Finance Act 2016

41 Amendment of Chapter 2 of Part 3 of Finance Act 2010 (natural gas carbon tax)

41. (1) Section 71 of the Finance Act 2010 is amended—

(a) in subsection (1) —

(i) in paragraph (b), by substituting “processes,” for “processes, or”,

(ii) in paragraph (c), by substituting “State, or” for “State.”, and

(iii) by inserting the following paragraph after paragraph (c):

“(d) for heat and power cogeneration (other than heat and power cogeneration by a micro-cogeneration unit within the meaning of Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012[^13]), where it is determined, by a competent authority designated for the purpose by the Minister for Finance, that such cogeneration meets the requirements for high-efficiency cogeneration under Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012.”,

(b) by inserting the following subsection after subsection (1):

“(1A) The relief under subsection (1)(d) shall be calculated as the amount of the tax paid on that portion of the natural gas used for cogeneration that is used to generate high-efficiency electricity as determined, and set out in a certificate issued, by the competent authority.”,

and

(c) by substituting the following subsection for subsection (2):

“(2) Subject to such conditions as the Commissioners may prescribe or otherwise impose, a partial relief from tax shall be granted on any natural gas that is shown to the satisfaction of the Commissioners to have been supplied for use in an installation that is covered by a greenhouse gas emissions permit.”.

(2) Section 72 is amended—

(a) by substituting the following subsection for subsection (2):

“(2) (a) A claim for repayment in relation to relief under paragraphs (a), (b) and (c) of section 71(1) or under section 71(2) shall be made in such form as the Commissioners may direct and shall be in respect of natural gas supplied within a period of not less than one and not more than 6 calendar months.

(b) Except where the Commissioners may in any particular case allow, a claim for repayment referred to in paragraph (a) shall be made within 6 calendar months of the end of the period in respect of which the claim is made.”,

and

(b) by inserting the following subsection after subsection (2):

“(3) (a) A claim for repayment in relation to relief under paragraph (d) of section 71(1) shall be made in such form as the Commissioners may direct and shall be in respect of natural gas which has been—

(i) supplied within a period of not less than one and not more than 12 calendar months, and

(ii) determined to have been used to generate high-efficiency electricity by the competent authority.

(b) Except where the Commissioners may in any particular case allow, a claim for repayment referred to in paragraph (a) shall be made within 6 calendar months of the date upon which the competent authority has issued the certificate referred to in subsection (1A).”.

(3) This section shall come into operation on such day as the Minister for Finance may by order appoint.

42 Amendment of Chapter 3 of Part 3 of Finance Act 2010 (solid fuel carbon tax)

42. (1) Section 82 of the Finance Act 2010 is amended—

(a) in subsection (1) —

(i) in paragraph (a), by substituting “electricity,” for “electricity, or”,

(ii) in paragraph (b), by substituting “processes,” for “processes, or”,

(iii) in paragraph (c), by substituting “State, or” for “State.”, and

(iv) by inserting the following paragraph after paragraph (c):

“(d) for heat and power cogeneration (other than heat and power cogeneration by a micro-cogeneration unit within the meaning of Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012[^14]), where it is determined, by a competent authority designated for the purpose by the Minister for Finance, that such cogeneration meets the requirements for high-efficiency cogeneration under Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012.”,

(b) by inserting the following subsection after subsection (1):

“(1A) The relief under subsection (1)(d) shall be calculated as the amount of tax paid on that portion of the solid fuel used for cogeneration that is used to generate high-efficiency electricity as determined, and set out in a certificate issued, by the competent authority.”,

and

(c) by substituting the following subsection for subsection (2):

“(2) Subject to such conditions as the Commissioners may prescribe or otherwise impose, a partial relief from tax shall be granted on any solid fuel that is shown to the satisfaction of the Commissioners to have been supplied for use in an installation that is covered by a greenhouse gas emissions permit.”.

(2) Section 83 is amended—

(a) by substituting the following subsection for subsection (2):

“(2) (a) A claim for repayment in relation to relief under paragraphs (a), (b) and (c) of section 82(1) or under section 82(2) shall be made in such form as the Commissioners may direct and shall be in respect of solid fuel delivered within a period of not less than one and not more than 6 calendar months.

(b) Except where the Commissioners may in any particular case allow, a claim for repayment referred to in paragraph (a) shall be made within 6 calendar months of the end of the period in respect of which the claim is made.”,

and

(b) by inserting the following subsection after subsection (2):

“(3) (a) A claim for repayment in relation to relief under paragraph (d) of section 82(1) shall be made in such form as the Commissioners may direct and shall be in respect of solid fuel which has been—

(i) delivered within a period of not less than one and not more than 12 calendar months, and

(ii) determined to have been used to generate high-efficiency electricity by the competent authority.

