or section 24 of the Finance Act, 1949, such fact shall be brought to the attention of the Commissioners in the statement delivered under the provisions of subsection (2) and such statement shall contain a statement of the value of the property, or in the case of a lease the minimum amount or value referred to in the said section 24, and where the requirements of this subsection are not complied with any person who executes such instrument shall for the purposes of subsection (3) be presumed, until the contrary is proven, to have acted negligently.

• (6) Where such person as may be liable to a fine under subsection (3) is in doubt as to the application of law to, or the treatment for tax purposes of, any matter to be contained in an instrument, or in a statement to which subsection (2) relates, to be delivered by him to the Commissioners, he may deliver the instrument and, where applicable, the statement to the best of his belief as to the application of law to, or the treatment for the purposes of stamp duty of, that matter but he shall draw the attention in writing of the Commissioners to the matter in question in the instrument or statement, as appropriate, by specifying the doubt and, if he so does, he shall be treated as making a full and true disclosure with regard to that matter:

Provided that this subsection shall not apply where the Commissioners are not satisfied that the doubt was genuine and are of the opinion that such person was acting with a view to the evasion or avoidance of tax and in such a case the person shall be deemed not to have made a full and true disclosure with respect to the matter in question.”.

98 Amendment of section 12 of Act of 1891.

98.—Section 12 of the Act of 1891 is hereby amended as respects instruments executed on or after the 1st day of November, 1991—

• (a) in subsection (1), by the insertion of “, or may express their opinion,” after “may be required by any person to express their opinion”,

• (b) by the insertion of the following subsection after subsection (1):

• “(1A) Where an instrument which is chargeable with stamp duty has not been delivered to the Commissioners for assessment of duty or impressing of stamps, the Commissioners shall make an assessment of such amount of stamp duty as, to the best of their knowledge, information and belief, ought to be charged, levied and paid thereon; and the accountable person shall be liable for the payment of the stamp duty so assessed unless, upon delivery of the instrument to them, the Commissioners make another assessment to be substituted for such assessment.”,

• (c) in subsection (6), by the deletion in paragraph (c) of all the words from “; and every person” to the words “stated therein”, and

• (d) by the addition of the following subsections after subsection (6):

• “(7) If at any time it appears that for any reason an assessment is incorrect the Commissioners shall make such other assessment as they consider appropriate, which assessment shall be substituted for the first-mentioned assessment.

• (8) If at any time it appears, in respect of an instrument which has been stamped in accordance with an assessment, that for any reason the assessment was an underassessment the Commissioners shall make such additional assessment as they consider appropriate.”.

99 Amendment of section 14 of Act of 1891.

99.—Section 14 of the Act of 1891 is hereby amended, as respects instruments executed after the 1st day of November, 1991, by the insertion in subsection (4) after “proceedings” of “or in civil proceedings by the Commissioners to recover stamp duty”.

100 Penalty upon stamping instruments after execution.

100.—The Act of 1891 is hereby amended by the substitution of the following section for section 15:

“15. (1) Save where other express provision is in this Act made, any instrument which is unstamped or insufficiently stamped may be stamped after the expiration of the time for stamping provided for in subsection (3) of section 1, on payment of the unpaid duty and on payment of a penalty of £20 and also by way of further penalty, where the unpaid duty exceeds £20, of interest on such duty, at the rate of 1.25 per cent. per month or part of a month from the day upon which the said instrument was first executed to the day of payment of the unpaid duty.

• (2) Where—

  • (a) any instrument referred to in column (1) of the Table to the definition of ‘accountable person’ in section 122, or

  • (b) any instrument which operates, or is deemed to operate, as a voluntary disposition inter vivos,

  has not been or is not duly stamped in conformity with the provisions of subsection (3) of section 1, the accountable person shall, in addition to the penalties provided for in subsection (1), be liable to pay an amount by way of further penalty as follows:

  - (i) an amount equivalent to 10 per cent. of the unpaid duty thereon, where such instrument is stamped not later than 6 months after the day upon which such instrument was first executed;
  
  - (ii) an amount equivalent to 20 per cent. of the unpaid duty thereon, where such instrument is stamped more than 6 months but not later than 12 months after the day upon which such instrument was first executed;
  
  - (iii) an amount equivalent to 30 per cent. of the unpaid duty thereon, where such instrument is stamped more than 12 months after the day upon which such instrument was first executed.
  

• (3) Subject to any other express provision in this Act in relation to any particular instrument, the Commissioners may, if they think fit, remit any penalty payable on stamping.

• (4) The payment of any penalty payable on stamping shall be denoted on the instrument by a particular stamp.

• (5) Any penalty payable by operation of this section shall be chargeable and recoverable in the same manner as if it were part of the duty on the instrument to which it relates.

• (6) The provisions of this section shall apply with effect as on and from the 1st day of November, 1991, to any instrument, whenever executed, which is unstamped or insufficiently stamped.”.

101 Rolls, books, etc., to be open to inspection.

101.—(1) The Act of 1891 is hereby amended as respects instruments executed on or after the 1st day of November, 1991, by the substitution of the following section for section 16:

“16. (1) Subject to subsection (2), any person who is a party to any instrument, or who has in his custody or under his control any document, the inspection whereof may tend to secure any duty, or to prove or lead to the discovery of any fraud, negligence, or omission in relation to any duty shall, within 14 days of a request by way of a notice in writing from the Commissioners—

• (a) provide such information as the Commissioners deem necessary, and

• (b) permit any person authorised by the Commissioners, to inspect any such document and to take such notes, extracts, prints, printouts and copies as he may deem necessary,

and in case of refusal to so provide or permit by the first-mentioned person, he shall be guilty of an offence and shall be liable to a fine not exceeding £1,000, and if the refusal continues after conviction he shall be guilty of a further offence on every day on which the refusal continues and for each such offence he shall be liable to a fine not exceeding £100.

