Income Tax Act, 1967.

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Number 6 of 1967

INCOME TAX ACT, 1967

ARRANGEMENT OF SECTIONS

Interpretation and Preliminary

Interpretation

Section
1.	Interpretation generally.
2.	Earned income.
3.	"Income Tax Acts".

Chapter II

Preliminary

4.	Charge; Schedules.
5.	Yearly assessments.
6.	Fractions of twenty shillings.
7.	Enactments in force for any year to apply to tax for succeeding year.
8.	Charge and deduction of tax not charged or deducted before passing of annual Act.

Part II

Schedules A and B

Chapter I

Schedule A

9.	Schedule A.
10.	Annual value for Schedule A.
11.	Owner-occupied private residence.
12.	Newly-built houses.
13.	Assessment by reference to annual rent.
14.	Persons chargeable.
15.	Separate assessments under Schedule A or Schedule B in certain cases.
16.	Diplomatic representatives.
17.	Mortgagees in possession.
18.	Right of persons by whom tax is paid to recoupment in certain cases.
19.	Occupier.
20.	Allowances in case of ecclesiastical or collegiate body.
21.	Allowance for drainage and other rates and expenditure on sea walls.
22.	Procedure and time-limits for claims under preceding provisions.
23.	Repairs allowance.
24.	Allowance for maintenance, repairs, insurance and management.
25.	Maintenance relief for small properties.
26.	Loss by flood or tempest.
27.	Universities, colleges, hospitals, schools and almshouses.
28.	Allowance for rates paid by landlord.
29.	Repayment of tax in respect of lost rent.

Chapter II

Schedule B

30.	Schedule B.
31.	Annual value for Schedule B.
32.	Persons chargeable.
33.	Assessment of certain profits derived from the keeping of a stallion.
34.	Husbandry: election to be charged under Schedule D.
35.	Husbandry: profits falling short of assessable value.
36.	Woodlands.
37.	Assessment of profits from occupation of land under Schedule D in certain other cases.
38.	Relief under Schedule B in case of loss by flood or tempest.

Chapter III

General

39.	Revenue Commissioners to be furnished with copies of rates.
40.	Production of valuations to inspector.
41.	Power of Revenue Commissioners to direct revaluation.
42.	Unoccupied property.
43.	Savings with respect to actions of ejectment.
44.	Relief to persons prevented from using their land.
45.	Relief to farming co-operative societies and farming trustees.
46.	Definition of "the municipal rate".

Part III

SCHEDULE C AND PRINCIPAL PROVISIONS RELATING THERETO

47.	Schedule C.
48.	Charge and payment.
49.	Stocks of State and of foreign diplomats.
50.	Securities of foreign territories.
51.	Definitions.

Part IV

SCHEDULE D

Chapter I

Charge to Tax and General

52.	Schedule D.
53.	The Cases.
54.	Market gardening.
55.	Interest, etc., paid without deduction of tax under Schedule C.
56.	Tax on quarries, mines and other concerns.

Chapter II

Cases I and II

Chapter III

Trades and Professions Carried on in Partnership

69.	Interpretation.
70.	Power to require return as to sources of partnership income and amounts derived therefrom.
71.	Separate assessment of partners.
72.	Capital allowances and balancing charges in partnership cases.
73.	Modification of provisions as to appeals.
74.	Provision as to charges under section 288.

Chapter IV

Case III

75.	Income chargeable under Case III.
76.	Foreign securities and possessions.
77.	Basis of assessment.
78.	Cattle and milk dealers.

Chapter V

Case IV-General

79.	Basis of assessment.

Chapter VI

Taxation of Rents and Certain Other Payments

80.	Interpretation.
81.	Taxation of rents under short leases.
82.	Additional deductions in certain cases.
83.	Treatment of premiums, etc., as rent.
84.	Charge on assignment of lease granted at undervalue.
85.	Charge on sale of land with right to reconveyance.
86.	Exclusion of certain lettings.
87.	Taxation of certain payments in respect of easements.
88.	Provisions as to assessment.
89.	Relief in respect of losses.
90.	Relief for amount not received.
91.	Deduction by reference to premium, etc., paid in the computation of profits for purposes of Schedule D, Cases I & II.
92.	Deductions by reference to premiums, etc., paid in computation of profits for purposes of this Chapter.
93.	Taxation of rents under long lease and certain other payments.
94.	Returns, etc.
95.	Restriction of section 24.

Chapter VII

Profits or Gains from Dealing in or Developing Land

96.	Interpretation.
97.	Extension of Schedule D charge to certain profits from dealing in or developing land.
98.	Computation under Case I of Schedule D of profits or gains from dealing in or developing land.
99.	Computation under Case IV of Schedule D of profits or gains from dealing in or developing land.
100.	Transfers of interests in land between certain associated persons.
101.	Tax to be charged under Case IV of Schedule D in relation to the sale of certain shares.
102.	Application of section 101 to sales of shares in holding companies.
103.	Provisions supplementary to sections 101 and 102.

Chapter VIII

Payment of Certain Rents Without Deduction of Tax

104.	Payment of certain rents without deduction of tax.

Chapter IX

Miscellaneous Provisions as to Schedule D

105.	Persons chargeable.
106.	Interest payable out of rates.
107.	Apportionment of profits.
108.	Limitation of deductions for certain taxes.

Part V

SCHEDULE E AND PRINCIPAL PROVISIONS RELATING THERETO

Chapter I

Charge to Tax, etc.

109.	Schedule E.
110.	Persons chargeable and extent of charge.
111.	Basis of assessment.
112.	Making of deductions.
113.	Appeal against amount of deduction.

Chapter II

Payments on Retirement, etc.

114.	Payments on retirement or removal from office or employment.
115.	Exemptions and reliefs in respect of tax under section 114.

Chapter III

Expenses Allowances and Benefits in Kind

116.	Expenses allowances.
117.	Benefits in kind.
118.	Valuation of benefits in kind.
119.	Meaning of “director”, “employment” and “employment to which this Chapter applies”.
120.	Additional information in returns under section 178.
121.	Application of this Chapter.
122.	Interpretation.
123.	Unincorporated bodies, partnerships and individuals.