(b) Except where the Commissioners may in any particular case allow, a claim for repayment referred to in paragraph (a) shall be made within 6 calendar months of the date upon which the competent authority has issued the certificate referred to in subsection (1A).”.

(3) This section shall come into operation on such day as the Minister for Finance may by order appoint.

43 Amendment of section 100 of Finance Act 1999 (mineral oil tax)

43. (1) Section 100 of the Finance Act 1999 is amended—

(a) in subsection (6), by substituting the following paragraph for paragraph (b):

“(b) for heat and power cogeneration (other than heat and power cogeneration by a micro-cogeneration unit within the meaning of Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012[^15]), where it is determined, by a competent authority designated for the purpose by the Minister for Finance, that such cogeneration meets the requirements for high-efficiency cogeneration under Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012.”,

(b) by inserting the following subsection after subsection (6):

“(6A) The relief under subsection (6)(b) shall be calculated as the amount of the carbon charge paid on that portion of the mineral oil used for cogeneration that is used to generate high-efficiency electricity as determined, and set out in a certificate issued, by the competent authority.”,

(c) by substituting the following subsection for subsection (8):

“(8) (a) Subject to subsection (9), a claim for repayment in relation to relief under subsection (7) shall be made in such form as the Commissioners may direct and shall be in respect of mineral oil used within a period of not less than one and not more than 6 months.

(b) Except where the Commissioners may in any particular case allow, a claim for repayment referred to in paragraph (a) shall be made within 4 months of the end of the period in respect of which the claim is made.”,

and

(d) by inserting the following subsection after subsection (8):

“(9) (a) A claim for repayment under subsection (7) in relation to relief from the carbon charge under subsection (6)(b) shall be made in such form as the Commissioners may direct and shall be in respect of mineral oil which has been—

(i) used within a period of not less than one and not more than 12 months, and

(ii) determined to have been used to generate high-efficiency electricity by the competent authority.

(b) Except where the Commissioners may in any particular case allow, a claim for repayment referred to in paragraph (a) shall be made within 4 months of the date upon which the competent authority has issued the certificate referred to in subsection (6A).”.

(2) This section shall come into operation on such day as the Minister for Finance may by order appoint.

44 Amendment of section 135C of Finance Act 1992 (remission or repayment in respect of vehicle registration tax, etc.)

44. Section 135C of the Finance Act 1992 is amended in subsections (1) and (2) by substituting “31 December 2018” for “31 December 2016” and in subsections (3) and (4) by substituting “31 December 2021” for “31 December 2016”.

PART 3 Value-Added Tax

45 Interpretation (Part 3)

45. In this Part “Principal Act” means the Value-Added Tax Consolidation Act 2010.

46 *Amendment of section 61 of Principal Act (apportionment for dual-use inputs)*

46. Section 61 of the Principal Act is amended—

(a) by substituting the following for subsections (4) and (5):

“(4) Subject to subsection (5), the proportion of tax deductible by an accountable person in a taxable period shall be calculated on the basis of the ratio which the amount of the person’s tax-exclusive turnover from deductible supplies or activities in the accounting year in which that taxable period ends bears to the person’s tax-exclusive turnover from total supplies and activities in that accounting year.

(5) Where the proportion of tax deductible calculated in accordance with subsection (4) does not—

(a) correctly reflect the extent to which the dual-use inputs are used for the purposes of the person’s deductible supplies or activities, or

(b) have due regard to the range of the person’s total supplies and activities,

the accountable person shall use any other basis which results in a proportion of tax deductible which—

(i) correctly reflects the extent to which the dual-use inputs are used for the purposes of the person’s deductible supplies or activities, and

(ii) has due regard to the range of the person’s total supplies and activities.”,

and

(b) in subsection (6) by substituting “this section,” for “subsection (4),”.

47 Flat-rate scheme for farmers

47. (1) The Principal Act is amended—

(a) in section 68 by inserting the following after subsection (5):

“(6) An invoice, settlement voucher or other document provided for in this section or in section 86(1) shall not issue in respect of supplies of a kind specified in an order made under section 86A.”,

(b) in section 86—

(i) by substituting the following for subsection (1):

“(1) Subject to section 68(1) and (6) and subsection (1A), where a flat-rate farmer supplies agricultural produce or an agricultural service to a person, the farmer shall issue to the person an invoice indicating the consideration (exclusive of the flat-rate addition) in respect of the supply and an amount (in this Act referred to as a ‘flat-rate addition’) equal to 5.4 per cent of that consideration (exclusive of the flat-rate addition).