• (2) It shall be a good defence in a prosecution for an offence under subsection (1) for the accused to show that he is required or entitled by law to refuse the request of the Commissioners.

• (3) In this section ‘document’ includes—

  • (a) any instrument, roll, book or record,

  • (b) any record of an entry in a document, and

  • (c) any information stored, maintained or preserved by means of any mechanical or electronic device, whether or not stored, maintained or preserved in a legible form.”.

• (2) Notwithstanding anything to the contrary contained in subsection (1) the provisions of that subsection shall apply to any instrument, the date of first execution of which appears from that instrument or otherwise to be prior to the 1st day of November, 1991, and where the Commissioners wish to verify that date to their satisfaction.

102 Alteration of stamp duties on leases.

102.—The Finance Act, 1949, is hereby amended as respects instruments executed on or after the 1st day of November, 1991, by the substitution of the following section for section 24:

“24. (1) Any lease (not being executed in good faith and for valuable consideration) shall, for the purposes of this section, be deemed to be a lease operating as a voluntary disposition inter vivos, and the consideration for any lease shall not, for this purpose, be deemed to be valuable consideration where the Commissioners are of opinion that, by reason of the inadequacy of consideration or other circumstances, the lease confers a substantial benefit on the lessee.

• (2) Where by operation of the provisions of this section any lease is deemed to operate as a voluntary disposition inter vivos the reference to consideration (other than rent) in the heading of charge entitled ‘LEASE’, which is set out in the First Schedule to the Stamp Act, 1891, shall be construed in relation to duty chargeable on such lease as a reference to the minimum amount or value that would be necessary in order that the lease, any rent thereunder remaining unchanged, would not be a lease operating as a voluntary disposition inter vivos.

• (3) Subsection (2) of section 74 of the Finance (1909-10) Act, 1910, shall, with any necessary modifications, apply to a lease operating as a voluntary disposition inter vivos in the same manner as to a conveyance or transfer operating as a voluntary disposition inter vivos.”.

103 Provision relating to voluntary disposition inter vivos, etc.

103.—(1) Where an instrument operates or is deemed to operate as a voluntary disposition inter vivos by operation of the provisions of section 74 of the Finance (1909-10) Act, 1910, or section 24 of the Finance Act, 1949, and the statement of value of such property, or in the case of a lease the minimum amount or value referred to in the said section 24, provided to the Commissioners under subsection (5) of section 5 of the Act of 1891 (hereafter in this section referred to as the “submitted value”) is less than the value of the property as agreed with, or ascertained by, the Commissioners (hereafter in this section referred to as the “ascertained value”) then, as a penalty, the duty chargeable upon the conveyance or transfer, or lease, shall be increased by an amount (hereafter in this section referred to as the “surcharge”) calculated according to the following provisions:

• (a) where the submitted value is less than the ascertained value by an amount which is greater than 10 per cent. of the ascertained value but not greater than 30 per cent. of the ascertained value, a surcharge equal to 50 per cent. of the total duty chargeable on the instrument:

Provided that no surcharge shall be chargeable where the difference between the submitted value and the ascertained value is less than £5,000;

• (b) where the submitted value is less than the ascertained value by an amount which is greater than 30 per cent. of the ascertained value but not greater than 50 per cent. of the ascertained value, a surcharge equal to the total duty chargeable on the instrument;

• (c) where the submitted value is less than the ascertained value by an amount which is greater than 50 per cent. of the ascertained value, a surcharge equal to double the total duty chargeable on the instrument.

• (2) Where a statement of value, or in the case of a lease the minimum amount or value referred to in section 24 of the Finance Act, 1949, is not provided in accordance with the provisions of subsection (5) of section 5 of the Act of 1891, then the liability of an instrument to a surcharge under this section may be ascertained by the Commissioners by the substitution of the consideration, other than rent in the case of lease, stated in the instrument for the submitted value.

• (3) Any surcharge payable by operation of this section shall be chargeable and recoverable in the same manner as if it were part of the duty on the instrument to which it relates.

• (4) Notwithstanding the provisions of subsection (4) of section 15 of the Act of 1891, any surcharge imposed by operation of this section shall not be denoted on an instrument to which it relates by impressed stamps or otherwise.

• (5) Subsection (3) of section 74 of the Finance (1909-10) Act, 1910, is hereby repealed.

• (6) This section shall have effect as respects instruments executed on or after the 1st day of November, 1991.

104 Procedure to apply where consideration etc., cannot be ascertained.

104.—(1) Where in the case of any instrument which, except for the fact that the amount or value of the consideration or the average annual rent cannot be ascertained at the date of execution thereof, would otherwise be chargeable with ad valorem duty on such consideration or rent as a conveyance or transfer on sale or as a lease, the Commissioners may charge ad valorem duty on such instrument as if—

• (a) in the case of a conveyance or transfer on sale, the value of the property conveyed or transferred was substituted for the amount or value of the consideration chargeable under the appropriate heading of charge under the Heading “CONVEYANCE or TRANSFER on sale of any stocks or marketable securities” or the Heading “CONVEYANCE or TRANSFER on sale of any property other than stocks or marketable securities” in the First Schedule to the Act of 1891;

• (b) in the case of a lease, the amount or value of the consideration, other than rent, which could be obtained from a tenant leasing the property for full consideration under the terms created by the lease (but disregarding the amount or value of any rent or consideration other than rent payable thereunder) was substituted for the amount or value of the consideration, other than rent, chargeable under the heading of charge entitled “LEASE” in the First Schedule to the Act of 1891.

