FINANCE ACT, 2000

“1. In this Schedule—

‘group threshold’, in relation to a taxable gift or a taxable inheritance taken on a particular day, means—

• (a) £300,000, where—

  • (i) the donee or successor is on that day the child, or minor child of a deceased child, of the disponer, or

  • (ii) the successor is on that day a parent of the disponer and—

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

    • (II) the inheritance is taken on the death of the disponer;

• (b) £30,000, where the donee or successor is on that day, a lineal ancestor, a lineal descendant (other than a child, or a minor child of a deceased child), a brother, a sister, or a child of a brother or of a sister of the disponer;

• (c) £15,000, where the donee or successor (who is not a spouse of the disponer) does not, on that day, stand to the disponer in a relationship referred to in subparagraph (a) or (b);

‘the consumer price index number’, in relation to a year, means the All Items Consumer Price Index Number for that year as compiled by the Central Statistics Office and expressed on the basis that the consumer price index number at mid-November 1996 is 100;

‘Table’ means the Table contained in Part II of this Schedule;

‘threshold amount’ in relation to the computation of tax on any aggregate of taxable values under paragraph 3, means the group threshold that applies in relation to all of the taxable gifts and taxable inheritances included in that aggregate but, in computing under this Schedule the tax chargeable on a taxable gift or taxable inheritance taken after 31 December 2000, that group threshold shall, for the purposes of this definition, be multiplied by the figure, rounded to the nearest third decimal place, determined by dividing by 104.8 the consumer price index number for the year immediately preceding the year in which that taxable gift or taxable inheritance is taken.

1. In the Table ‘Value’ means the appropriate aggregate referred to in paragraph 3.

2. The tax chargeable on the taxable value of a taxable gift or a taxable inheritance (hereafter in this Schedule referred to as the first-mentioned gift or inheritance) taken by a donee or successor shall be of an amount equal to the amount by which the tax computed on aggregate A exceeds the tax computed on aggregate B, where—

3. (a) aggregate A is the aggregate of the following:

   • (i) the taxable value of the first-mentioned gift or inheritance, and

   • (ii) the taxable value of each and every taxable gift and taxable inheritance taken previously by the said donee or successor on or after 2 December 1988, which has the same group threshold as the first-mentioned gift or inheritance,

4. (b) aggregate B is the aggregate of the taxable values of all such taxable gifts and taxable inheritances so previously taken which have the same group threshold as the first-mentioned gift or inheritance, and

5. (c) the tax on an aggregate is computed at the rate or rates of tax applicable under the Table to that aggregate:

Provided that—

- (i) in a case where no such taxable gift or taxable inheritance was so previously taken, the amount of the tax computed on aggregate B shall be deemed to be nil, and

- (ii) the amount of an aggregate that comprises only a single taxable value shall be equal to that value.

  4. In the Table any rate of tax shown in the second column is that applicable to such portion of the value (within the meaning of paragraph 2) as is shown in the first column.

  5. For the purposes of this Schedule, all gifts and inheritances which have the same group threshold and which are taken by a donee or successor on the same day shall count as one, and to ascertain the amount of tax payable on one such gift or inheritance of several so taken on the same day, the amount of tax computed under this Schedule as being payable on the total of such gifts and inheritances so taken on that day shall be apportioned rateably, according to the taxable values of the several taxable gifts and taxable inheritances so taken on that day.”,

• (b) 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 balance	20

”.

• (2) This section shall have effect in relation to gifts or inheritances taken on or after 1 December 1999.

146 Amendment of section 39 (extension of section 55 (exemption of certain objects) of Capital Acquisitions Tax Act, 1976) of Finance Act, 1978.

146.—(1) As respects the year 2001 and subsequent years, section 39 of the Finance Act, 1978, is amended in subsection (1A)(b) by the insertion in subparagraph (i) after “September” of “of which not less than 10 of the days during that period shall fall on a Saturday or a Sunday or both”.

• (2) This section shall apply to gifts and inheritances taken on or after 10 February 2000.

147 Amendment of section 109 (interpretation) of Finance Act, 1993.

147.—(1) Section 109 of the Finance Act, 1993, is amended—

• (a) by the substitution in the definition of “the consumer price index number” of “mid-November 1996” for “mid-November, 1989”, and

• (b) by the substitution of the following definition for the definition of “relevant threshold”:

“‘relevant threshold’ means—

• (a) £40,000, where the death of the deceased occurred on or before 31 December 2000, and

• (b) in any other case, £40,000 multiplied by the figure, rounded up to the nearest third decimal place, determined by dividing by 104.8 the consumer price index number for the year immediately preceding the year in which the death of the deceased occurred;”.

• (2) This section shall apply and have effect in relation to persons dying on or after 1 December 1999.

148 Amendment of Chapter 1 (business relief) of Part VI of Finance Act, 1994.

148.—(1) Part VI of the Finance Act, 1994, is amended in Chapter 1—

• (a) in section 134, by the substitution of the following subsections for subsections (1) and (2):

• “(1) In determining for the purposes of this Chapter what part of the taxable value of a gift or inheritance is attributable to the value of relevant business property so much of the last-mentioned value as is attributable to—

  • (a) any excepted assets within the meaning of subsection (2), or

  • (b) any excluded property within the meaning of subsection (7),

  shall be left out of account.