(1A) Where section 68(6) applies, the issue of an invoice by a flat-rate farmer shall only apply in respect of agricultural produce or an agricultural service of a kind not specified in an order made by the Minister under section 86A.”,

and

(ii) in subsection (2) by substituting the following for “transaction.”:

“transaction other than where an order has been made by the Minister under section 86A relating to such supply of produce or service.”,

(c) by inserting the following section after section 86:

“Restriction of flat-rate addition

86A. (1) Where, following a review carried out by the Revenue Commissioners in relation to a particular agricultural sector and having regard, in particular, to the business structures or models employed and the nature of the relationships and contractual arrangements in place between parties in the sector, the Minister is satisfied that the application of the flat-rate addition in accordance with section 86 in respect of supplies of agricultural produce or agricultural services within that sector has resulted in, and if that application were retained would continue to contribute to, a systematic excess of the amount of flat-rate addition payments over the amount of non-recoverable tax on input costs borne by flat-rate farmers within that sector, the Minister may by order provide that the flat-rate addition shall not apply to supplies of a kind to be specified in the order.

(2) In subsection (1), ‘non-recoverable tax on input costs’ means tax which would be deductible in accordance with section 59 if the flat-rate farmers in the particular agricultural sector were registered for value-added tax, less tax which is recoverable by flat-rate farmers in that sector in accordance with a refund order made under section 103.

(3) An order 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 order is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the order is laid before it, the order shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.”,

and

(d) in section 115 by inserting the following after subsection (3):

“(3A) A person who issues an invoice, settlement voucher or other document provided for in section 68 or 86 in which an amount of flat-rate addition is stated in respect of supplies of goods or services which are the subject of an order made under section 86A shall be liable to a penalty of €4,000.”.

(2) This section shall come into operation on 1 January 2017.

PART 4 Stamp Duties

48 Interpretation (Part 4)

48. In this Part “Principal Act” means the Stamp Duties Consolidation Act 1999.

49 National Concert Hall

49. The Principal Act is amended by inserting the following after section 106C:

“106D. Stamp duty shall not be chargeable on any conveyance, transfer or lease of land to the National Concert Hall in connection with its functions under the National Cultural Institutions (National Concert Hall) Act 2015.”.

50 Amendment of section 126AA of Principal Act (further levy on certain financial institutions)

50. (1) Section 126AA of the Principal Act is amended—

(a) by substituting the following for subsection (1):

“(1) In this section—

‘Act of 1997’ means the Taxes Consolidation Act 1997 (No. 39 of 1997);

‘appropriate tax’ has the meaning given to it by section 256 of the Act of 1997;

‘assessable amount’, in relation to a relevant person, means the relevant retention tax in relation to the person;

‘base year’ means the year—

(a) 2011, in respect of the years 2014, 2015 and 2016,

(b) 2015, in respect of the years 2017 and 2018,

(c) 2017, in respect of the years 2019 and 2020, and

(d) 2019, in respect of the year 2021;

‘due date’ means, in relation to a year, 20 October in the year concerned;

‘relevant business’ means the business of a relevant person of taking and holding relevant deposits (within the meaning of section 256 of the Act of 1997) in respect of which the person was obliged to pay any amount under section 258 or 259 of that Act;

‘relevant person’ means a person who, in a base year, comes within the meaning of paragraph (a) or (b) of the definition of ‘relevant deposit taker’ in section 256(1) of the Act of 1997 and who—

(a) is obliged in the base year to pay—

(i) appropriate tax under section 258(3) of the Act of 1997, or

(ii) an amount on account of appropriate tax under section 258(4) or 259(4) of that Act,

and

(b) is carrying on a trade or business in the State (whether including a relevant business or not) at the due date,

but a person shall not be regarded as a relevant person where the relevant retention tax in relation to the person in the base year does not exceed €100,000;

‘relevant retention tax’, in relation to a relevant person and a base year, means an amount determined by the formula—

A + B - C

where—

A is an amount equal to the aggregate of—

(a) appropriate tax paid by the person in the base year under section 258(3) of the Act of 1997, and

(b) the amount paid by the person in the base year on account of appropriate tax under section 258(4) or 259(4) of that Act,

B is the aggregate of any amounts of appropriate tax, or any amounts on account of appropriate tax, paid by the person after the base year which, in accordance with section 258 or 259 of the Act of 1997, should have been paid by the person in that base year, and

C is the aggregate of any amounts of appropriate tax paid by the person in the base year which—

(a) are included in A, and

(b) were agreed by the person and an officer of the Commissioners at or before the time of payment as being tax which, in accordance with the said section 258, should have been paid before the base year.”,

(b) in subsection (2) by substituting “2014 to 2021” for “2014, 2015 and 2016”,

(c) in subsection (3) by substituting “in a base year” for “2011”,

(d) in subsection (6) by substituting “59 per cent” for “35 per cent”, and

(e) by deleting subsection (10).

(2) Paragraph (d) of subsection (1) shall have effect in relation to a statement to be delivered in accordance with subsection (2) of section 126AA of the Principal Act for the year 2017 and subsequent years.