• (2)
• (a) For the purposes of subsection (1) the provisions of subsections (2) and (3) of section 56 of the Act of 1891 shall be disregarded and those provisions shall not apply to any instrument in relation to which subsection (1) applies.

• (b) Subsection (1) shall not apply to any instrument in relation to which subsection (3) (a) of section 112 of the Finance Act, 1990, applies.

• (3) This section shall have effect as respects instruments executed after the passing of this Act.

105 Valuation of property chargeable with stamp duty.

105.—(1) The Commissioners shall ascertain the value of property the subject of an instrument chargeable with stamp duty in the same manner, subject to any necessary modification, as is provided for in sections 15, 16 and 17 of the Capital Acquisitions Tax Act, 1976.

• (2) This section shall have effect as respects instruments executed on or after the 1st day of November, 1991.

106 Amendment of certain provisions relating to fines.

106.—(1) Where an act or omission occurs in respect of which a person would, but for this section, have incurred the fine provided for in any provision of the Acts specified in column (2) of the Table to this section at any reference number, the person shall, in lieu of the fine so provided for, be liable to the fine specified in column (3) of the said Table at that reference number and that provision shall be construed and have effect accordingly.

TABLE

Reference Number	Provision of the Acts	Fine
(1)	(2)	(3)
		£
1	Section 8 (3) of the Act of 1891.	500
2	Section 9 of the Act of 1891.	1,000
3	Section 17 of the Act of 1891.	500
4	Section 83 of the Act of 1891.	500
5	Section 100 of the Act of 1891.	500
6	Section 107 of the Act of 1891.	500
7	Section 109 (2) of the Act of 1891.	500
8	Section 20 of the Stamp Duties Management Act, 1891.	500
9	Section 21 of the Stamp Duties Management Act, 1891.	1,000
10	Section 4 (2) of the Finance (1909-10) Act, 1910.	500
11	Section 41 (3) of the Finance Act, 1970.	500

• (2) This section shall have effect as respects an act or omission which occurs on or after the 1st day of November, 1991.

107 Amendment of section 4 of Stock Transfer Act, 1963.

107.—Section 4 of the Stock Transfer Act, 1963, is hereby amended as respects instruments executed on or after the 1st day of November, 1991, by the substitution in subsection (1) of “a penalty of £500” for “a penalty of one hundred pounds”.

108 Application of section 485 of Income Tax Act, 1967.

108.—(1) The provisions of section 485 of the Income Tax Act, 1967, shall, subject to any necessary modifications, apply to stamp duty in the same manner as they apply to income tax and where the provisions therein provided are exercised with regard to stamp duty they shall be exercised as if stamp duty was a tax to be collected and levied by the Collector-General.

• (2) This section shall have effect as respects instruments executed on or after the 1st day of November, 1991.

109 Application of certain provisions relating to penalties under Income Tax Act, 1967.

109.—(1) Sections 128 (4), 507, 508, 510, 511, 512, 517 and 518 of the Income Tax Act, 1967, shall, with any necessary modifications, apply to a fine under—

• (a) the Act of 1891, or

• (b) any other enactment providing for fines in relation to stamp duty,

as if the fine were a penalty under the Income Tax Acts, and the provisions of section 22 of the Inland Revenue Regulation Act, 1890, shall not apply in a case to which any of the said sections of the Income Tax Act, 1967, apply by virtue of this section.

• (2) This section shall have effect as respects instruments executed on or after the 1st day of November, 1991.

110 Amendment of Chapter II (stamp duty on capital companies) of Part IV of Finance Act, 1973.

110.—Chapter II of Part IV of the Finance Act, 1973, is hereby amended by the insertion of the following section after section 67A:

“Restriction of application (Chapter II).

67B. This Chapter shall not apply to any investment company to which the provisions of Part XIII of the Companies Act, 1990, relate.”.

111 Amendment of section 92 (levy on certain premiums of insurance) of Finance Act, 1982.

111.—Section 92 of the Finance Act, 1982, is hereby amended in subsection (8) (inserted by the Finance Act, 1984) by the addition of the following proviso to the definition of “relevant premium”:

“Provided that an amount received from an insurer who is acting in the course of his business as an insurer shall not, for the purposes of this subsection, be a relevant premium.”.

PART V Residential Property Tax

112 Amendment of section 104 (assessment and payment of tax) of Finance Act, 1983.

112.—Section 104 of the Finance Act, 1983, is hereby amended by the addition of the following subsection after subsection (9):

• “(10) Notwithstanding the provisions of this section, an assessment or an amended assessment of tax may be made by the Commissioners under this section at any time and such assessment or amended assessment shall be made on—

  • (a) the assessable person,

  • (b) the person whom the Commissioners have reason to believe is an assessable person, or

  • (c) the personal representative of the assessable person or of the person whom the Commissioners have reason to believe would, if alive, be an assessable person,

  and where the assessment or amended assessment is so made on the personal representative, he shall have the same right of appeal under section 109 as if he were an assessable person.”.

PART VI Capital Acquisitions Tax and Death Duties

113 Interpretation (Part VI).

113.—In this Part “the Principal Act” means the Capital Acquisitions Tax Act, 1976.

114 Amendment of section 19 (value of agricultural property) of Principal Act.

114.—Subsection (1) of section 19 of the Principal Act shall—

• (a) as respects a gift or inheritance taken on or after the 30th day of January, 1991, have effect as if “55 per cent.” were substituted for “50 per cent.” in the definition of “agricultural value”, and

• (b) as respects a gift or inheritance taken on or after the passing of this Act, have effect as if “80 per cent.” were substituted for “75 per cent.” in the definition of “farmer”.

115 Amendment of Second Schedule to the Principal Act.

115.—(1) The Second Schedule to the Principal Act (as amended by section 111 of the Finance Act, 1984) is hereby amended by the substitution of the following Part for Part II:

“PART II

TABLE

Portion of Value	Rate of tax
	Per cent.
The threshold amount	Nil
The next £10,000	20
The next £40,000	30
The next £50,000	35
The balance	40

”.