• (2) An asset shall be an excepted asset in relation to any relevant business property if it was not used wholly or mainly for the purposes of the business concerned throughout the whole or the last two years of the relevant period, but where the business concerned is carried on by a company which is a member of a group, the use of an asset for the purposes of a business carried on by another company which at the time of the use and immediately prior to the gift or inheritance was also a member of that group shall be treated as use for the purposes of the business concerned, unless that other company's membership of the group falls to be disregarded under section 133:

Provided that the use of an asset for the purposes of a business to which section 127(4) relates shall not be treated as use for the purposes of the business concerned.”,

• (b) in section 135—

• (i) by the substitution of the following subsection for subsection (1):

• “(1) In this section ‘relevant period’, in relation to relevant business property comprised in a gift or inheritance, means the period of 6 years commencing on the date of the gift or inheritance.”,

and

• (ii) by the substitution of the following paragraph for paragraphs (ii) and (iii) of the proviso (inserted by the Finance Act, 1996) to subsection (2):

• “(ii) this section shall not have effect where the donee or successor dies before the event which would otherwise cause the reduction to cease to be applicable.”,

and

• (c) by the insertion of the following section after section 135:

“Avoidance of double relief.	135A.—Where the whole or part of the taxable value of any taxable gift or taxable inheritance is attributable to agricultural property to which subsection (2) of section 19 of the Principal Act applies, such whole or part of the taxable value shall not be reduced under this Chapter.”.

• (2) Paragraphs (a) and (c) of subsection (1) shall have effect in relation to gifts or inheritances taken on or after 10 February 2000 and paragraph (b) of subsection (1) shall have effect where the event which causes the reduction to cease to be applicable occurs on or after 10 February 2000.

149 Amendment of section 142 (exemption of certain transfers from capital acquisitions tax following the dissolution of a marriage) of Finance Act, 1997.

149.—(1) Section 142 of the Finance Act, 1997, is amended in subsection (2):

• (a) by the deletion of “and” in paragraph (c),

• (b) by the substitution in paragraph (d) of “1996, and” for “1996.”, and

• (c) by the insertion of the following paragraph after paragraph (d):

• “(e) to an order or other determination to like effect, which is analogous to an order referred to in paragraph (a), (b), (c) or (d), of a court under the law of another territory made under or in consequence of the dissolution of a marriage, being a dissolution that is entitled to be recognised as valid in the State.”.

• (2) This section shall apply to an order or other determination to like effect where the order or the determination is made on or after 10 February 2000.

150 Amendment of section 143 (abatement and postponement of probate tax on certain property) of Finance Act, 1997.

150.—(1) Section 143 of the Finance Act, 1997, is amended in subsection (1):

• (a) by the deletion in subparagraph (i) of paragraph (a) of “or”,

• (b) by the substitution in subparagraph (ii) of paragraph (a) of “1996, or” for “1996,”, and

• (c) by the insertion of the following subparagraph after subparagraph (ii):

• “(iii) to an order or other determination to like effect, which is analogous to an order referred to in subparagraph (i) or (ii), of a court under the law of another territory made under or in consequence of the dissolution of a marriage, being a dissolution that is entitled to be recognised as valid in the State,”.

• (2) This section shall apply to an order or other determination to like effect where the order or the determination is made on or after 10 February 2000.

151 Exemption relating to certain dwellings.

151.—(1) The Principal Act is amended by the insertion of the following section after section 59B:

“59C.—(1) In this section—

‘dwelling-house’ means—

• (a) a building or part (including an appropriate part within the meaning of subsection (5) of section 5) of a building which was used or was suitable for use as a dwelling, and

• (b) the curtilage of the dwelling-house up to an area (exclusive of the site of the dwelling-house) of one acre but if the area of the curtilage (exclusive of the site of the dwelling-house) exceeds one acre then the part which comes within this definition is the part which, if the remainder were separately occupied, would be the most suitable for occupation and enjoyment with the dwelling-house;

‘relevant period’, in relation to a dwelling-house comprised in a gift or inheritance, means the period of 6 years commencing on the date of the gift or the date of the inheritance.

• (2) Subject to subsections (3), (4), (5) and (6), a dwelling-house comprised in a gift or inheritance which is taken by a donee or successor who—

  • (a) has continuously occupied as his or her only or main residence—

    • (i) that dwelling-house throughout the period of 3 years immediately preceding the date of the gift or the date of the inheritance, or

    • (ii) where that dwelling-house has directly or indirectly replaced other property, that dwelling-house and that other property for periods which together comprised at least 3 years falling within the period of 4 years immediately preceding the date of the gift or the date of the inheritance,

  • (b) is not, at the date of the gift or at the date of the inheritance, beneficially entitled to any other dwelling-house or to any interest in any other dwelling-house, and

  • (c) continues to occupy that dwelling-house as his or her only or main residence throughout the relevant period,

  shall be exempt from tax in relation to that gift or inheritance, and the value thereof shall not be taken into account in computing tax on any gift or inheritance taken by that person unless the exemption ceases to apply under subsection (5) or (6).