PART 5 Capital Acquisitions Tax

51 Interpretation (Part 5)

51. In this Part “Principal Act” means the Capital Acquisitions Tax Consolidation Act 2003.

52 Amendment of section 86 of Principal Act (exemption relating to certain dwellings)

52. The Principal Act is amended by substituting the following for section 86:

“Exemption relating to certain dwellings

86. (1) In this section—

‘dwelling house’ means—

(a) a building or part (including an appropriate part within the meaning of section 5(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 (excluding the site of the dwelling house) of 0.4047 hectares, but if the area of that curtilage (excluding the site of the dwelling house) exceeds 0.4047 hectares, 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 relevant dwelling house comprised in an inheritance, means the period of 6 years commencing on the date of the inheritance;

‘successor’ includes a transferee under an inheritance referred to in section 32(2).

(2) In this section a ‘relevant dwelling house’, in relation to a disponer or a successor, as the case may be, is a dwelling house that—

(a) was occupied by the disponer as his or her only or main residence at the date of his or her death,

(b) was continuously occupied by the successor as his or her only or main residence—

(i) throughout the period of 3 years immediately preceding the date of the inheritance, or

(ii) where the dwelling house replaced another dwelling house as that successor’s only or main residence, the first-mentioned dwelling house and the dwelling house that was replaced as that successor’s only or main residence, for periods which together comprised at least 3 years falling within the period of 4 years immediately preceding the date of the inheritance,

and

(c) is the only dwelling house to which the successor is beneficially entitled or in which the successor has a beneficial interest at the date of the inheritance of that dwelling house, whether or not that successor had such an entitlement before the date of the inheritance or acquires the entitlement by virtue of that inheritance.

(3) For the purpose of subsection (2), a disponer or a successor, as the case may be, is deemed to occupy a dwelling house for a period during which he or she ceases to occupy that dwelling house in consequence of his or her mental or physical infirmity.

(4) Subject to subsections (5) and (6), a relevant dwelling house is exempt from tax in relation to the inheritance by the successor of the dwelling house and the value of the dwelling house shall not be taken into account in computing tax on any gift or inheritance taken by a successor who takes an inheritance of the relevant dwelling house.

(5) For the purposes of subsection (4), a dwelling house shall not be regarded as a relevant dwelling house where it is taken—

(a) by way of a gift, other than where it is taken by a dependent relative under subsection (9), or

(b) under a disposition referred to in paragraph (c) of section 3(1).

(6) Subject to subsection (7), a dwelling house shall cease to be regarded as a relevant dwelling house where—

(a) the dwelling house is sold or disposed of (either in whole or in part) within the relevant period and before the death of a successor, or

(b) a successor ceases to occupy the dwelling house as his or her only or main residence during the relevant period,

and, as a consequence of such sale, disposal or cessation—

(i) tax shall be chargeable in relation to the inheritance by the successor of the dwelling house, and

(ii) the value of the dwelling house shall be taken into account in computing tax on any gift or inheritance taken by a successor who takes an inheritance of the relevant dwelling house,

as if that dwelling house had not been a relevant dwelling house at the date of the inheritance.

(7) (a) Notwithstanding subsection (6), a dwelling house shall not cease to be regarded as a relevant dwelling house where—

(i) the entirety of the consideration for the sale or disposal of the dwelling house (in this subsection and in subsection (8) referred to as the ‘inherited dwelling house’) is used by a successor to acquire a dwelling house to replace the inherited dwelling house as the successor’s only or main residence (in this subsection and in subsection (8) referred to as the ‘replacement dwelling house’), the period of occupation of which as the successor’s only or main residence, when added to the period of occupation of the inherited dwelling house as his or her only or main residence, amounts to an aggregate period comprising at least 6 years falling within the period of 7 years commencing on the date of the inheritance,

(ii) a successor is of the age of 65 years or over at the date of the inheritance of the dwelling house,

(iii) a successor ceases to occupy the dwelling house in consequence of his or her mental or physical infirmity (which infirmity is certified by a registered medical practitioner who is registered in the register established under section 43 of the Medical Practitioners Act 2007), whether or not the dwelling house is sold or disposed of, or

(iv) a successor is required to be absent from the dwelling house in consequence of any condition imposed by his or her employer requiring the successor to reside elsewhere for the purposes of performing the duties of his or her employment.

(b) Subparagraphs (iii) and (iv) of paragraph (a) shall apply to a replacement dwelling house, as they apply to a relevant dwelling house.

(8) Where the consideration for the sale or disposal of an inherited dwelling house, or a replacement dwelling house, as the case may be, (in this subsection referred to as the ‘sold dwelling house’) exceeds the consideration for the acquisition of any replacement dwelling house (in this subsection referred to as the ‘acquired dwelling house’) acquired as a replacement for the sold dwelling house, then the value of the sold dwelling house which is chargeable to tax under subsection (6) shall be reduced in the same proportion as the consideration for the acquired dwelling house bears to the consideration for the sold dwelling house.

