Finance (No. 2) Act, 1959
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Special provisions for the year 1960-61. |
14.—(1) Regulations under this Part of this Act— | |
(a) shall not require a deduction or repayment of tax to be made on the payment of emoluments which are paid before the 6th day of October, 1960, and | ||
(b) in relation to deductions and repayments of tax to be made on the payment of emoluments which are paid during the period commencing on the 6th day of October, 1960, and ending on the 5th day of April, 1961, shall contain provisions for securing that in the estimation, for the purposes of subsection (3) of section 6 of this Act, of the total tax payable in respect of emoluments for the year 1960-61 regard shall be had to the subsequent provisions of this section. | ||
(2) (a) This subsection applies to— | ||
(i) any person who is in receipt of emoluments for the whole of the year 1960-61, and | ||
(ii) any other person who is in receipt of emoluments for the year 1960-61 provided that the part of that year for which he is in receipt of emoluments (including a part consisting of discontinuous periods) comprises sixty or more days in the first six months of that year and sixty or more days in the last six months thereof. | ||
(b) In the case of a person to whom this subsection applies, one-half of the net tax for the year 1960-61 attributable to the emoluments shall not be payable. | ||
(3) Subsection (2) of this section shall not apply to such part, if any, of the emoluments as would, if they were emoluments for the year 1959-60 and the circumstances were such as are mentioned in subsection (1) of section 10 of this Act, fall, under that section, to be added to the income computed for the purpose of tax for the year 1959-60. | ||
(4) (a) For the purposes of subsection (2) of this section the net tax attributable to emoluments shall be taken to be the amount of tax which would have been payable by the person for the year 1960-61 if— | ||
(i) the total amount of emoluments from all sources, computed in accordance with paragraph (b) of this subsection, were his only income, | ||
(ii) he had been granted all the personal reliefs to which, on due claim, he would have been entitled, and | ||
(iii) no deduction fell to be made from the emoluments computed as aforesaid, in computing his total income. | ||
In this paragraph “personal reliefs” has the same meaning as in section 9 of the Finance Act, 1958 , subject to also including any relief under section 2 of the Finance Act, 1954 , any deduction under Rule 9 of the Rules applicable to Schedule E and any deduction in respect of wear and tear or obsolescence of any machinery or plant allowable under Rule 6 or 7 of the Rules applicable to Cases I and II of Schedule D. | ||
(b) The total amount of emoluments from all sources having been ascertained, that total shall, for the purposes of paragraph (a) of this subsection, be diminished by the amount of any deductions in respect of payments made by the person or his wife or in respect of losses, being deductions falling to be made from the emoluments in computing the total income of the person for the year 1960-61, and, for this purpose, any deductions which fall to be made in computing total income and which may be treated as made in whole or part from income other than the emoluments shall, as far as may be, be treated as falling to be made from such other income. | ||
(5) Where, by virtue of an application under Rule 17 of the General Rules, a husband and a wife are each chargeable in respect of emoluments, the net tax attributable to the emoluments of the husband and of the wife respectively shall for the purposes of subsection (4) of this section be computed in accordance with subsection (2) of section 9 of the Finance Act, 1958 , but the total relief from tax given to the husband and the wife under this section shall be the same as if the application under the said Rule 17 had not been made and each of the references to relief in subsection (3) of the said section 9 shall be deemed to include a reference to relief under this section. | ||
(6) In this section— | ||
any reference to emoluments shall be construed as a reference to emoluments to which this Part of this Act applies; | ||
any reference to tax shall be construed as not including a reference to sur-tax. |