• (3) The condition in paragraph (c) of subsection (2) shall not apply where the donee or successor has attained the age of 55 years at the date of the gift or at the date of the inheritance.

• (4) For the purpose of paragraph (c) of subsection (2), the donee or successor shall be deemed to occupy the dwelling-house concerned as his or her only or main residence throughout any period of absence during which he or she worked in an employment or office all the duties of which were performed outside the State.

• (5) If a dwelling-house exempted from tax by virtue of subsection (2) is sold or disposed of, either in whole or in part, within the relevant period, and before the death of the donee or successor (not being a donee or successor who had attained the age of 55 years at the date of the gift or inheritance), the exemption referred to in that subsection shall cease to apply to such dwelling-house unless the sale or disposal occurs in consequence of the donee or successor requiring long-term medical care in a hospital, nursing home or convalescent home.

• (6) The exemption referred to in subsection (2) shall cease to apply to a dwelling-house, if at any time during the relevant period and—

  • (a) before the dwelling-house is sold or disposed of, and

  • (b) before the death of the donee or successor,

  the condition specified in paragraph (c) of subsection (2) has not been complied with unless that non-compliance occurs in consequence of the donee or successor requiring long-term medical care in a hospital, nursing home or convalescent home, or in consequence of any condition imposed by the employer of the donee or successor requiring the donee or successor to reside elsewhere.

• (7) Where a dwelling-house exempted from tax by virtue of subsection (2) (hereafter in this section referred to as the ‘first-mentioned dwelling-house’) is replaced within the relevant period by another dwelling-house, the condition specified in paragraph (c) of subsection (2) shall be treated as satisfied if the

donee or successor has occupied as his or her only or main residence the first-mentioned dwelling-house, that other dwelling-house and any dwelling-house which has within the relevant period directly or indirectly replaced that other dwelling-house for periods which together comprised at least 6 years falling within the period of 7 years commencing on the date of the gift or the date of the inheritance.

• (8) Any period of absence which would satisfy the condition specified in paragraph (c) of subsection (2) in relation to the first-mentioned dwelling-house shall, if it occurs in relation to any dwelling-house which has directly or indirectly replaced that dwelling-house, likewise satisfy the said condition as it has effect by virtue of subsection (7).

• (9) Subsection (5) shall not apply to a case falling within subsection (7), but the extent of the exemption under this section in such a case shall, where the donee or successor had not attained the age of 55 years at the date of the gift or at the date of the inheritance, not exceed what it would have been had the replacement of one dwelling-house by another referred to in subsection (7), or any one or more of such replacements, taken place immediately prior to that date.”.

• (2) This section shall have effect in relation to gifts or inheritances taken on or after 1 December 1999.

152 Amendment of section 58 (exemption of certain receipts) of Principal Act.

152.—(1) Section 58 of the Principal Act is amended by the insertion after subsection (3) of the following subsection:

• “(4) The receipt by a minor child of the disponer of money or money's worth for support, maintenance or education, at a time when the disponer and the other parent of that minor child are dead, shall not be a gift or an inheritance where the provision of such support, maintenance or education—

  • (a) is such as would be part of the normal expenditure of a person in the circumstances of the disponer immediately prior to the death of the disponer; and

  • (b) is reasonable having regard to the financial circumstances of the disponer immediately prior to the death of the disponer.”.

• (2) This section shall have effect in relation to gifts or inheritances taken on or after the date of the passing of this Act.

153 Repeals etc.

153.—(1) Section 128 of the Finance Act, 1990, and sections 116 and 117 of the Finance Act, 1991, are repealed.

• (2) This section shall have effect in relation to gifts or inheritances taken on or after 1 December 1999.

PART 7 Miscellaneous

154 Interpretation (Part7).

154.—In this Part “Principal Act” means the Taxes Consolidation Act, 1997.

155 Capital Services Redemption Account.

155.—(1) In this section—

“1999 amending section” means section 215 of the Finance Act, 1999;

“capital services” has the same meaning as it has in the principal section;

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

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

• (2) In relation to the twenty-nine successive financial years commencing with the financial year ending on 31 December 2000, subsection (4) of the 1999 amending section shall have effect with the substitution of “£155,132,708” for “£142,789,461”.

• (3) Subsection (6) of the 1999 amending section shall have effect with the substitution of “£117,443,787” for “£109,751,200”.

• (4) A sum of £198,742,933 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 31 December 2000.

• (5) The fiftieth additional annuity shall be paid into the Capital Services Redemption Account in such manner and at such times in the relevant financial year as the Minister for Finance may determine.

• (6) Any amount of the fiftieth additional annuity, not exceeding £152,758,300 in any financial year, may be applied towards defraying the interest on the public debt.

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

156 Amendment of section 138 (holding and investment of moneys of Post Office Saving Bank Fund, etc.) of Finance Act, 1993.