• (2) This section shall have effect in relation to gifts and inheritances taken on or after the 30th day of January, 1991.

116 Inheritances taken by parents.

116.—(1) In this section “class threshold of £150,000” means the class threshold of £150,000 in the definition of “class threshold” contained in paragraph 1 (inserted by section 111 of the Finance Act, 1984) of the Second Schedule to the Principal Act.

• (2) Subject to subsection (3), the class threshold of £150,000 shall apply, and be deemed always to have applied, in relation to a taxable inheritance taken on or after the 2nd day of June, 1982, by a parent of the disponer where—

• (a) the interest taken by the successor is not a limited interest, and

• (b) the inheritance is taken on the date of death of the disponer.

• (3) Notwithstanding the provisions of section 46 of the Principal Act, interest shall not be payable on any repayment of tax which arises by virtue of this section where such tax was paid prior to the date of the passing of this Act.

117 Reduction in estimated market value of certain dwellings.

117.—(1) In so far as an inheritance consists of a house or the appropriate part of a house—

• (a) at the date of the inheritance, and

• (b) at the valuation date,

and is taken by a successor who, at the date of the inheritance—

• (i) is a brother or sister of the disponer,

• (ii) has attained the age of 55 years,

• (iii) has resided in the house with the disponer continuously for a period of not less than 5 years ending on the date of the inheritance, and

• (iv) is not beneficially entitled in possession to any other house or the appropriate part of any other house,

the estimated market value of the house or the appropriate part of the house shall, notwithstanding anything to the contrary in section 15 of the Principal Act, be reduced by 50 per cent. or £50,000, whichever is the lesser:

Provided that where the house or the appropriate part of the house comprised in the inheritance referred to in subsection (1) is agricultural property within the meaning of subsection (1) of section 19 of the Principal Act and the successor is a farmer within the meaning of that subsection, the provisions of this section shall not apply.

• (2) Where a house, or the appropriate part of a house to which subsection (1) relates was not in the beneficial ownership of the disponer for the period of 5 years ending on the date of the inheritance, that period of 5 years shall be deemed to include any period, immediately prior to the date on which the disponer acquired such beneficial ownership, during which the successor was residing continuously with the disponer in any other house, or the appropriate part of any other house, of the disponer.

• (3) In this section—

“appropriate part”, in relation to a house, has the meaning assigned to it in relation to property by subsection (5) of section 5 of the Principal Act;

“house” means a building, or a part of a building, used by the disponer as his main or only dwelling together with its garden or grounds of an ornamental nature.

• (4) This section shall have effect in relation to inheritances taken on or after the 30th day of January, 1991.

118 Application of section 60 (relief in respect of certain policies of insurance) of Finance Act, 1985.

118.—For the purposes of section 60 of the Finance Act, 1985, “relevant tax” shall be deemed to include inheritance tax payable in respect of an inheritance taken under a disposition made by the spouse of the insured where the inheritance is taken on the date of death of the insured.

119 Relief in respect of certain policies of insurance relating to tax payable on gifts.

119.—(1) In this section—

“appointed date” means—

• (a) a date occurring not earlier than 8 years after the date on which a relevant insurance policy is effected, or

• (b) a date on which the proceeds of a relevant insurance policy become payable either on the critical illness or the death of the insured, or one of the insured in a case to which paragraph (b) of the definition of “insured” relates, being a date prior to the date to which paragraph (a) of this definition relates;

“insured” means—

• (a) where the insured is an individual, that individual, or

• (b) where the insured is an individual and the spouse of that individual at the date the policy is effected, that individual and the spouse of that individual, jointly or separately, or the survivor of them, as the case may be;

“relevant insurance policy” means a policy of insurance—

• (a) which is in a form approved by the Commissioners for the purposes of this section,

• (b) in respect of which annual premiums are paid by the insured,

• (c) the proceeds of which are payable on the appointed date, and

• (d) which is expressly effected under this section for the purpose of paying relevant tax;

“relevant tax” means gift tax or inheritance tax, payable in connection with an inter vivos disposition made by the insured within one year after the appointed date, excluding gift tax or inheritance tax payable on an appointment out of an inter vivos discretionary trust set up by the insured.

• (2) The proceeds of a relevant insurance policy shall, to the extent that such proceeds are used to pay relevant tax, be exempt from tax and shall not be taken into account in computing such tax.

• (3) Subject to the provisions of section 54 of the Principal Act and section 127 of the Finance Act, 1990, where the insured makes an inter vivos disposition of the proceeds, or any part of the proceeds, of a relevant insurance policy other than in paying relevant tax, such proceeds shall not be exempt from tax.

• (4) A relevant insurance policy shall be a qualifying insurance policy for the purposes of section 60 of the Finance Act, 1985, where the proceeds of such relevant insurance policy become payable on the death of the insured or one of the insured in a case to which paragraph (b) of the definition of “insured” relates:

Provided that such relevant insurance policy would have been a qualifying insurance policy if it had been expressly effected under that section.

• (5) A qualifying insurance policy for the purposes of section 60 of the Finance Act, 1985, shall be a relevant insurance policy where the proceeds of such qualifying insurance policy are used to pay relevant tax arising under an inter vivos disposition made by the insured within one year after the appointed date.

• (6) Section 143 of the Income Tax Act, 1967 (as amended by section 60 of the Finance Act, 1985) is hereby amended by the addition to subsection (5) of the following paragraph after paragraph (c):

• “(d) be given for the year 1991-92 and subsequent years of assessment in respect of premiums payable in respect of a relevant insurance policy within the meaning of section 119 of the Finance Act, 1991.”.