Chapter IV

Income Tax in Respect of Certain Emoluments

Part VI

Differentiation and Graduation of Tax by means of Reliefs

134.	Earned income relief.
135.	Allowances from unearned income of persons aged sixty-five or upwards.
136.	Relief for small incomes.
137.	Deduction allowed in ascertaining taxable income.
138.	Personal relief.
139.	Person taking charge of children of widower, widow or married man living apart from wife.
140.	Relative taking charge of unmarried person's brother or sister.
141.	Children.
142.	Dependent relatives.
143.	Premiums on post-1916 insurances and certain other payments.
144.	Exemption where total income does not exceed £240, and marginal relief.
145.	Insurance against expenses of illness.
146.	General provisions relating to allowances, deductions and reliefs.
147.	Basis of assessing income under Schedule A.
148.	Partners, joint tenants: separate claims.
149.	Method of allowance.
150.	Total income where assessment reduced.
151.	Relief for premiums on pre-1916 insurances.
152.	Life assurance relief—general provisions.
153.	Non-residents.
154.	Relief for income accumulated under trusts.

Part VII

Administration

Part VIII

Returns and Assessment, Provision against Double Assessment, and Relief in Respect of Error or Mistake

Chapter I

Returns and Assessment

167.	General notice to deliver lists and statements.
168.	Particular notice to persons chargeable.
169.	Returns by persons chargeable.
170.	Persons acting for incapacitated persons and non-residents.
171.	Notice to persons coming into district.
172.	Power to require return of income.
173.	Power to obtain information as to fees, commissions, etc.
174.	Power to require production of accounts and books.
175.	Power to obtain information as to interest paid or credited without deduction of tax.
176.	Delivery of lists by persons in receipt of income of others.
177.	Lists of lodgers and inmates.
178.	Lists of employees.
179.	Service of notice on new residents in district.
180.	Making of assessments under Schedules A and B.
181.	Making of assessments under Schedules D and E.
182.	Granting of allowances and reliefs.
183.	Aggregation of assessments.
184.	Assessment in absence of return.
185.	Functions of assessors.
186.	Additional assessments.
187.	Particulars of sums to be collected.
188.	Loss or destruction of assessments and other documents.
189.	Amendment of statutory forms.

Chapter II

Provision Against Double Assessment and Relief in Respect of Error or Mistake

190.	Double assessment.
191.	Error or mistake.

Part IX

Special Provisions as to Married Persons, Non-residents, Temporary Residents, Bodies of Persons, Incapacitated Persons, etc.

Chapter I

Special Provisions as to Married Persons

192.	General rule as to tax on husbands and wives.
193.	Personal reliefs on exercise of option for separate assessments.
194.	Collection from wife of tax assessed on husband attributable to her income.
195.	Right of husband to disclaim liability for tax on deceased wife's income.
196.	Married woman living with husband.
197.	Separate assessments to income tax.
198.	Separate assessments to sur-tax.

Chapter II

Special Provisions as to Non-residents and Temporary Residents

199.	Persons temporarily resident outside the State.
200.	Non-residents: assessment.
201.	Non-residents: profits from agencies, etc.
202.	Non-residents: control over residents.
203.	Non-residents: charge on percentage of turnover.
204.	Non-residents: merchanting profit.
205.	Non-residents: restrictions on chargeability.
206.	Temporary residents.

Chapter III

Special Provisions as to Bodies of Persons, Incapacitated Persons, Trustees and Agents, Personal Representatives and Receivers

207.	Bodies of persons.
208.	Trustees, guardians and committees.
209.	Liability of trustees, etc.
210.	Liability of parents, guardians and personal representatives.
211.	Assessment of personal representatives.
212.	Receivers appointed by the court.
213.	Protection for trustees, agents and receivers.

Part X

Special Provisions as to Assurance Companies and Investment Businesses

214.	Relief for expenses of management.
215.	Foreign assurance companies: investment income.
216.	Companies carrying on life assurance business.
217.	Liability of assurance companies.

Part XI

Industrial and Provident Societies

218.	Interpretation.
219.	Deduction as expenses of certain sums, etc.
220.	Disregard of profits or losses attributable to certain transactions.
221.	Payment of interest without deduction of tax.

Part XII

Special Provisions as to Pensions, Pension Schemes, Retirement Annuities and Purchased Life Annuities

Chapter I

Superannuation

222.	Exemption of superannuation funds.
223.	Contributions towards expenses of superannuation benefits.
224.	Contributions and benefits under Social Welfare Acts.
225.	Liability of certain pensions, etc., to tax.

Chapter II

Retirement and Other Benefits for Directors and Employees

226.	Interpretation.
227.	Charge to tax in respect of provision for retirement or other benefits to directors and employees of bodies corporate.
228.	Exemptions from charge under section 227.
229.	Approval of retirement benefits schemes.
230.	Aggregation and severance of schemes.
231.	Certain amounts deemed to be income.
232.	Application of section 434 to certain payments.
233.	Allowance of contributions as deduction, etc.
234.	Delivery of particulars of retirement benefits schemes, etc.

Chapter III

Retirement Annuities

235.	Retirement annuities (relief for premiums).
236.	Nature and amount of relief for qualifying premiums.
237.	Taxation of assurance companies doing annuity business.
238.	Supplementary provisions.

Chapter IV

Purchased Life Annuities

239.	Capital element in certain purchased annuities.
240.	Supplementary provisions.

Part XIII

Wear and Tear and Obsolescence

241.	Wear and tear of machinery, plant, etc.
242.	Machinery out of use during national emergency.
243.	Obsolescence.

Part XIV

Relief for certain Expenditure on Scientific Research, on Mining Development and on the Purchase of New Ships

Chapter I

Allowances for Expenditure on Scientific Research

244.	Allowance for scientific research.

Chapter II

Allowances for Capital Expenditure on Mine Development

245.	Allowance for mining development.

Chapter III

Allowances for Capital Expenditure on the Purchase of New Ships

246.	Shipping investment allowances.
247.	Provisions relating to wear and tear and obsolescence.
248.	Application of section 241 (3).
249.	Meaning of “basis period”.
250.	Withdrawal of shipping investment allowance.