156.—Section 138(1) (b) of the Finance Act, 1993, is hereby amended by the substitution of the following subparagraph for subparagraph (iv):

• “(iv) any financial futures or options traded on an exchange which is a regulated market that has been notified to the Commission of the European Communities by a Member State of those Communities under Article 16 of Council Directive 93/22/EEC of 10 May 1993,”.

157 Deposit accounts for Exchequer moneys.

157.—(1) In this section “Minister” means the Minister for Finance.

• (2) The Minister may, whenever he or she considers it appropriate, establish deposit accounts denominated in the currency of the State under such terms and conditions as he or she deems fit.

• (3) The Minister may, from time to time, pay moneys out of the Exchequer accounts at the Central Bank of Ireland into the accounts established under subsection (2).

• (4) The Minister shall, from time to time, make disbursements out of amounts credited to accounts established under subsection (2) into and only into the Exchequer accounts at the Central Bank of Ireland.

• (5) Where the functions of the Minister under this section stand duly delegated to the National Treasury Management Agency under section 5 of the National Treasury Management Agency Act, 1990, any balance in accounts established under subsection (2) shall be consolidated with the balances in the Exchequer accounts for the purpose of the accounts prepared under section 12 of that Act, at the close of the financial year of the Agency.

• (6) The First Schedule to the National Treasury Management Agency Act, 1990, is hereby amended by the addition of the following paragraph:

• “(p) subsections (2) to (4) of section 157 of the Finance Act, 2000.”.

158 Amendment of section 63 of Central Bank Act, 1997.

158.—Section 63 of the Central Bank Act. 1997, is amended by the substitution of the following subsection for subsection (1):

• “(1) Notwithstanding anything to the contrary contained in any enactment, or in any prospectus or other document relating to the terms of issue, holding or transfer of any securities or other instruments the issue or the transfer of such securities or other instruments may be made and shall be effective if instructions for the issue or transfer are communicated by electronic means and any issue or transfer of securities shall be deemed to be effective if recorded in a computerised system selected by the Bank following consultation with the National Treasury Management Agency, without the need for instructions in writing.”.

159 Payment to Temporary Holding Fund for Superannuation Liabilities.

159.—The Temporary Holding Fund for Superannuation Liabilities Act, 1999, is amended in section 1 by the insertion of the following after subsection (3):

• “(3A) The Minister shall pay into the Fund, in the financial year 2000, out of the Central Fund or the growing produce thereof, a sum not exceeding £1,850,000,000.”.

160 Amendment of section 824 (appeals) of Principal Act.

160.—Section 824 of the Principal Act is amended in subsection(1) by the substitution of “Part” for “Chapter”.

161 Amendment of section 1003 (payment of tax by means of donation of heritage items) of Principal Act.

161.—As respects each year (being the calendar year 2000 and subsequent calendar years) section 1003 of the Principal Act is amended in subsection (2)(c) by the substitution in subparagraph (ii) of “£3,000,000” for “£750,000”, and that subparagraph, as so amended, is set out in the Table to this section.

TABLE

• (ii) exceeds an amount (which shall not be less than £75,000) determined by the formula—

£3,000,000 — M

where M is an amount (which may be nil) equal to the market value of the heritage item (if any) or the aggregate of the market values at the respective valuation dates of all the heritage items (if any), as the case may be, in respect of which a determination or determinations, as the case may be, under this subsection has been made by the selection committee in any one calendar year and not revoked in that year.

162 Amendment of section 1086 (publication of names of tax defaulters) of Principal Act.

162.—(1) Section 1086 of the Principal Act is amended—

• (a) in subsection (2)—

• (i) by the substitution in paragraph (b) of “tax,” for “tax, or” and the substitution in paragraph (c) (iii) of “tax, or” for “tax.”, and

• (ii) by the insertion after paragraph (c) of the following:

• “(d) in whose case the Revenue Commissioners, having initiated proceedings for the recovery of any fine or penalty of the kind mentioned in paragraphs (a) and (b), and whether or not a fine or penalty of the kind mentioned in those paragraphs has been imposed by a court, accepted or undertook to accept, in that relevant period, a specified sum of money in settlement of any claim by the Revenue Commissioners in respect of any specified liability of the person under any of the Acts for—

• (i) payment of any tax,

• (ii) payment of interest on that tax, and

• (iii) a fine or other monetary penalty in respect of that tax.”,

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

• “(2A) For the purposes of subsection (2), the reference to a specified sum in paragraphs (c) and (d) of that subsection includes a reference to a sum which is the full amount of the claim by the Revenue Commissioners in respect of the specified liability referred to in those paragraphs.”,

• (c) in subsection (4)—

• (i) by the substitution of “Paragraphs (c) and (d)” for “Paragraph (c)”, and

• (ii) by the substitution, in paragraph (c) of “paragraph (c) or (d), as the case may be,” for “paragraph (c)”,

and

• (d) by the insertion after subsection (5) of the following:

• “(5A) Without prejudice to the generality of paragraph (a) of subsection (5), such particulars as are referred to in that paragraph may include—

  • (a) in a case to which paragraph (a) or (b) of subsection (2) applies, a description, in such summary form as the Revenue Commissioners may think fit, of the act, omission or offence (which may also include the circumstances in which the act or omission arose or the offence was committed) in respect of which the fine or penalty referred to in those paragraphs was imposed, and

  • (b) in a case to which paragraph (c) or (d) of subsection (2) applies, a description, in such summary form as the Revenue Commissioners may think fit, of the matter occasioning the specified liability (which may also include the circumstances in which that liability arose) in respect of which the Revenue Commissioners accepted, or undertook to accept, a settlement, in accordance with those paragraphs.”