120 Capital acquisitions tax, waiver in respect of certain interest payable, etc.

120.—(1) In this section “donee” includes a successor and a reference to a gift or a taxable gift includes a reference to an inheritance or a taxable inheritance, as the case may be, and a reference to gift tax includes a reference to inheritance tax.

• (2) Where in respect of a gift taken on or before the 30th day of January, 1991—

• (a) gift tax is due and payable by a donee on any date on or before the 30th day of September, 1991, and

• (b) in the period beginning on the 30th day of January, 1991, and ending on the 30th day of September, 1991, a return is delivered and gift tax is assessed in respect of the gift in accordance with the provisions of section 36 (inserted by section 74 of the Finance Act, 1989) of the Principal Act or section 104 of the Finance Act, 1986, and

• (c) such gift tax is paid on or before the 30th day of September, 1991,

interest payable on such gift tax up to the 30th day of April, 1991, shall be waived and penalties, if incurred, shall not be collected.

• (3) For the purposes of subsection (2) where—

• (a) gift tax assessed on a taxable gift is being paid by instalments, or

• (b) a payment on account of gift tax has been made,

sums paid in discharge of earlier instalments or as a payment on account of tax shall, notwithstanding the provisions of subsection (4) of section 41 of the Principal Act, be applied or reapplied towards the discharge of tax in the first instance:

Provided that where the sum so paid is in excess of the sum to be so applied or reapplied, the excess shall not be repaid.

• (4) This section shall not apply in relation to a gift—

• (a) where gift tax is due and payable by the donee concerned in respect of any other gift taken by him, unless such gift tax is paid on or before the 30th day of September, 1991,

• (b) where any capital gains tax is due and payable in respect of a disposal of the property comprised in the gift concerned, unless such capital gains tax and penalties (together with all interest due in respect of that tax) is paid at the same time or prior to the date of payment of the gift tax on that gift.

• (5) Where additional gift tax becomes due and payable as a result of a revaluation of property included in a self assessed return, which was delivered on or after the 30th day of January, 1991, interest payable on such additional gift tax shall not be waived.

• (6)
• (a) A fine or other penalty imposed by a court in connection with a gift shall not be waived.

• (b) Interest on gift tax, which has been ordered to be paid by a court, shall not be waived.

121 Amendment of section 57 (exemption of certain securities) of Capital Acquisitions Tax Act, 1976.

121.—(1) Section 57 of the Principal Act is hereby amended—

• (a) in subsection (1) by the substitution of the following definition for the definition of unit trust scheme:

“‘unit trust scheme’ means an authorised unit trust scheme within the meaning of the Unit Trusts Act, 1990, whose deed expressing the trusts of the scheme restricts the property subject to those trusts to securities.”,

and

• (b) in subsection (2) (as amended by section 40 of the Finance Act, 1978) by the substitution for “Unit Trusts Act, 1972” of “Unit Trusts Act, 1990”.

• (2) This section shall have effect in relation to gifts and inheritances taken on or after the 26th day of December, 1990.

122 Death duties, waiver in respect of certain interest payable, etc.

122.—(1) Where outstanding death duties are paid on or before the 30th day of September, 1991, interest payable on such duties up to the 30th day of April, 1991, shall be waived and penalties, if incurred, shall not be collected.

• (2) This section shall not apply to any penalty imposed by a court or to interest on death duties, the payment of which has been ordered by a court.

• (3) In this section “death duties” has the meaning assigned to it by section 13 (3) of the Finance Act, 1894.

PART VII Miscellaneous

123 Capital Services Redemption Account.

123.—(1) In this section—

“the principal section” means section 22 of the Finance Act, 1950;

“the 1990 amending section” means section 132 of the Finance Act, 1990;

“the forty-first additional annuity” means the sum charged on the Central Fund under subsection (4);

“the Minister”, “the Account” and “capital services” have the same meanings respectively as they have in the principal section.

• (2) In relation to the twenty-nine successive financial years commencing with the financial year ending on the 31st day of December, 1991, subsection (4) of the 1990 amending section shall have effect with the substitution of “£47,057,633” for “£44,965,113”.

• (3) Subsection (6) of the 1990 amending section shall have effect with the substitution of “£35,625,154” for “£34,561,200”.

• (4) A sum of £49,030,307 to redeem borrowings, and interest thereon, in respect of capital services shall be charged annually on the Central Fund or the growing produce thereof in the thirty successive financial years commencing with the financial year ending on the 31st day of December, 1991.

• (5) The forty-first additional annuity shall be paid into the Account in such manner and at such times in the relevant financial year as the Minister may determine.

• (6) Any amount of the forty-first additional annuity, not exceeding £37,685,800 in any financial year, may be applied towards defraying the interest on the public debt.

• (7) The balance of the forty-first additional annuity shall be applied in any one or more of the ways specified in subsection (6) of the principal section.

124 Amendment of section 92 (tax concessions for disabled drivers, etc.) of Finance Act, 1989.

124.—Section 92 of the Finance Act, 1989, is hereby amended in subsection (1) by the substitution in paragraph (ii) of “20 per cent.” for “30 per cent.”.

125 Repeals.

125.—Each enactment specified in column (2) of the Fourth Schedule is hereby repealed to the extent specified in column (3) of that Schedule.

126 Amendment of section 141 (incapacitated children) of Income Tax Act, 1967.

126.—As respects the year 1991-92 and subsequent years of assessment, section 141 (inserted by the Finance Act, 1986) of the Income Tax Act, 1967, is hereby amended by the substitution, in subsection (4), of “£2,100” for “£720” and the said subsection (4), as so amended, is set out in the Table to this section.