Part XV

Initial Allowances for certain Capital Expenditure on Machinery and Plant and on Industrial Buildings and Structures

Chapter I

Machinery and Plant: Initial Allowances

251.	Initial allowances.
252.	Application of section 241 (2) (3) (5).
253.	Application to professions.

Chapter II

Industrial Buildings and Structures: Industrial Building Allowance

254.	Industrial building allowance.
255.	Meaning of “industrial building or structure”.
256.	Meaning of “expenditure on construction of building or structure”.
257.	Expenditure on preparing site.
258.	Commencement of sections 255 (1) (b), 255 (2), 256 (b) (c) and 257.
259.	Appeals.

Chapter III

Miscellaneous and General

260.	“Capital expenditure” under sections 251 and 254.
261.	Date on which expenditure incurred.
262.	Meaning of “basis period”.

Part XVI

Annual Allowances for Certain Capital Expenditure on Industrial Buildings and Structures, on Machinery and Plant, on Patents and on Dredging

Chapter I

Industrial Buildings and Structures: Annual Allowances and Balancing Allowances and Charges

263.	Interpretation.
264.	Annual allowances.
265.	Balancing allowances and balancing charges.
266.	Writing off of expenditure and meaning of “residue of expenditure”.
267.	Manner of making allowances and charges.
268.	Meaning of “the relevant interest”.
269.	Special provisions in regard to leases.
270.	Temporary disuse of building or structure.

Chapter II

Machinery and Plant: Balancing Allowances and Charges

Chapter III

Patents: Annual Allowances and Balancing Allowances and Charges

Chapter IV

Dredging: Initial and Annual Allowances

294.	Allowances for expenditure on dredging.

Chapter V

Miscellaneous and General

Part XVII

Relief for Expenditure on Training of Local Staff before Commencement of Trading

305.	Training of local staff before commencement of trading.

Part XVIII

Allowance for Expenditure on Production of Certain Commodities

306.	Expenditure on production of certain commodities.

Part XIX

Losses

Chapter I

Relief for Losses

Chapter II

Treatment of Capital Allowances

317.	Interpretation.
318.	Option to treat as creating or augmenting loss.
319.	Extent to which allowances to be taken into account.
320.	Effect of giving relief.
321.	Grant of relief before passing of annual Act.
322.	Application to professions, etc.

Chapter III

Payments by Companies to Associated Companies in Respect of Losses

323.	Interpretation.
324.	Treatment of deficiency payments as trading receipts and trading expenses.
325.	Meaning of “deficiency”.
326.	Adjustment of assessments in certain cases.
327.	Method of giving effect to this Chapter.
328.	Restriction of relief for losses of auxiliary companies.

Part XX

Relief to Investigators in Irish Securities

Chapter I

Stocks, Shares, and Securities of Companies other than Manufacturing Companies

329.	Relief to investors.
330.	Restriction of section 329.
331.	Shares, etc., deemed to be issued for public subscription.

Chapter II

Stocks, Shares, and Securities of Manufacturing Companies

332.	Relief to investors.

Part XXI

Charitable and other Exemptions

333.	Rents of property belonging to hospitals and other charities.
334.	Lands owned and occupied, and trades carried on, by charities.
335.	Friendly societies.
336.	Trade unions.
337.	Savings Bank.
338.	Relief for income from investments under Social Welfare Act, 1952.
339.	Repayment claims.
340.	Military and other pensions, gratuities and allowances.
341.	Exemption of Commonwealth representatives.
342.	Exemption of consular representatives.
343.	Exemption of harbour authorities.
344.	Exemption of interest on certain deposits.
345.	Exemption of interest on certain securities.
346.	Exemption of sweepstake profits.
347.	Carrying out of voluntary health schemes-deeming not to be trade.
348.	Exemption of profits of agricultural societies.
349.	Exemption of bodies established for promotion of athletic or amateur games or sports.
350.	Exemption of profits from lotteries.
351.	Exemption of sewers.
352.	Exemption of air raid protection works.
353.	Exemption of income from scholarships.
354.	Exemption of children's allowances.

Part XXII

Relief from Double Taxation

Part XXIII

Purchase and Sale of Securities

367.	Application of Part XXIII.
368.	Dealers in securities.
369.	Persons entitled to exemptions.
370.	Traders other then dealers in securities.

Part XXIV

Purchases of Shares by Financial Concerns and Persons Exempted from Tax and Restriction on Relief for Losses by Repayment of Tax in case of Dividends paid out of Accumulated Profits

371.	Purchases of shares by financial concerns and persons exempted from tax.
372.	Restriction on relief for losses by repayment of tax in case of dividends paid out of accumulated profits.

Part XXV

Temporary Relief from Taxation

Chapter I

Profits from Trading Within Shannon Airport

373.	Definitions.
374.	Exempted trading operations.
375.	Disregard of profits or losses in the case of exempted trading operations.
376.	Transactions between associated persons.
377.	Delivery of statements, etc.
378.	Exemption from Chapter IV.
379.	Reduction of certain deductions.
380.	Dividends.
381.	Provision for annual payments and patent royalties.

Chapter II

Profits of Certain Mines

Chapter III

Profits from Coal-Mining Operations

393.	Definitions.
394.	General restriction on relief.
395.	Relief-existing coal-mining operations.
396.	Dividends.
397.	Appeals.

Chapter IV

Profits from Export of certain Goods

Part XXVI

Appeals

415.	Prohibition on alteration of assessment except on appeal.
416.	Appeals against assessment.
417.	Provision as to appeals.
418.	Power of Special Commissioners to order payment of tax in assessments under appeal.
419.	Agreement as to amount of tax not in dispute on an appeal against an assessment.
420.	Publication of reports of cases stated.
421.	Procedure on appeals.
422.	Power to issue precepts.
423.	Objection by inspector to schedules.
424.	Confirmation and amendment of assessments.
425.	Questions as to assessments or schedules.
426.	Summoning and examination of witnesses.
427.	Determination of liability in cases of default.
428.	Statement of case for High Court.
429.	Appeal to Circuit Court.
430.	Extension of section 428.
431.	Communication of decision of Special Commissioners.
432.	Making of claims, etc., and appeals and rehearings.