• (2) This section shall apply—

• (a) as respects fines or other penalties, as are referred to in paragraphs (a) and (b) of section 1086(2), which are imposed by a court, and

• (b) as respects specified sums, as are referred to in paragraphs (c) and (d) of section 1086(2), which the Revenue Commissioners accepted, or undertook to accept, in settlement of a specified liability,

on or after the passing of this Act.

163 Amendment of section 1094 (tax clearance in relation to certain licences) of Principal Act.

163.—Section 1094 of the Principal Act is amended in subsection (1), in the definition of “licence” by the addition of the following paragraph after paragraph (j):

• “(k) subsection (2A) (inserted by section 106 of the Finance Act, 2000) of section 62 of the National Cultural Institutions Act, 1997;”.

164 Amendment of Capter 5 (miscellaneous provisions) of Part 42 (collection and recovery) of Principal Act.

164.—Part 42 of the Principal Act is amended in Chapter 5 by the insertion after section 1006 of the following:

“Offset between taxes.	1006A.—(1) In this section—
	‘Acts’ means—
	(a) the Tax Acts,
	(b) the Capital Gains Tax Acts,
	(c) the Value-Added Tax Act, 1972, and the enactments amending or extending that Act,
	(d) the statutes relating to the duties of excise and to the management of those duties,
	(e) the Capital Acquisitions Tax Act, 1976, and the enactments amending or extending that Act,
	(f) the Stamp Duties Consolidation Act, 1999,
	(g) Part VI of the Finance Act, 1983, and the enactments amending or extending that Part,
	(h) Chapter IV of Part II of the Finance Act, 1992,
	and any instrument made thereunder;
	‘claim’ means a claim that gives rise to a repayment of tax under any of the Acts and includes part of such a claim;
	‘liability’ means any tax, duty, levy or other charge due or estimated to be due under the Acts for a taxable period, income tax month, income tax year, chargeable period or chargeable event, as appropriate;
	‘overpayment’ means a payment or remittance under the Acts (including part of such a payment or remittance) which is in excess of the amount of the liability against which it is credited.
	(2) Notwithstanding any other provision of the Acts, where the Revenue Commissioners are satisfied that a person has not complied with all the obligations imposed on the person by the Acts, in relation to—
	(a) the payment of a liability required to be paid, and
	(b) the delivery of returns required to be made,
	they may instead of making a repayment to the person in respect of any claim or overpayment made by the person set the amount of the claim or overpayment against any liability due under the Acts.
	(3) The Revenue Commissioners shall make regulations for the purpose of giving effect to this section and, without prejudice to the generality of the foregoing, such regulations shall provide for the order of priority of liabilities due under the Acts against which any claim or overpayment is to be set in accordance with subsection (2).
	(4) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.
Appropriation of payments.	1006B.—(1) In this section—
	‘Acts’ means—
	(a) the Tax Acts.
	(b) the Capital Gains Tax Acts,
	(c) the Value-Added Tax Act, 1972, and the enactments amending or extending that Act,
	and any instruments made thereunder;
	‘payment’ means a payment or a remittance of a liability under the Acts and includes part of such a payment or remittance;
	‘liability’ means any tax or charge due under the Acts for a taxable period, income tax month, income tax year or chargeable period, as appropriate.
	(2) Notwithstanding any other provision of the Acts, where a payment is received by the Revenue Commissioners from a person and it cannot reasonably be determined by the Revenue Commissioners from the instructions, if any, which accompanied the payment which liabilities the person wishes the payment to be set against, the Revenue Commissioners may set the payment against any liability due by the person under the Acts.
	(3) The Revenue Commissioners shall make regulations for the purpose of giving effect to this section and, without prejudice to the generality of the foregoing, such regulations shall provide for the order of priority of liabilities due under the Acts against which a payment is to be set in accordance with subsection (2).
	(4) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.”.

165 Care and management of taxes and duties

165.— All taxes and duties imposed by this Act are by virtue of this section placed under the care and management of the Revenue Commissioners.

166 Short title, construction and commencement.

166.—(1) This Act may be cited as the Finance Act, 2000.

• (2) Part 1 (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 2 (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 3 shall be construed together with the Value-Added Tax Acts, 1972 to 1999, and may be cited together with those Acts as the Value-Added Tax Acts, 1972 to 2000.

• (5) Part 4 shall be construed together with the Stamp Duties Consolidation Act, 1999.