TABLE

• (4) No deduction shall be allowed under this section in respect of any child who is entitled in his own right to an income exceeding £2,100 a year, except that, if the amount of the excess is less than the deduction which apart from this subsection would be allowable, a deduction reduced by that amount shall be allowed:

Provided that in calculating the income of the child for the purposes of the foregoing provision no account shall be taken of any income to which the child is entitled as the holder of a scholarship, bursary, or other similar educational endowment.

127 Amendment of section 13 (Commissioners to keep accounts) of Inland Revenue Regulation Act, 1890.

127.—Section 13 of the Inland Revenue Regulation Act, 1890, is hereby amended, in subsection (1), by the deletion of “at their chief office”.

128 Amendment of section 17 (tax deductions from payments to subcontractors in the construction industry) of Finance Act, 1970.

128.—Section 17 (as amended by the Finance Act, 1976) of the Finance Act, 1970, is hereby amended by the insertion, in paragraph (a) of subsection (5), of “refusal to issue, appeal against refusal to issue,” after “the issue,” and the said paragraph, as so amended, is set out in the Table to this section.

TABLE

• (a) the issue, refusal to issue, appeal against refusal to issue, recall or cancellation of certificates of authorisation and the surrender of the certificates;

129 Application of certain income tax provisions in relation to the collection and recovery of capital acquisitions tax, etc.

129.—(1) In this section—

“the Collector” means the Collector-General appointed under section 162 of the Income Tax Act, 1967;

“the Commissioners” means the Revenue Commissioners;

“functions” includes powers and duties;

“the Principal Act” means the Capital Acquisitions Tax Act, 1976;

“tax” means any tax chargeable under the provisions of the Principal Act.

• (2) Notwithstanding anything in the Principal Act, all sums due under the provisions of that Act shall be paid to the Collector or to such person as may be nominated under the provisions of this section.

• (3) Section 187 of the Income Tax Act, 1967, shall, with any necessary modifications, apply in relation to an assessment of tax, a correcting assessment of tax, or an additional assessment of tax as it applies in relation to assessments to income tax.

• (4) The Collector shall collect and levy the tax from time to time charged in all assessments, correcting assessments and additional assessments of which particulars have been transmitted to him under subsection (3).

• (5) All the provisions of the Income Tax Acts relating to the collection and recovery of income tax shall, subject to any necessary modifications, apply in relation to tax as they apply in relation to income tax chargeable under Schedule D.

• (6)
• (a) The Revenue Commissioners may nominate persons to exercise on behalf of the Collector any or all of the functions conferred upon him by this section and, accordingly, those functions, as well as being exercisable by the Collector, shall also be exercisable on his behalf by persons so nominated.

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

• (7) This section shall apply and have effect as on and from the 1st day of October, 1991.

130 Amendment of section 73 (deduction from payments due to defaulters of amounts due in relation to tax) of Finance Act, 1988.

130.—(1) Section 73 of the Finance Act, 1988, is hereby amended in subsection (1) by the substitution of the following definition for the definition of “the Acts”:

“‘the Acts’ means—

• (i) the Tax Acts,

• (ii) the Capital Gains Tax Acts,

• (iii) the Value-Added Tax Act, 1972, and the enactments amending or extending that Act,

• (iv) the Capital Acquisitions Tax Act, 1976, and the enactments amending or extending that Act, and

• (v) the Stamp Act, 1891, and the enactments amending or extending that Act,

and any instruments made thereunder;”.

• (2) This section shall apply and have effect as on and from the 1st day of October, 1991.

131 Care and management of taxes and duties.

131.—All taxes and duties (except the excise duties on mechanically propelled vehicles imposed by section 75) imposed by this Act are hereby placed under the care and management of the Revenue Commissioners.

132 Short title, construction and commencement.

132.—(1) This Act may be cited as the Finance Act, 1991.

• (2) Parts I and VII (so far as relating to income tax) shall be construed together with the Income Tax Acts and (so far as relating to corporation tax) shall be construed together with the Corporation Tax Acts and (so far as relating to capital gains tax) shall be construed together with the Capital Gains Tax Acts.

• (3) Part II (so far as relating to customs) shall be construed together with the Customs Acts and (so far as relating to duties of excise) shall be construed together with the statutes which relate to the duties of excise and to the management of those duties.

• (4) Part III shall be construed together with the Value-Added Tax Acts, 1972 to 1990, and may be cited together therewith as the Value-Added Tax Acts, 1972 to 1991.

• (5) Part IV and section 130 (so far as relating to stamp duties) shall be construed together with the Stamp Act, 1891, and the enactments amending or extending that Act.

• (6) Part V shall be construed together with Part VI of the Finance Act, 1983, and the enactments amending or extending that Part.

• (7) Part VI (other than section 122) and sections 129 and 130 (so far as relating to gift tax or inheritance tax) shall be construed together with the Capital Acquisitions Tax Act, 1976, and the enactments amending or extending that Act.

• (8) Part I shall, save as is otherwise expressly provided therein, be deemed to have come into force and shall take effect as on and from the 6th day of April, 1991.

• (9) Part III (other than sections 77 to 79, section 81, sections 83 to 85, section 86 (2), paragraphs (c) to (e) of section 87 (1) and section 87 (2)) shall be deemed to have come into force and shall take effect as on and from the 1st day of March, 1991, paragraph (c) of section 87 (1) shall take effect as on and from the 1st day of July, 1991, sections 77 and 78, paragraphs (b) to (d) of section 85, paragraph (b) of section 86 (2) and paragraph (d) of section 87 (1) shall take effect as on and from the 1st day of January, 1992.

• (10) Any reference in this Act to any other enactment shall, except so far as the context otherwise requires, be construed as a reference to that enactment as amended by or under any other enactment including this Act.

• (11) In this Act, a reference to a Part, section or Schedule is to a Part or section of, or Schedule to, this Act, unless it is indicated that reference to some other enactment is intended.