Part XXVII

Annual Payments

433.	Yearly interest, etc., payable wholly out of taxed profits.
434.	Interest, etc., not payable out of taxed profits.
435.	Annual payment payable out of dividend from which income tax is not deductible or is deductible at reduced rate.
436.	Payments subject to deduction for local rates.
437.	Disputes between tenants, landlords and others.

Part XXVIII

Special Provisions for Taxation of Settlors, etc., in respect of Settled or Transferred Income

Chapter I

Revocable Dispositions, Dispositions for Short Periods and Certain Dispositions in Favour of Children

438.	Income under revocable dispositions.
439.	Income under dispositions for short periods.
440.	Income of dispositions in favour of infants.
441.	Recovery of tax from trustee and payment to trustee of excess tax recoupment.
442.	Definitions.

Chapter II

Settlements on Children Generally

443.	Income settled on children.
444.	Irrevocable instruments.
445.	Meaning of “irrevocable instrument”.
446.	Recovery of tax from trustee and payment to trustee of excess tax recoupment.
447.	Definitions.
448.	Transfer of interests in trade to children.

Chapter III

Transfers of Income Arising from Securities

449.	Transfer of right to receive interest.

Part XXIX

Income Tax in Relation to Administration of Estates

450.	Interpretation.
451.	Limited interests in residue.
452.	Absolute interests in residue.
453.	Supplementary provisions as to absolute interests in residue.
454.	Special provisions as to certain interests in residue.
455.	Adjustments and furnishing of information.

Part XXX

Irish Dividends, etc.

Chapter I

General Provisions as to Dividends

456.	Deductions of tax from dividends.
457.	Amount of dividend from which deduction is to be made.

Chapter II

Explanation of Income Tax Deducted to be Annexed to Dividend and Interest Warrants

458.	Annexation of statement to warrants.

Part XXXI

Foreign Dividends, etc.

459.	Definitions.
460.	Dividends entrusted for payment in State.
461.	Dividends paid outside State and proceeds of sale of dividend coupons.
462.	Exemption of dividends of non-residents.

Part XXXII

Government and other Public Loans

Part XXXIII

Collection

476.	Collection of tax in public offices.
477.	Time for payment of tax.
478.	Issue of demand notes and receipts.
479.	Collection by means of stamps.
480.	Distraint.
481.	Collection and recovery of tax under Schedules A and B.
482.	Priority of tax over other debts.
483.	Commitment of defaulter to prison.
484.	Duty of employer as to tax payable by employees.
485.	Recovery by sheriff or county registrar.
486.	Power of Collector and authorised officers to sue.
487.	Continuance of pending proceedings.
488.	High Court proceedings.
489.	Evidence in proceedings for recovery of tax.
490.	Form of execution order in High Court or Circuit Court.
491.	Recovery of moneys due.
492.	Judgement for recovery of tax.
493.	Duration of imprisonment for non-payment of tax.
494.	Recovery of tax charged on profits not distrainable.
495.	Proceedings against a collector or his sureties.

Part XXXIV

Repayment

496.	Repayment for interest paid to banks, discount houses, etc.
497.	Rate of tax at which repayments are to be made.
498.	Limit of time for repayment claims.

Part XXXV

Penalties and Assessments

499.	Application of Part XXXV.
500.	Penalties for failure to make certain returns, etc.
501.	Penalty for fraudulently or negligently making incorrect returns, etc.
502.	Provisions supplementary to section 501.
503.	Increased penalties in the case of body of persons.
504.	Proceedings against executor or administrator.
505.	Penalty for assisting in making incorrect return, etc.
506.	Evidence of income for purposes of Part XXXV.
507.	Failure to act within required time.
508.	Recovery of penalties.
509.	Definitions.
510.	Proceedings for certain penalties.
511.	Time limit for recovery of fines and penalties.
512.	Mitigation and application of fines and penalties.
513.	Power to add penalties to assessments.
514.	Saving for criminal proceedings.
515.	Fine for obstruction of officers in execution of duties.
516.	Penalty for false statement made to obtain allowance.
517.	Time for certain summary proceedings.
518.	False evidence: punishment as for perjury.
519.	Limitation of penalties on officers employed in execution of Act.
520.	Refusal to allow deduction of tax.
521.	Admissibility of statements and documents in criminal and tax proceedings.

Part XXXVI

Sur-tax, Sur-tax on Undistributed Income of Certain Companies and Deductions of Sur-tax from Emoluments

Chapter I

Sur-Tax

522.	Charge to sur-tax.
523.	Deduction in charging sur-tax.
524.	Method of estimating income for sur-tax purposes.
525.	Sur-tax to be charged on consideration for certain restrictive covenants, etc.
526.	Assessment, collection and recovery of sur-tax.
527.	Delivery of particulars.
528.	Estimation of certain amounts.
529.	Payment of reduced amount of sur-tax pending determination of appeal.

Chapter II

Sur-Tax on Undistributed Income of Certain Companies

530.	Undistributed income of companies.
531.	Protection for companies which transmit accounts to the Special Commissioners.

Chapter III

Deduction of Sur-Tax from Emoluments

532.	Deduction of sur-tax from emoluments.

Part XXXVII

Miscellaneous

533.	Rules as to delivery of statements.
534.	Income tax assessment to be conclusive in estimation of total income.
535.	Restriction on deductions in computing profits.
536.	Execution of warrants and precepts.
537.	Effect of want of form, error, etc., on assessments, charges, warrants and other proceedings.
538.	Exemption of appraisements and valuations from stamp duty.
539.	Delivery of books and papers relating to tax.
540.	Criminal proceedings against collector.
541.	Proof that person is a commissioner or officer.
542.	Delivery, service and evidence of notices and forms.
543.	Laying of regulations before Oireachtas.
544.	Clergymen and ministers of religion: deduction.
545.	Assessment of Electricity Supply Board.
546.	Charge of tax in relation to source not producing income.
547.	Relief for certain gifts.
548.	Relief for houses occupied by clergymen and ministers of religion.
549.	Unremittable income.
550.	Interest on overdue tax.
551.	Effect on interest of reliefs given by discharge or repayment.
552.	Commencement of sections 550 and 551.
553.	Allowance to owner of mineral rights for expenses.