• (6) Part 5 shall be construed together with Part VI of the Finance Act, 1983, and the enactments amending or extending that Part.

• (7) Part 6 (so far as relating to capital acquisitions tax) shall be construed together with the Capital Acquisitions Tax Act, 1976, and the enactments amending or extending that Act.

• (8) Part 7 (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 and (so far as relating to customs) shall be construed with the Customs Acts and (so far as relating to duties of excise) shall be construed together with the statutes which relate to duties of excise and the management of those duties and (so far as relating to value-added tax) shall be construed together with the Value-Added Tax Acts, 1972 to 2000, and (so far as relating to stamp duty) shall be construed together with the Stamp Duties Consolidation Act, 1999, and (so far as relating to residential property tax) shall be construed together with Part VI of the Finance Act, 1983, and the enactments amending or extending that Part and (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.

• (9) Except where otherwise expressly provided in Part 1, that Part shall apply as on and from 6 April 2000.

• (10) In relation to Part 3:

• (a) sections 107 and 121 and paragraphs (a) and (b) of section 123 shall be deemed to have come into force and shall take effect as on and from the 1 July 1999;

• (b) sections 111 and 113 shall be deemed to have come into force and shall take effect as on and from the 1 March 2000;

• (c) the provisions of this Part, other than those specified in paragraphs (a) and (b), shall have effect as on and from the date of passing of this Act.

• (11) 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.

• (12) 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.

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

SCHEDULE 1 Amendments Consequential on the Introduction of Standard Rated Allowances

The Taxes Consolidation Act, 1997, is amended in accordance with the following provisions of this Schedule.

• (a) in subsection (1), in the definition of “dependant” by the substitution—

• (i) in paragraph (a), of “relief under section 461(2) as an individual referred to in paragraph (a)(i) of the definition of ‘specified amount’ in subsection (1) of that section” for “a deduction mentioned in section 461(a)”, and

• (ii) in paragraph (b), of “relief” for “a deduction”,

and

• (b) by the substitution of the following subsection for subsection (4):

• “(4) Subsections (5) to (7) of section 465 shall, with any necessary modifications, apply for the purposes of determining whether relief is to be granted under this section as they apply in determining whether relief is to be allowed under that section; but, where the child’s income exceeds the amount specified in subsection (6) of that section, relief under this section shall not be allowed.”.

• (a) in subsection (1), of “461A,” before “462”, and

• (b) in subsection (2)(a), of “and reliefs” after “total income”.

• (a) in subparagraph (ii), of “subsection (4)” for “subsection (3)”,

• (b) in subparagraph (iii), of “section 465(4)” for “section 465(3)”, and

• (c) of the following subparagraph for subparagraph (viii):

• “(viii) relief under sections 472, 472A and 472B, to the husband or to the wife according as the emoluments from which relief under those sections is granted are emoluments of the husband or of the wife;”.

SCHEDULE 2 Amendments and Repeals Consequential on Abolition of Tax Credits

PART 1 Amendments

The Taxes Consolidation Act, 1997, is amended—

• (a) in section 2, by the insertion of the following after subsection (3):

• “(3A) In the Tax Acts, a reference to a tax credit, in relation to a distribution, shall be construed as a reference to a tax credit as computed in accordance with those Acts as they applied at the time of the making of the distribution.”,

• (b) in section 137(5), by the substitution for “subsections (2) to (4)” of “subsections (2) and (3)”,

• (c) in section 140, by the substitution of the following for subsection (8):

• “(8) Where a period of account for or in respect of which a company makes a distribution is not an accounting period and part of the period of account is within an accounting period, the proportion of the distribution to be treated for the purposes of this section as being for or in respect of the accounting period shall be the same proportion as that part of the period of account bears to the whole of that period.

• (9) Where a company makes a distribution which is not expressed to be for or in respect of a specified period, the distribution shall be treated for the purposes of this section as having been made for the accounting period in which it is made.”,

• (d) in section 141(10), by the substitution for “Subsections (6) and (7) of section 145” of “Subsections (8) and (9) of section 140”,

• (e) in section 142(6), by the substitution for “subsections (6) and (7) of section 145” of “subsections (8) and (9) of section 140”,

• (f) in section 143—

• (i) by the substitution in subsection (1)(c) for “the tax credit comprised in which has been reduced under this section” of “which consists of a distribution made out of relieved income”, and

• (ii) by the substitution in subsection (10) for “subsections (6) and (7) of section 145” of “subsections (8) and (9) of section 140”,

• (g) in section 144—

• (i) by the substitution in subsection (8) for “where R, S and T have the same meanings respectively as in section 147(1)(a)” of the following:

“where—

R is the amount of income of the company charged to corporation tax for the accounting period with the addition of any amount of income of the company which would be charged to corporation tax for the accounting period but for section 231, 232, 233 or 234, or section 71 of the Corporation Tax Act, 1976; and, for the purposes of this definition—

• (a) the income of a company for an accounting period shall be taken to be the amount of its profits for that period on which corporation tax falls finally to be borne exclusive of the part of the profits attributable to chargeable gains, and