• (12) In this Act, a reference to a subsection, paragraph or subparagraph is to the subsection, paragraph or subparagraph of the provision (including a Schedule) in which the reference occurs, unless it is indicated that reference to some other provision is intended.

FIRST SCHEDULE Amendment of Enactments

PART I Amendments Consequential on Changes in Rates of Tax

• (i) by the substitution of the following definition for the definition of “higher rates” (inserted by the Finance Act, 1984):

“‘higher rates’, in relation to tax, means the rates of tax, known by that description, provided for in section 2 of the Finance Act, 1991;”,

and

• (ii) by the substitution of the following definition for the definition of “standard rate” (inserted by the Finance Act, 1984):

“‘standard rate’, in relation to tax, means the rate of tax, known by that description, provided for in section 2 of the Finance Act, 1991;”.

• (2) Section 3 of the Finance Act, 1974, shall not apply or have effect for the year 1991-92 or any subsequent year of assessment.

PART II Amendments Consequential on Changes in Personal Reliefs

The Income Tax Act, 1967, is hereby amended in accordance with the following provisions:

• (a) in section 138—

• (i) in paragraph (a), by the substitution of “£4,200” for “£4,100” (inserted by the Finance Act, 1988),

• (ii) in paragraph (b) (as amended by the Finance Act, 1988), by the substitution of “£2,600” for “£2,550” and of “£4,200” for “£4,100”, and

• (iii) in paragraph (c), by the substitution of “£2,100” for “£2,050” (inserted by the Finance Act, 1988),

and

• (b) in section 138A (2) (inserted by the Finance Act, 1985), by the substitution of “£1,600” for “£1,550” (inserted by the Finance Act, 1988) and of “£2,100” for “£2,050” (inserted by the Finance Act, 1988).

SECOND SCHEDULE Urban Renewal: Temple Bar Area

PART I Interpretation

In this Schedule—

“thoroughfare” includes any bridge, green, hill, river and street;

a reference to a line drawn along any thoroughfare is a reference to a line drawn along the centre of that thoroughfare;

a reference to a projection of any thoroughfare is a reference to a projection of a line drawn along the centre of that thoroughfare;

a reference to the point where any thoroughfare or projection of any thoroughfare intersects or joins any other thoroughfare is a reference to the point where a line drawn along the centre of one thoroughfare, or in the case of a projection of a thoroughfare, along the projection, would be intersected or joined by a line drawn along the centre of the other thoroughfare.

PART II Description of Temple Bar Area

That part of the county borough of Dublin bounded by a line commencing at the point (hereafter in this description referred to as “the first-mentioned point”) where the River Liffey is intersected by O'Connell Bridge, then continuing, initially in a southerly direction along O'Connell Bridge, Westmoreland Street, College Green, Dame Street, Cork Hill and Lord Edward Street to the point where it joins Fishamble Street, then continuing in a northerly direction along Fishamble Street and the northerly projection thereof to the point where it intersects the River Liffey, then continuing in an easterly direction along the River Liffey to the first-mentioned point.

THIRD SCHEDULE Rates of Excise Duty on Tobacco Products

PART I Charged, levied and paid as on and from the 31st day of January, 1991

Description of Product	Rate of Duty
Cigarettes	£42.52 per thousand together with an amount equal to 15.08 per cent. of the price at which the cigarettes are sold by retail
Cigars	£64.740 per kilogram
Sweetened pipe tobacco	£65.422 per kilogram
Hard pressed tobacco	£41.837 per kilogram
Other pipe tobacco	£52.590 per kilogram
Other smoking or chewing tobacco	£54.631 per kilogram

PART II Charged, levied and paid as on and from the 1st day of March, 1991

Description of Product	Rate of Duty
Cigarettes	£42.52 per thousand together with an amount equal to 16.43 per cent. of the price at which the cigarettes are sold by retail
Cigars	£66.290 per kilogram
Sweetened pipe tobacco	£66.989 per kilogram
Hard pressed tobacco	£42.839 per kilogram
Other pipe tobacco	£53.849 per kilogram
Other smoking or chewing tobacco	£55.939 per kilogram

FOURTH SCHEDULE Enactments Repealed

Session and Chapter or Number and Year	Short Title	Extent of Repeal
(1)	(2)	(3)
7 & 8 Geo. 4, c. 53.	Excise Management Act, 1827	Sections 86, 87, 88, 89, 90, 91 and 92.
14 & 15 Vict., c. 93.	Petty Sessions (Ireland) Act, 1851	Section 42.
No. 48 of 1936	Courts of Justice Act, 1936	Section 76.
No. 26 of 1986	Courts (No. 2) Act, 1986	Subsection (3) of section 2.

FIFTH SCHEDULE Stamp Duty on Instruments

PART I Bonds, Covenants, etc.

“BOND, COVENANT, or INSTRUMENT of any kind whatsoever.
(1) Being the only or principal or primary security for any annuity (except upon the original creation thereof by way of sale or security, and except a superannuation annuity), or for any sum or sums of money at stated periods, not being interest for any principal sum secured by a duly stamped instrument, nor rent reserved by a lease.
For a definite and certain period, so that the total amount to be ultimately payable can be ascertained—
where the total amount does not exceed £20,000	Exempt
where the total amount exceeds £20,000:
for every £1,000, or fractional part of £1,000, of the amount secured	£1.00
Provided that the duty so charged shall not exceed £500.
For the term of life or any other indefinite period:
for every £100, or fractional part of £100, of the annuity or sum periodically payable	£2.50
Provided that the duty so charged shall not exceed £500.
(2) Being a collateral or auxiliary or additional or substituted security for any of the above-mentioned purposes where the principal or primary instrument is duly stamped.
Where the amount secured does not exceed £20,000	Exempt
Where the total amount to be ultimately payable can be ascertained and exceeds £20,000	£10.00
In any other case:
for every £100, or fractional part of £100, of the annuity or sum periodically payable	50p
Provided that the duty so charged shall not exceed £500.
(3) Being a grant or contract for payment of a superannuation annuity, that is to say, a deferred life annuity granted or secured to any person in consideration of annual premiums payable until he attains a specified age and so as to commence on his attaining that age.
For every £100, or fractional part of £100, of the annuity	50p
Provided that the duty so charged shall not exceed £500.	”.	”.