Part XXXVIII

Commencement, Repeals, Savings, Temporary and Transitional Provisions and Short Title

554.	Commencement and repeals.
555.	Extent to which Act is to apply to years before 1967-68.
556.	Saving for enactments not repealed.
557.	Meaning of “Collector” in sections 187, 188, 478, 480 to 482, 484 to 489, 494, 519, 542 and 550 and Schedule 2, Rule 6.
558.	Former employees of railway company.
559.	Construction of references.
560.	Continuance of officers; instruments and documents.
561.	Short title.

Acts Referred to
Adoption Act, 1952	1952, No. 25
Air-raid Precautions Act, 1939	1939, No. 21
Aliens Act, 1935	1935, No. 14
Army Pensions (Increase) Act, 1949	1949, No. 28
Army Pensions Act, 1923	1923, No. 26
Army Pensions Act, 1927	1927, No. 12
Army Pensions Act, 1932	1932, No. 24
Army Pensions Act, 1937	1937, No. 15
Army Pensions Act, 1953	1953, No. 23
Assurance Act, 1867	1867, c. 144
Assurance Companies Act, 1909	1909, c. 49
Central Fund Act, 1965	1965, No. 4
Charities Act, 1961	1961, No. 17
Companies Act, 1963	1963, No. 33
Cork City Management (Amendment) Act, 1941	1941, No. 5
Court Officers Act, 1945	1945, No. 25
Enforcement of Court Orders Act, 1926	1926, No. 18
Courts of Justice Act, 1924	1924, No. 10
Customs-free Airport Act, 1947	1947, No. 5
Dairy Produce Marketing Act, 1961	1961, No. 1
Defence Act, 1954	1954, No. 18
Intestates' Estates Act, 1890	1890, c. 29
Intestates' Estates Act, 1954	1954, No. 12
Finance (Miscellaneous Provisions) Act, 1956	1956, No. 47
Finance (Profits of Certain Mines) (Temporary Relief from Taxation) Act, 1956	1956, No. 8
Finance Act, 1894	1894, c. 30
Finance Act, 1919	1919, c. 32
Finance Act, 1920	1920, c. 18
Finance Act, 1922	1922, c. 17
Finance Act, 1923	1923, No. 21
Finance Act, 1926	1926, No. 35
Finance Act, 1928	1928, No. 11
Finance Act, 1934	1934, No. 31
Finance Act, 1940	1940, No. 14
Finance Act, 1941	1941, No. 14
Finance Act, 1948	1948, No. 12
Finance Act, 1949	1949, No. 13
Finance Act, 1950	1950, No. 18
Finance Act, 1955	1955, No. 13
Finance Act, 1958	1958, No. 25
Finance Act, 1959	1959, No. 18
Finance Act, 1960	1960, No. 19
Finance Act, 1962	1962, No. 15
Finance Act, 1965	1965, No. 22
Gaming and Lotteries Act, 1956	1956, No. 2
Government Loans (Conversion) Act, 1951	1951, No. 12
Griffith Settlement Act, 1923	1923, No. 5
Income Tax Act, 1918	1918, c. 40
Industrial and Commercial Property (Protection) Act, 1927	1927, No. 16
Insurance Act, 1936	1936, No. 45
Interpretation Act, 1937	1937, No. 38
Landed Property Improvement (Ireland) Act, 1847	1847, c. 32
Limerick City Management Act, 1934	1934, No. 35
Local Government (Dublin) Act, 1930	1930, No. 27
Local Government Act, 1946	1946, No. 24
MacSwiney (Pension) Act, 1950	1950, No. 30
Minerals Development Act, 1940	1940, No. 31
Pensions Act, 1952	1952, No. 27
Petty Sessions (Ireland) Act, 1851	1851, c. 93
Pigs and Bacon (Amendment) Act, 1961	1961, No. 14
Post Office Act, 1908	1908, c. 48
Post Office Savings Bank Act, 1861	1861, c. 14
Preferential Payments in Bankruptcy (Ireland) Act, 1889	1889, c. 60
Public Hospitals Act, 1933	1933, No. 18
Rent Restrictions Act, 1960	1960, No. 42
Social Welfare Act, 1952	1952, No. 11
Stamp Duties Management Act, 1891	1891, c. 38
Voluntary Health Insurance Act, 1957	1957, No. 1
Waterford City Management Act, 1939	1939, No. 25
Finance Act, 1964	1964, No. 15

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Number 6 of 1967.

INCOME TAX ACT, 1967.

AN ACT TO CONSOLIDATE ENACTMENTS RELATING TO INCOME TAX AND SUR-TAX, INCLUDING CERTAIN ENACTMENTS RELATING ALSO TO CORPORATION PROFITS TAX. [8th March, 1967.]

BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:—

PART I

Interpretation and Preliminary

Chapter I

Interpretation

Interpretation generally.

1.—(1) In this Act, except so far as is otherwise provided or the context otherwise requires—

“annuity fund” means, where an annuity fund is not kept separately from the life assurance fund of an assurance company, such part of the life assurance fund as represents the liability of the company under its annuity contracts, as stated in its periodical returns under the Assurance Companies Act, 1909;

“assessable income” in the case of any income other than earned income means the amount of that income as estimated in accordance with the provisions of this Act;

“assurance company” means any persons or bodies of persons to which the Assurance Companies Act, 1909, applies;

“body of persons” means any body politic, corporate, or collegiate, and any company, fraternity, fellowship and society of persons, whether corporate or not corporate;

“Clerk to the Special Commissioners” means the person for the time being authorised by the Special Commissioners to act as such;

“Collector” means the Collector-General appointed under section 162;

“commencement of this Act” means the 6th day of April, 1967: being the date on which, subject to and in accordance with section 554 , this Act comes into force;

“county rate” has the meaning assigned to it by section 12 of the Local Government Act, 1946 ;

“foreign life assurance fund” means any fund representing the amount of the liability of an assurance company in respect of its life assurance business with policy-holders and annuitants residing outside the State whose proposals were made to, or whose annuity contracts were granted by, the company at or through a branch or agency outside the State, and, where such a fund is not kept separately from the life assurance fund of the company, means such part of the life assurance fund as represents the liability of the company under such policies and annuity contracts; such liability being estimated in the same manner as it is estimated for the purposes of the periodical returns of the company under the Assurance Companies Act, 1909;

“incapacitated person” means any infant or person of unsound mind;