• (b) the part referred to in paragraph (a) shall be taken to be the amount brought into the company’s profits for that period for the purposes of corporation tax in respect of chargeable gains before any deduction for charges on income, expenses of management or other amounts which can be deducted from or set against or treated as reducing profits of more than one description,

S is the amount of the corporation tax which, before any set-off of or credit for tax, including foreign tax, and after any relief under section 448 or paragraph 16 or 18 of Schedule 32, or section 58 of the Corporation Tax Act, 1976, is chargeable for the accounting period, exclusive of the corporation tax, before any credit for foreign tax, chargeable on the part of the company’s profits attributable to chargeable gains for that period; and that part shall be taken to be the amount brought into the company’s profits for that period for the purposes of corporation tax in respect of chargeable gains before any deduction for charges on income, expenses of management or other amounts which can be deducted from or set against or treated as reducing profits of more than one description, and

T is the amount of the distributions received by the company in the accounting period which is included in its franked investment income of the accounting period, other than franked investment income against which relief is given under section 83(5), 157 or 158, and which relief was not subsequently withdrawn under those sections, with the addition of any amount received by the company in the accounting period to which section 140(3)(a), 141(3)(a), 142(4) or 144(3)(a) applies”,

and

• (ii) by the substitution in subsection (9) for “Subsections (6) and (7) of section 145” of “Subsections (8) and (9) of section 140”,

• (h) in section 152(1)(a), by the insertion of “and” after “interest paid,”,

• (i) in section 154—

• (i) in subsection (1)—

• (I) by the substitution in paragraph (a) of “144 and 145” for “144, 145 and 147(2)” and of “144 and 145” for “144, 145 and 147”, and

• (II) by the deletion in paragraph (b) of “, and subsections (1), (2) and (4) of subsection 147,”,

and

• (ii) by the substitution of the following for subsection (6):

• “(6) For the purposes of this section, the amount of the undistributed income of a company for an accounting period shall be the amount determined by the formula—

(R — S) + T — W,

reduced by the amount of each distribution, or part of each distribution, made before that day and on or after 6 April 1989, which is to be treated under this section, or which was treated under section 147, as made for that accounting period,

where—

R, S and T have the same meanings respectively as in section 144(8), and W is the amount of the distributions made by the company before 6 April 1989, which—

- (*a*) were made for the accounting period,

- (*b*) are, by virtue of subsection (7), deemed to have been made for the accounting period, or

- (*c*) would be deemed to have been made for the accounting period by virtue of subsection (9) of section 140 if that subsection were treated as applying for the purposes of this section as it applies for the purpose of that section.

• (7) For the purposes of this section—

  • (a) where the total amount of the distributions made by a company for an accounting period exceeds the amount determined by the formula—

  (R — S) + T

  for that accounting period (where R, S and T have the same meanings respectively as in section 144(8)), the excess shall be deemed for the purposes of this section to be a distribution for the immediately preceding accounting period, and

  • (b) where the total amount of the distributions made or deemed under paragraph (a) to have been made by a company for the immediately preceding accounting period referred to in paragraph (a) exceeds the amount determined for that accounting period in accordance with the formula mentioned in paragraph (a), the excess shall be deemed to be a distribution for the immediately preceding accounting period and so on.”.

• (k) in section 155(3)(a), by the insertion of “and” after “distribution,”,

• (l) in section 167(3), by the substitution for “Sections 160, 162 and 171” of “Sections 160 and 162”,

• (m) in section 174(2)(i), by the insertion of “and” after “the price,”,

• (n) in section 714(1), by the substitution for “sections 707 and 713” of “section 713”,

• (o) in section 838(4), by the substitution of the following for paragraph (f):

• “(f) Subject to subsection (5), where in a year of assessment the relevant income or gains of a special portfolio investment account includes a distribution from a company resident in the State, the amount or value of that distribution shall be taken into account in computing the relevant income or gains for that year of assessment.”,

and

• (p) in section 1084(2)(b)(i), by the insertion of “and” after “contained in the assessment to tax.”.