PART II Leases

“LEASE
(1) For any indefinite term or any term not exceeding 35 years:
of any dwelling house, part of a dwelling house, or apartment at a rent not exceeding £6,000 per annum	Exempt
(2) For any definite term less than a year of any lands, tenements or heritable subjects	The same duty as a lease for a year at the rent reserved for the definite term
(3) For any other definite term or for any indefinite term of any lands, tenements, or heritable subjects—
(a) where the consideration, or any part of the consideration (other than rent), moving either to the lessor or to any other person, consists of any money, stock or security, and—
(i) the amount or value of such consideration does not exceed £5,000 and the lease contains a statement certifying that the transaction thereby effected does not form part of a larger transaction or of a series of transactions, in respect of which the amount or value, or the aggregate amount or value, of the consideration other than rent exceeds£5,000	Exempt
(ii) the amount or value of such consideration exceeds £5,000 but does not exceed £10,000 and the lease contains a statement certifying that the transaction thereby effected does not form part of a larger transaction or of a series of transactions in respect of which the amount or value, or the aggregate amount or value, of the consideration other than rent exceeds £10,000:
for every £100, or fractional part of £100, of the consideration	£1.00
(iii) the amount or value of such consideration exceeds £10,000 but does not exceed £15,000 and the lease contains a statement certifying that the transaction thereby effected does not form part of a larger transaction or of a series of transactions in respect of which the amount or value, or the aggregate amount or value, of the consideration other than rent exceeds £15,000:
for every £100, or fractional part of £100, of the consideration	£2.00
(iv) the amount or value of such consideration exceeds £15,000 but does not exceed £25,000 and the lease contains a statement certifying that the transaction thereby effected does not form part of a larger transaction or of a series of transactions in respect of which the amount or value, or the aggregate amount or value, of the consideration other than rent exceeds £25,000:
for every £100, or fractional part of £100, of the consideration	£3.00
(v) the amount or value of such consideration exceeds £25,000 but does not exceed £50,000 and the lease contains a statement certifying that the transaction thereby effected does not form part of a larger transaction or of a series of transactions in respect of which the amount or value, or the aggregate amount or value, of the consideration other than rent exceeds £50,000:
for every £100, or fractional part of £100, of the consideration	£4.00
(vi) the amount or value of such consideration exceeds £50,000 but does not exceed £60,000 and the lease contains a statement certifying that the transaction thereby effected does not form part of a larger transaction or of a series of transactions in respect of which the amount or value, or the aggregate amount or value, of the consideration other than rent exceeds £60,000:
for every £100, or fractional part of £100, of the consideration	£5.00
(vii) the case is of any other kind whatsoever not hereinbefore described:
for every £100, or fractional part of £100, of the consideration	£6.00
(b) where the consideration or any part of the consideration is any rent, in respect of such consideration, whether reserved as a yearly rent or otherwise:
(i) if the term does not exceed 35 years or is indefinite:
for every £100, or fractional part of £100, of the average annual rent	£1.00
(ii) if the term exceeds 35 years but does not exceed 100 years:
for every £100, or fractional part of £100, of the average annual rent	£6.00
(iii) if the term exceeds 100 years:
for every £100, or fractional part of £100, of the average annual rent	£12.00
(4) Lease made subsequently to, and in conformity with, an agreement duly stamped under the provisions of section 75 of the Stamp Act, 1891	£1.00
(5) Of any other kind whatsoever not hereinbefore described	£1.00
	”.

PART III Mortgages, Bonds, Debentures and certain Covenants and Warrants of Attorney

“MORTGAGE, BOND, DEBENTURE, COVENANT (except a marketable security) and WARRANT OF ATTORNEY to confess and enter up judgment.
(1) Being the only or principal or primary security (other than an equitable mortgage) for the payment or repayment of money:
where the amount secured does not exceed £20,000	Exempt
where the amount secured exceeds £20,000:
for every £1,000, or fractional part of £1,000, of the amount secured	£1.00
Provided that the duty so charged shall not exceed £500.
(2) Being a collateral, or auxiliary, or additional, or substituted security (other than an equitable mortgage), or by way of further assurance for the above-mentioned purpose where the principal or primary security is duly stamped:
where the amount secured does not exceed £20,000	Exempt
where the amount secured exceeds £20,000	£10.00
(3) Being an equitable mortgage:
where the amount secured does not exceed £20,000	Exempt
where the amount secured exceeds £20,000:
for every £1,000, or fractional part of £1,000, of the amount secured	50p
Provided that the duty so charged shall not exceed £500.
(4) TRANSFER, ASSIGNMENT or DISPOSITION of any mortgage, bond, debenture, or covenant (except a marketable security) or of any money or stock secured by any such instrument, or by any warrant of attorney to enter up judgment, or by any judgment:
where the amount secured does not exceed £20,000	Exempt
where the amount secured exceeds £20,000:
for every £1,000, or fractional part of £1,000, of the amount transferred, assigned, or disposed, exclusive of interest which is not in arrear	50p
Provided that the duty so charged shall not exceed £500;
where any further money is added to the money already secured	The same duty as a principal security for such further money.
	”.

Footnotes