(9) (a) In this subsection—

‘relative’, in relation to the disponer, or to the spouse or civil partner of the disponer, as the case may be, means lineal ancestor, lineal descendant, brother, sister, uncle, aunt, niece or nephew;

‘dependent relative’ means a relative who is—

(i) permanently and totally incapacitated by reason of mental or physical infirmity from maintaining himself or herself, or

(ii) of the age of 65 years or over.

(b) For the purposes of this section, a dependent relative who takes a gift of a dwelling house shall be deemed to take the dwelling house as an inheritance on the date of the gift.

(c) Where a dependent relative takes a gift of a dwelling house, paragraph (a) of subsection (2) shall not apply for the purposes of determining whether the dwelling house is a relevant dwelling house.”.

53. Amendment of Schedule 2 to Principal Act (computation of tax)

53. (1) The Principal Act is amended in paragraph 1 of Part 1 of Schedule 2, in the definition of “group threshold”—

(a) in paragraph (a), by substituting “€310,000” for “€280,000”,

(b) in paragraph (b), by substituting “€32,500” for “€30,150”, and

(c) in paragraph (c), by substituting “€16,250” for “€15,075”.

(2) This section applies to gifts and inheritances taken on or after 12 October 2016.

PART 6 Miscellaneous

54. Interpretation (Part 6)

54. In this Part “Principal Act” means the Taxes Consolidation Act 1997.

55 Tax treatment of married persons and civil partners

55. The Principal Act is amended—

(a) in section 1017 by inserting the following after subsection (2):

“(3) Subject to subsection (4), for a year of assessment prior to the current year of assessment in which this section applies as a consequence of—

(a) an election made (including an election deemed to have been duly made) under section 1018,

(b) an election made under section 1019(2)(a)(ii), or

(c) section 1019(4)(a),

a husband or a wife who is not assessed under this section may elect to be so assessed and such election shall apply in place of any earlier election or deemed election for that year of assessment.

(4) Subsection (3) shall not apply where the husband or the wife is a chargeable person (within the meaning of section 959A).”,

and

(b) in section 1031C by inserting the following after subsection (2):

“(3) Subject to subsection (4), for a year of assessment prior to the current year of assessment in which this section applies as a consequence of an election made (including an election deemed to have been duly made) under section 1031D, a civil partner who is not assessed under this section may elect to be so assessed and such election shall apply in place of any earlier election or deemed election for that year of assessment.

(4) Subsection (3) shall not apply where either civil partner is a chargeable person (within the meaning of section 959A).”.

56 Penalties for deliberately or carelessly making incorrect returns, etc.

56. (1) The Principal Act is amended in section 1077E by inserting the following after subsection (15):

“(15A) (a) In this subsection—

‘Directive’ means Council Directive 2011/16/EU[^16] on administrative cooperation in the field of taxation as amended by Council Directive 2014/107/EU of 9 December 2014[^17] as regards mandatory automatic exchange of information in the field of taxation;

‘liability to tax or duty’ means, as the case may be, a liability to tax (within the meaning of subsection (1) of this section and that subsection as applied to the Capital Acquisitions Tax Consolidation Act 2003 by section 58(9)(b) of that Act), a liability to tax within the meaning of section 116(1) of the Value-Added Tax Consolidation Act 2010 or a liability to duty within the meaning of section 134A(1) of the Stamp Duties Consolidation Act 1999;

‘offshore matters’ means any one or more of the following—

(i) a relevant account held or situated,

(ii) relevant income or gains arising from a source or accruing, as the case may be,

(iii) relevant property situated, or

(iv) any income, gains, accounts or assets, other than those referred to in paragraphs (i) to (iii), arising from a source, accruing, held or situated, as the case may be,

in a country or territory other than the State;

‘penalty’, in relation to a person, means, as the case may be, any penalty of the kind referred to in subsections (2), (3), (5) and (6) of this section, those subsections as applied to the Capital Acquisitions Tax Consolidation Act 2003 by section 58(9)(b) of that Act, any penalty of the kind referred to in subsections (2), (3), (5) and (6) of section 116 of the Value-Added Tax Consolidation Act 2010 or any further penalty of the kind referred to in subsections (2) and (4) of section 134A of the Stamp Duties Consolidation Act 1999;

‘relevant account’ means an account reportable under the standard or, as the case may be, under the Directive, or an account of a kind reportable under the standard or, as the case may be, under the Directive;

‘relevant income or gains’ means income or gains reportable under the standard or, as the case may be, under the Directive, or income or gains of a kind reportable under the standard or, as the case may be, under the Directive;

‘relevant property’ means property reportable under the Directive, or property of a kind reportable under the Directive;

‘specified penalty’, in relation to a person, means, as the case may be, a penalty or further penalty of the kind referred to—