“inspector” means an inspector of taxes appointed under section 161;

“life assurance business” includes the business of granting annuities;

“local authority” means—

(a) the corporation of a county or other borough,

(b) the council of a county, or

“municipal rate” has the meaning assigned to it by section 46;

“the National Debt Commissioners” has the meaning assigned to it by section 31 of the Finance Act, 1940 ;

“profession” includes vocation;

“rating authority” means—

(a) the corporation of a county or other borough,

(b) the council of a county, or

“relative” includes any person of whom the person claiming a deduction had the custody and whom he maintained at his own expense while that person was under the age of sixteen years;

“repealed enactments” has the meaning assigned to it by section 554 (1);

“Special Commissioners” has the meaning assigned to it by section 156;

“standard rate of tax” means the full rate of income tax charged for the year;

“statute” has the meaning assigned to it by section 3 of the Interpretation Act, 1937 ;

“tax” means income tax or sur-tax;

“taxable income” has the meaning assigned to it by section 137 (1);

“trade” includes every trade, manufacture, adventure or concern in the nature of trade;

“year of assessment” means, with reference to any tax, the year for which such tax was imposed by any Act imposing duties of income tax.

“the year 1967-68” means the year of assessment beginning on the 6th day of April, 1967, and any corresponding expression in which two years are similarly mentioned means the year of assessment beginning on the 6th day of April in the first mentioned of those two years.

(2) References in this Act to any enactment shall, unless the context otherwise requires, be construed as references to that enactment as amended or extended by any subsequent enactment.

(3) 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.

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

(5) So much of this Act as relates to corporation profits tax shall be construed together with Part V of the Finance Act, 1920, and the enactments amending or extending that Part.

Earned income.

2.—(1) Subject to subsection (2), in this Act “earned income” means, in relation to any individual—

(a) any income arising in respect of any remuneration from any office or employment of profit held by the individual, or in respect of any pension, superannuation, or other allowance, deferred pay, or compensation for loss of office, given in respect of the past services of the individual or of the husband or parent of the individual in any office or employment of profit, or given to the individual in respect of the past services of any deceased person, whether the individual or husband or parent of the individual shall have contributed to such pension, superannuation allowance, or deferred pay, or not; and

(b) any income from any property which is attached to or forms part of the emoluments of any office or employment of profit held by the individual; and

(c) any income which is charged under Schedule B or Schedule D, and is immediately derived by the individual from the carrying on or exercise by him of his trade or profession, either as an individual, or, in the case of a partnership, as a partner personally acting therein.

In cases where the profits of a wife are deemed to be profits of the husband, any reference in this subsection to the individual includes either the husband or the wife.

(2) Without prejudice to the generality of subsection (1), in this Act, save so far as otherwise expressly provided, “earned income” includes—

(a) any income arising in respect of Civil List pensions granted under the Civil List Act, 1837, as amended by any subsequent enactment;

(b) any payments of benefits which, by virtue of section 224 (4), are deemed to be emoluments to which Chapter IV of Part V applies;

(c) in considering whether any, and if so what, relief is to be granted to an individual under section 134 or under section 138 (3), any income from patent rights (as defined in section 284) arising to an individual where the patent was granted for an invention actually devised by him, whether alone or jointly with any other person;

(d) in the case of a clergyman or minister of any religious denomination who has made such an election as respects the annual value of the house occupied by him as is provided for by section 548, any sum which falls to be treated as earned income of his by virtue of that election;

(e) any annuity made payable to an individual by the terms of an annuity contract or trust scheme for the time being approved by the Revenue Commissioners for the purposes of Chapter III of Part XII, to the extent to which such annuity is payable in return for any amount on which relief is given under section 236; and

(f) any payment which is chargeable to tax under Schedule E by virtue of section 114;

Provided that in the case of income from any such patent rights as are mentioned in paragraph (c), where any part of the rights in question or of any rights out of which they were granted has at any time belonged to any other person, so much only of the said income shall be deemed to be earned income as is not properly attributable to the rights which have belonged to that other person.

“Income Tax Acts”.

3.—In any enactment passed after this Act “the Income Tax Acts” shall mean this Act and every other enactment relating to income tax or sur-tax.

Chapter II

Preliminary

Charge; Schedules.

4.—Where any Act enacts that income tax shall be charged for any year at any rate, the tax at that rate shall, subject to the provisions of this Act, be charged for that year in respect of all property, profits, or gains respectively described or comprised in the Schedules contained in the sections of this Act enumerated below, that is to say—

Schedule A — Section 9;

Schedule B — Section 30;

Schedule C — Section 47;

Schedule D — Section 52; and

Schedule E — Section 109,

and in accordance with the provisions of this Act respectively applicable to those Schedules.

Yearly assessments.

5.—Every assessment and charge to tax shall be made for a year commencing on the 6th day of April and ending on the following 5th day of April.

Fractions of twenty shillings.

6.—The due proportion of tax shall be charged for every fractional part of twenty shillings but no tax shall be charged of a lower denomination than one penny.

Enactments in force for any year to apply to tax for succeeding year.

7.—In order to ensure the collection in due time of tax which may be imposed for any year commencing on the 6th day of April, all such provisions contained in this Act, or in any other Act relating to tax, as were in force on the preceding day, shall have full force and effect with respect to tax which may be so imposed, in the same manner as if the said tax had been actually imposed by Act of the Oireachtas and the said provisions had been applied thereto by the Act.

Charge and deduction of tax not charged or deducted before passing of annual Act.

8.—(1) Where in any year of assessment any half-yearly or quarterly payments have been made on account of any interest, dividends or other annual profits or gains, previously to the passing of the Act imposing the tax for that year, and tax has not been charged thereon or deducted therefrom, or has not been charged thereon or deducted therefrom at the rate ultimately imposed for the said year, the amount not so charged or deducted shall be charged under Case IV of Schedule D in respect of those payments, as profits or gains not charged by virtue of any other Schedule, and the agents entrusted with the payment of the interest, dividends or other annual profits or gains shall furnish to the Revenue Commissioners a list containing the names and addresses of the persons to whom payments have been made and the amount of those payments, upon a requisition made by the Commissioners in that behalf.