PART 2 Repeals

Taxes Consolidation Act, 1997

Provision	Extent of Repeal
(1)	(2)
Section 2(1)	The definition of “tax credit”.
Section 2(4)	The whole subsection.
Section 20(1)	Paragraph 3 of Schedule F.
Section 136	The whole section.
Section 137(1)	The words from “, and ‘relevant tax credit’ “to “in respect of the bonus issue”.
Section 137(2)	The words “or relevant tax credit”.
Section 137(4)	The whole subsection.
Section 137(5)	The words “; and nothing in those subsections shall affect the like proportion of the relevant tax credit relating to that bonus issue”.
Section 138(3)(a)	The whole paragraph.
Section 139	The whole section.
Section 140(3)(b)	The whole paragraph.
Section 140(4)	The whole subsection.
Section 140(5)	The words “(not being a supplementary distribution under this section)”.
Section 140(6)	The whole subsection.
Section 141(3)(b)	The whole paragraph.
Section 141(6)	The whole subsection.
Section 141(7)	The words “(not being a supplementary distribution under this section)”.
Section 141(8)	The whole subsection.
Section 142(2)	The words “and, notwithstanding section 136, the recipient of the distribution shall not be entitled to a tax credit in respect of it”.
Section 142(5)	The whole subsection.
Section 142(7)	The words “(not being a supplementary distribution under this section)”.
Section 143(2)	The whole subsection.
Section 143(3)	The words “, and the tax credit in respect of each such distribution shall be calculated in accordance with subsection (2) and section 136 respectively”.
Section 143(5)	The whole subsection.
Section 143(7)	The words from “, and, where” to “so reduced”.
Section 143(8)	The whole subsection.
Section 143(9)	The whole subsection.
Section 143(11)	The words “(not being a supplementary distribution under this section)”, and “and the amount of the tax credit which would apply in respect of the distribution if it were not made out of relieved income”.
Section 144(3)(b)	The whole paragraph.
Section 144(4)	The whole subsection.
Section 144(5)	The words “(not being a supplementary distribution under this section)”.
Section 144(6)	The whole subsection.
Section 145	The whole section.
Section 146	The whole section.
Part 6, Chapter 5 (sections 147 to 151)	The whole Chapter.
Section 152(1)(b)	The whole paragraph.
Section 152(3)(a)	The words from “and (whether” to “entitled in respect of the distribution”.
Section 154(4)	The whole subsection.
Section 154(5)	The whole subsection.
Section 155(3)(b)	The whole paragraph.
Section 165	The whole section.
Section 168	The whole section.
Section 169	The whole section.
Section 170	The whole section.
Section 171	The whole section.
Section 172	The whole section.
Section 174(2)(ii)	The whole subparagraph.
Section 434(1)	In the definition of “distributable income” the words “reduced by the tax credit comprised in that income” in paragraph (a) and the words “as so reduced” in paragraph (b).
Section 434(5)	In paragraph (b) of the definition of “distributable investment income” the words “(as reduced by the tax credit comprised in that income)” in each place it occurs.
Section 434(5)	In the definition of “distributable estate income” the words “(as reduced by the tax credit comprised in that income)”.
Section 440(5)	The whole subsection.
Section 519(7)	The words “, but the trustees shall not be entitled to the set-off or payment of a tax credit under section 136 in respect of those dividends”.
Section 707(5)(a)(i)	The whole subparagraph.
Section 707(5)(a)(ii)	The whole subparagraph.
Section 712(1)	The words “, and the income represented by the distribution shall be equal to the aggregate of the amount of the distribution and the amount of the tax credit in respect of the distribution”.
Section 712(2)	The whole subsection.
Section 713(1)(b)	The words “or under section 136, 712(2) or 730”.
Section 714(2)	The whole subsection.
Section 729(5)	The whole subsection.
Section 729(7)	The whole subsection.
Section 730	The whole section.
Section 737(7)(a)	The whole paragraph.
Section 737(7)(b)	The whole paragraph.
Section 737(9)(b)	The words “; but, notwithstanding subsection (7) or section 136, the tax credit in respect of a distribution to which this paragraph applies shall be disregarded for the purposes of the Tax Acts and the Capital Gains Tax Acts”.
Section 738(3)(a)(i)	The words “, and the income represented by the distribution shall be equal to the aggregate of the distribution and the amount of the tax credit in respect of the distribution”.
Section 738(3)(a)(ii)	The whole subparagraph.
Section 738(3)(b)	The whole paragraph.
Section 838(4)(g)	The whole paragraph.
Section 838(5)(c)	The words from “; but notwithstanding” to “the Capital Gains Tax Acts”.
Section 877(2)	The whole subsection.
Section 884(2)(b)	The words “and the tax credits to which the company is entitled in respect of those distributions”.
Section 884(4)	The words “and of tax credits to which the company is entitled in respect of those distributions”.
Section 1021(2)	The words “(including a tax credit in respect of a distribution from a company resident in the State)”.
Section 1084(2)(b)(ii)	The whole subparagraph.
Schedule 32, paragraph 4	The whole paragraph.

SCHEDULE 3 Rates of Excise Duty on Tobacco Products

Description of Product	Description of Product	Description of Product	Description of Product	Description of Product	Description of Product	Description of Product	Rate of Duty
Cigarettes	Cigarettes	...	...	...	...	...	£80.99 per thousand together with an amount equal to 18.57 per cent of the price at which the cigarettes are sold by retail
Cigars	...	...	...	...	...	...	£123.465 per kilogram
Fine-cut tobacco for the rolling of cigarettes	Fine-cut tobacco for the rolling of cigarettes	Fine-cut tobacco for the rolling of cigarettes	Fine-cut tobacco for the rolling of cigarettes	Fine-cut tobacco for the rolling of cigarettes	Fine-cut tobacco for the rolling of cigarettes	...	£104.186 per kilogram
Other smoking tobacco	Other smoking tobacco	Other smoking tobacco	Other smoking tobacco	...	...	...	£85.655 per kilogram

Footnotes