(i) in subsections (5) and (6) of this section, the amount of which does not exceed the amount referred to in subsection (7)(b)(II)(A) of this section,

(ii) in the subsections referred to in paragraph (i), as applied to the Capital Acquisitions Tax Consolidation Act 2003 by section 58(9)(b) of that Act,

(iii) in subsections (5) and (6) of section 116 of the Value-Added Tax Consolidation Act 2010, the amount of which does not exceed the amount referred to in subsection (7)(b)(II)(A) of that section, and

(iv) in subsection (4) of section 134A of the Stamp Duties Consolidation Act 1999, the amount of which does not exceed the amount referred to in subsection (5)(b)(II)(A) of that section;

‘the standard’ has the same meaning as in section 891F(2).

(b) A disclosure in relation to a person made on or after 1 May 2017 shall not be a qualifying disclosure where—

(i) any matters contained in the disclosure relate directly or indirectly to offshore matters, and

(ii) in any other case, the person, before the date the disclosure is made, has offshore matters occasioning a liability to tax or duty that are known or become known at any time to the Revenue Commissioners or any of their officers and the person is liable to a penalty other than a specified penalty in relation to those matters.”.

(2) Section 116 of the Value-Added Tax Consolidation Act 2010 is amended by inserting the following after subsection (15):

“(15A) (a) In this subsection the expressions ‘liability to tax or duty’, ‘offshore matters’, ‘penalty’ and ‘specified penalty’ have the same meanings as in section 1077E(15A)(a) (inserted by section 56(1) of the Finance Act 2016) of the Taxes Consolidation Act 1997.

(b) A disclosure in relation to a person made on or after 1 May 2017 shall not be a qualifying disclosure where—

(i) any matters contained in the disclosure relate directly or indirectly to offshore matters, and

(ii) in any other case, the person, before the date the disclosure is made, has offshore matters occasioning a liability to tax or duty that are known or become known at any time to the Revenue Commissioners or any of their officers and the person is liable to a penalty other than a specified penalty in relation to those matters.”.

(3) Section 134A of the Stamp Duties Consolidation Act 1999 is amended by inserting the following after subsection (12):

“(13) (a) In this subsection the expressions ‘liability to tax or duty’, ‘offshore matters’, ‘penalty’ and ‘specified penalty’ have the same meanings as in section 1077E(15A)(a) (inserted by section 56(1) of the Finance Act 2016) of the Taxes Consolidation Act 1997.

(b) A disclosure in relation to a person made on or after 1 May 2017 shall not be a qualifying disclosure where—

(i) any matters contained in the disclosure relate directly or indirectly to offshore matters, and

(ii) in any other case, the person, before the date the disclosure is made, has offshore matters occasioning a liability to tax or duty that are known or become known at any time to the Commissioners or any of their officers and the person is liable to a penalty other than a specified penalty in relation to those matters.”.

(4) Subsections (1), (2) and (3) shall have effect as on and from 1 May 2017.

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

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

(a) in subsection (2A), by substituting “Subject to subsection (2D), for the purposes of subsection (2),” for “For the purposes of subsection (2),”,

(b) in subsection (2B)—

(i) in paragraph (a), by substituting “a specified sum or an adjusted specified sum (within the meaning of subsection (2C) or (2D)), as the case may be, under subsection (2)(c), including as applied by subsection (2C) or (2D)” for “a specified sum under subsection (2)(c) ”,

(ii) in paragraph (b), by substituting “a specified sum or an adjusted specified sum (within the meaning of subsection (2C) or (2D)), as the case may be, under subsection (2)(d), including as applied by subsection (2C) or (2D)” for “a specified sum under subsection (2)(d) ”, and

(iii) by substituting “and the person fails to pay the specified sum or the adjusted specified sum, as the case may be,” for “and the person fails to pay the specified sum”,

(c) by inserting the following after subsection (2B):

“(2C) (a) In this subsection—

‘adjusted specified sum’ means the total claim sum less the qualifying disclosure sum;

‘disclosing person’ means a person who makes a qualifying disclosure;

‘qualifying disclosure’ means a qualifying disclosure referred to in subsection (4)(a);

‘qualifying disclosure sum’ means the part of the total claim sum that is in respect of the matter to which a qualifying disclosure relates;

‘relevant matters’, in relation to a disclosing person, means matters occasioning a liability of the kind referred to in subparagraphs (i) to (iii) of paragraph (c) or (d) of subsection (2), as the case may be, which are known or become known to the Revenue Commissioners or any of their officers;

‘total claim sum’ means the specified sum, in respect of the specified liability (in respect of both the matter to which a qualifying disclosure relates and the relevant matters), referred to in paragraph (c) or (d) of subsection (2), as the case may be, of a disclosing person.