(2) Any person liable to pay any rent, interest or annuity, or to make any other annual payment, shall be authorised to make any deduction on account of tax for any year of assessment which he has failed to make previously to the passing of the Act imposing the tax for that year, or to make up any deficiency in any such deduction which has been so made, on the occasion of the next payment of the rent, interest or annuity, or making of the other annual payment after the passing of the Act so imposing the tax, in addition to any other deduction which he may be by law authorised to make, and shall also be entitled, if there is no future payment from which the deduction may be made, to recover the sum which might have been deducted as if it were a debt due from the person as against whom the deduction could originally have been made if the Act imposing tax for the year had been in force.

PART II

Schedules A and B

Chapter I

Schedule A

Schedule A.

9.—The Schedule referred to in this Act as Schedule A is as follows—

Schedule A

1. Tax under this Schedule shall be charged in respect of the property in all lands, tenements and hereditaments in the State, for every twenty shillings of the annual value thereof.

2. Paragraph 1 does not apply to lands, tenements and hereditaments the property in which, by virtue of section 53, is charged under Schedule D, Case I.

Estimation of Annual Value

Annual value for Schedule A.

10.—(1) This section applies, save as otherwise provided in this Part, to the annual value of all property with reference to which tax under Schedule A is to be charged.

(2) The annual value of all property shall, except in the cases mentioned in the subsequent provisions of this section, be five-fourths of the rateable valuation of the property for the time being.

(3) The annual value of lands and of farmhouses and farm buildings occupied with lands for the purpose of farming such lands shall be the rateable valuation thereof for the time being.

(4) The annual value of all property situate in the County Borough of Waterford shall be the rateable valuation of the property for the time being.

(5) Where the annual value with reference to which tax is to be charged on any property in pursuance of subsection (2) includes (when computed in accordance with that subsection) a fraction of one pound which is not five shillings or a multiple of five shillings, such fraction of one pound may—

(a) where it exceeds ten shillings, be reduced, for the purpose of such computation of such annual value, to the next lower multiple of five shillings, or

(b) where it exceeds five shillings but is less than ten shillings, be reduced, for the purpose aforesaid, to five shillings, or

(6) Where, in pursuance of subsection (2), tax has been charged for any year of assessment on property with reference to an annual value computed in accordance with that subsection, and the valuation of the property in force in that year of assessment for the purposes of the county rate or the municipal rate is subsequently reduced, and the reduction becomes operative for the purposes of the county rate or the municipal rate not more than three years after the end of that year of assessment, the Revenue Commissioners, if they are of opinion that relief in respect of the said tax so charged for that year of assessment should be granted with reference to an annual value computed at five-fourths of the said valuation as so reduced, may grant such relief by repayment or otherwise.

Owner-occupied private residence.

11.—(1) Where an individual claims in the manner prescribed by this Act and proves that he is the owner of any property to which, but for this section, section 10 (2) would apply and that he occupies it exclusively for the purposes of his own residence, then—

(a) section 10 (2) shall not apply in relation to the property,

(b) the annual value of the property under Schedule A shall, subject to the provisions of this Part, be its rateable valuation for the time being, and

(c) if tax has been charged in respect of the relevant property otherwise than in accordance with this section, any tax overpaid shall be repaid.

(2) Property shall be deemed to be occupied exclusively for the purposes of his own residence by an individual referred to in subsection (1) where it is mainly occupied by him for such purposes and no part thereof is occupied for the purposes of a trade but a part thereof is occupied for the purposes of a profession.

Newly-built houses.

12.—For the purpose of ascertaining, in the case of a house or building rated for the first time, the annual value with reference to which tax is, in pursuance of this Part, to be charged under Schedule A, the valuation with reference to which the house or building is so rated shall be deemed to have been in force for the year of assessment during which the house or building first becomes occupied, but subject to any relief which may be necessary in respect of that part (if any) of the said year during which the house or building was not occupied.

Assessment by reference to annual rent.

13.—(1) In the event of an appeal by a person who considers himself aggrieved by any assessment under Schedule A, if it is proved to the satisfaction of the Special Commissioners by whom the appeal is heard, or the Judge by whom the appeal is reheard, that the annual value on which the assessment is based exceeds the annual rent at which the property in respect of which the assessment is made is worth to be let from year to year, relief shall be given by reducing the assessment and charging the tax on the amount on which it would have been charged if that rent had been adopted as the basis of the assessment instead of such annual value.

(2) If such annual rent at which the property is worth to be let from year to year exceeds the actual rent payable yearly by the tenant or occupier, the landlord or immediate lessor shall be assessed and charged, under Schedule A, on the amount of such actual rent only, and the tenant or occupier shall be assessed and charged under Schedule A on the difference.

(3) Where an inspector or such other officer as the Revenue Commissioners may appoint in that behalf is of opinion that the annual value with reference to which an assessment of tax is made on any property in pursuance of section 10 (2) exceeds the annual rent at which the property is worth to be let from year to year, he may, notwithstanding that there has been no appeal against the assessment and notwithstanding section 416 (6), at any time before the end of the year of assessment grant relief by reducing the assessment and charging the tax on the amount on which it would, in his opinion, have been charged if it had been assessed with reference to the said annual rent instead of the said annual value, and the assessment as so reduced shall be final and conclusive for all purposes.

(4) Where a person who receives rent in respect of any property which is exempt from being rated to the county rate, or which is assessable to the municipal rate on a proportion only of the rateable valuation, is liable to be rated in respect of that rent to the extent of one-half the poundage of any county rate or is liable to be assessed in respect of that rent to the municipal rate on a proportion only of the rateable valuation, the tax under Schedule A shall be assessed and charged upon him upon the full amount of that rent.

Persons Chargeable

Persons chargeable.

14.—Tax under Schedule A shall be charged upon the landlord or immediate lessor of the property, but may, if it appears to the inspector to be necessary or proper, be charged upon the person rated to the county rate or the municipal rate in respect of the property.

Separate assessments under Schedule A or Schedule B in certain cases.