(b) Notwithstanding subsection (4)(a), where the Revenue Commissioners—

(i) pursuant to an agreement of a type referred to in paragraph (c) of subsection (2), or

(ii) in the circumstances described in paragraph (d) of subsection (2),

accept or undertake to accept a specified sum of money in settlement of any claim by them in respect of a specified liability, referred to in paragraph (c) or (d) of subsection (2), as the case may be, of a disclosing person, and the specified liability comprises of the liability relating to the matter in respect of which the person had voluntarily furnished a qualifying disclosure and the liability in respect of relevant matters, then paragraph (c) or (d) of subsection (2), as the case may be, shall apply in relation to the disclosing person in respect of the relevant matters, subject to the following modifications:

(I) a reference to a specified sum shall be construed as a reference to an adjusted specified sum;

(II) a reference to a specified liability, shall be construed as a reference to the part of the specified liability relating to the relevant matters;

(III) the reference in paragraph (c) of subsection (2) to an agreement made by the Revenue Commissioners with a person whereby they accepted or undertook to accept a specified sum of money in settlement of any claim by them in respect of any specified liability of the person, shall be construed as a reference to an agreement (in this clause referred to as the ‘second mentioned agreement’) made by the Revenue Commissioners with the disclosing person whereby they accepted or undertook to accept an adjusted specified sum of money in settlement of any claim by them in respect of the part of the specified liability of the disclosing person relating to the relevant matters, and the second mentioned agreement shall be deemed to have been made in the relevant period in which the Revenue Commissioners accepted or undertook to accept the total claim sum.

(2D) (a) In this subsection—

‘adjusted specified sum’ means the total claim sum less the qualifying disclosure sum;

‘disclosing person’ means a person who makes a qualifying disclosure;

‘qualifying disclosure’ means a qualifying disclosure referred to in subsection (4)(a);

‘qualifying disclosure sum’ means the part of the total claim sum that is in respect of the matter to which a qualifying disclosure relates;

‘relevant matters’, in relation to a disclosing person, means matters occasioning a liability of the kind referred to in subparagraphs (i) to (iii) of paragraph (c) or (d) of subsection (2), as the case may be, which are known or become known to the Revenue Commissioners or any of their officers;

‘total claim sum’ means the sum, being the full amount of the claim by the Revenue Commissioners (in respect of both the matter to which a qualifying disclosure relates and the relevant matters) in respect of a liability, of a kind referred to in subparagraphs (i) to (iii) of paragraph (c) or (d) of subsection (2), as the case may be, of a disclosing person.

(b) Notwithstanding subsection (4)(a), where the Revenue Commissioners accept or undertake to accept a sum which is the full amount of their claim in respect of a liability, of a kind referred to in subparagraphs (i) to (iii) of paragraph (c) or (d) of subsection (2), as the case may be, of a disclosing person and the liability comprises of the liability relating to the matter in respect of which the disclosing person had voluntarily furnished a qualifying disclosure and the liability in respect of relevant matters, the following shall apply in relation to the disclosing person in respect of the relevant matters:

(i) for the purposes of subsection (2), paragraph (c) or (d) of that subsection, as the case may be, shall apply, subject to the following modifications:

(I) a reference to a specified sum shall be construed as a reference to an adjusted specified sum;

(II) a reference to a specified liability, shall be construed as a reference to the part of the total claim sum relating to the relevant matters;

(ii) the Revenue Commissioners shall be deemed to have accepted or undertaken to accept, as the case may be, the adjusted specified sum pursuant to an agreement, of a type referred to in paragraph (c) of subsection (2), made in the relevant period in which the Revenue Commissioners accepted or undertook to accept the total claim sum.”,

(d) in subsection (4) —

(i) by deleting paragraph (b),

(ii) in paragraph (c) —

(I) by substituting “the specified sum or the adjusted specified sum (within the meaning of subsection (2C) or (2D)) referred to in paragraph (c) or (d), as the case may be, of subsection (2), including as applied by subsection (2C) or (2D),” for “the specified sum referred to in paragraph (c) or (d), as the case may be, of subsection (2) ”, and

(II) by substituting “does not exceed the relevant amount referred to in paragraph (a) of subsection (4A) or, where an order has been made under paragraph (b) of that subsection, the amount specified in the last such order made, or” for “does not exceed €30,000, or”,

and

(iii) by substituting the following for paragraph (d):

“(d) the amount of fine or other penalty included in the specified sum or the adjusted specified sum (within the meaning of subsection (2C) or (2D)) referred to in paragraph (c) or (d), as the case may be, of subsection (2), including as applied by subsection (2C) or (2D), does not exceed 15 per cent of the amount of tax included in that specified sum or adjusted specified sum.”,

(e) in subsection (4A)—

(i) in paragraph (a) —

(I) in the definition of “the consumer price index number relevant to a year”, by substituting “mid-December 2011 was 100” for “mid-December 2001 was 100”,

(II) by substituting “Minister for Finance;” for “Minister for Finance.”, and

(III) by inserting the following definition:

“ ‘the relevant amount’ means €35,000.”,

(ii) by substituting the following for paragraph (b):

“(b) The Minister may, from time to time, by order provide, in accordance with paragraph (c), an amount in lieu of the relevant amount, or where an order has been made previously under this paragraph, in lieu of the amount specified in the last order so made.”,

(iii) in paragraph (c), by substituting “the relevant amount or the amount referred to in the last previous order made” for “the amount referred to in subsection (4)(c) or in the last previous order made”, and

(iv) in paragraph (d), by substituting the following for subparagraph (ii):

“(ii) does not apply to any case in which—

(I) the specified liability referred to in paragraphs (c) and (d) of subsection (2), including as applied by subsection (2C) or (2D), or

(II) the aggregate referred to in subsection (4B)(b) in respect of paragraphs (a) and (b) of subsection (2),

includes tax, the liability in respect of which arose before, or which relates to periods which commenced before, that specified date.”,

(f) in subsection (4B), by substituting the following for paragraph (b):

“(b) the aggregate of—

(i) the tax due in respect of which the penalty is computed,

(ii) except in the case of tax due by virtue of paragraphs (g) and (h) of the definition of ‘the Acts’, the interest on that tax, and

(iii) the penalty determined by a court,

does not exceed the relevant amount referred to in paragraph (a) of subsection (4A) or, where an order has been made under paragraph (b) of that subsection, the amount specified in the last such order made, or”,

and

(g) by inserting the following after subsection (5A):

“(5B) Any list referred to in subsection (2) shall, in a case to which subsection (2B) applies, specify, in such manner as the Revenue Commissioners think fit, that the person has failed to pay the specified sum or the adjusted specified sum (within the meaning of subsection (2C) or (2D)), as the case may be, of money within the relevant period.”.

(2) Subsection (1), other than paragraph (d)(ii)(II) and subparagraphs (i), (ii) and (iii) of paragraph (e), shall apply in relation to a person as respects specified sums referred to in paragraphs (c) and (d) of section 1086(2) of the Principal Act which the Revenue Commissioners accepted, or undertook to accept (including a sum that is the full amount of their claim), in settlement of a specified liability, referred to in the said paragraphs (c) and (d), on or after 1 January 2017.

(3) Paragraph (d)(ii)(II) and subparagraphs (i), (ii) and (iii) of paragraph (e) of subsection (1) come into operation on the passing of this Act.

58 Care and management of taxes and duties

58. All taxes and duties imposed by this Act are placed under the care and management of the Revenue Commissioners.

59 Short title, construction and commencement

59. (1) This Act may be cited as the Finance Act 2016.

(2) Part 1 shall be construed together with—

(a) in so far as it relates to income tax, the Income Tax Acts,

(b) in so far as it relates to universal social charge, Part 18D of the Principal Act,

(c) in so far as it relates to corporation tax, the Corporation Tax Acts, and

(d) in so far as it relates to capital gains tax, the Capital Gains Tax Acts.

(3) Part 2, in so far as it relates to duties of excise, shall be construed together with the statutes which relate to those duties and to the management of those duties.

(4) Part 3 shall be construed together with the Value-Added Tax Acts.

(5) Part 4 shall be construed together with the Stamp Duties Consolidation Act 1999 and the enactments amending or extending that Act.

(6) Part 5 shall be construed together with the Capital Acquisitions Tax Consolidation Act 2003 and the enactments amending or extending that Act.

(7) Part 6 in so far as it relates to—

(a) income tax, shall be construed together with the Income Tax Acts,

(b) universal social charge, shall be construed together with Part 18D of the Principal Act,

(c) corporation tax, shall be construed together with the Corporation Tax Acts,

(d) capital gains tax, shall be construed together with the Capital Gains Tax Acts,

(e) customs, shall be construed together with the Customs Acts,

(f) duties of excise, shall be construed together with the statutes which relate to duties of excise and the management of those duties,

(g) value-added tax, shall be construed together with the Value-Added Tax Acts,

(h) stamp duty, shall be construed together with the Stamp Duties Consolidation Act 1999 and the enactments amending or extending that Act,

(i) domicile levy, shall be construed together with Part 18C of the Principal Act, and

(j) gift tax or inheritance tax, shall be construed together with the Capital Acquisitions Tax Consolidation Act 2003 and the enactments amending or extending that Act.

(8) Except where otherwise expressly provided for in Part 1, that Part shall come into operation on 1 January 2017.

(9) Except where otherwise expressly provided for, where a provision of this Act is to come into operation on the making of an order by the Minister for Finance, that provision shall come into operation on such day or days as the Minister for Finance shall appoint either generally or with reference to any particular purpose or provision and different days may be so appointed for different purposes or different provisions.