15.—(1) Where a person—

(a) during any part of a year of assessment, whether alone or jointly with another person or persons in the circumstances set out in subsection (2), or

(b) during the whole of any year of assessment, jointly as aforesaid,

is entitled to any estate or interest in property in respect of which he would be assessable separately or with the other person or persons under Schedule A or Schedule B, if he, or he and the other person or persons, were entitled to that estate or interest for the whole of the year, he shall be separately assessed under Schedule A or under Schedule B, as the case may be, in respect of his estate or interest, or his part of the estate or interest, in the property for the part or whole of the year on the appropriate proportion of the annual or assessable value.

(2) The circumstances in which subsection (1) is to apply to a person being entitled to an estate or interest in property jointly with another person or persons are that he has that estate or interest as a coparcener, joint tenant, tenant in common or tenant of lands or tenements in partnership.

(3) Where a person to whom this section applies is liable to bear part of an annual payment reserved out of or charged on the relevant property, that part shall, for the purposes of section 433, be regarded as being payable as a reservation out of or charge on the estate or interest, or the part of the estate or interest, in respect of which he is assessed under this section.

(4) In this section—

“annual payment” means any payment from which, apart from any insufficiency of profits or gains of the person making it, tax is deductible under section 433.

Diplomatic representatives.

16.—Tax to be charged in respect of any house or tenement occupied by the accredited diplomatic representative of any foreign State shall be charged on and paid by the landlord or person immediately entitled to the rent of the house or tenement.

Mortgagees in possession.

17.—Any mortgagee in possession of the property mortgaged shall be liable to the like deduction as any landlord, and in any settlement of accounts between such mortgagee and the mortgagor, tax payable on interest due in respect of the mortgage shall be allowed as money received on account of interest.

Right of persons by whom tax is paid to recoupment in certain cases.

18.—(1) A tenant occupier of any property who pays the tax shall, subject to section 93 (2), be entitled to deduct and retain in respect of the rent payable to the landlord for the time being (all sums allowed by virtue of this Act being first deducted), an amount representing the rate or rates of tax in force during the period through which the said rent was accruing due for every twenty shillings thereof, the said deduction to be made out of the first payment thereafter made on account of rent, and any receiver on behalf of the State or other person receiving the rent shall allow the deduction on receipt of the residue of the rent:

Provided that a tenant or occupier shall not be entitled to deduct out of the rent any greater sum than the amount of tax charged in respect of such property as aforesaid, and actually paid by him.

(2) A tenant who pays the tax shall be acquitted and discharged of so much money as is represented by the deduction, as if that sum had been actually paid as rent.

(3) Where any property is subject to the payment of any annual sum, whether payable half-yearly or at any shorter or more distant period, a landlord or owner who has been charged to tax under this Schedule or from whom tax is deductible under this subsection or subsection (1), shall subject to section 93 (2), be entitled on making such payment to deduct and retain thereout so much of the said tax as represents the rate or rates of income tax in force during the period through which the said payment was accruing due, for every twenty shillings thereof (the just proportion of any sums allowed by virtue of this Act being first deducted), and every receiver on behalf of the State, and every person to whom such payment is made shall, on receipt of the residue thereof, and without any charge for so doing, allow the deduction:

Provided that no such person as aforesaid who is also a tenant or the occupier of the property shall be entitled to deduct out of any rent any greater sum than the amount of tax charged in respect of any such property and actually paid by him.

In this subsection “annual sum” means any yearly interest, annuity, rent, rentcharge, fee farm rent or other annual payment reserved or charged upon any property.

(4) The landlord or owner shall be acquitted and discharged of so much money as is represented by the deductions as if that sum had been actually paid.

(5) Where under the Landed Property Improvement (Ireland) Act, 1847, or any Acts amending that Act, an advance of public money to promote the improvement of lands has been made by way of loan, and the repayment thereof has been secured by a rentcharge upon the lands to be paid for a term of years, by which the principal sum advanced will eventually be repaid with interest, the person paying any such rentcharge may deduct and retain thereout so much of the tax under Schedule A charged in respect of the lands, as represents the tax on one-third, and no more, of the amount payable at the rate or rates of tax in force during the period through which the payment was accruing due; and the collectors and receivers of such rentcharges shall allow such deduction upon receipt of the residue of such rentcharge then due.

(6) A tenant occupier for the time being of any property who has been required to pay, and has paid, any sums charged in respect thereof under Schedule A which, under the provisions of this Act, ought to have been or ought to be paid by a former tenant or occupier, may deduct and retain out of any subsequent payment of rent to his landlord, the sum, or any part thereof, which ought to have been or ought to be so paid.

(7) As between the owner and a mortgagee of his property or any person having a charge thereon or entitled to any ground rent, rentcharge, annuity, or other annual sum payable thereout, the owner's right of deduction under this section in respect of tax shall not be affected by any relief afforded under section 23.

Occupier.

19.—Every person having the use of any property shall be deemed to be the occupier thereof.

Deductions and Allowances

Allowance in case of ecclesiastical or collegiate body.

20.—(1) An allowance shall be made under Schedule A in respect of the amount expended during the year preceding the year of assessment on repairs of any collegiate church or chapel, or chancel of a church, or of any college or hall in any university of the State, by any ecclesiastical or collegiate body, or by any person bound to repair the same.

(2) The allowances granted under this section may be granted to the body or person therein described in one sum, either by deduction from the assessment, if any, on such body or person, or by repayment.

Allowance for drainage and other rates and expenditure on sea walls.

21.—(1) An allowance shall be made under Schedule A in respect of—

(a) the amount charged on property by a public rate or assessment in respect of draining, fencing, or embanking;

(b) the amount expended by the landlord or owner of lands on an average of the twenty-one preceding years, in the making or repairing of sea walls or other embankments necessary for the preservation or protection of the lands against the encroachment or overflowing of the sea or any tidal river, although the sums expended may not have been charged on the lands by a public rate or assessment.

(2) The allowances granted under this section shall (unless the payments to which they relate, or any part thereof, be made by a tenant) be made from the assessment on the property concerned.

Procedure and time-limits for claims under preceding provisions.

22.—(1) The person entitled to any of the foregoing allowances which have not been made by way of deduction or abatement from the assessment and which may be made by repayment, may claim the allowance at any time within six years after the expiration of the year of assessment, by notice in writing to the inspector.

(2) The inspector on proof that the claimant is entitled to the allowance shall certify the particulars and amount thereof to the Special Commissioners, who shall issue an order for repayment.

Repairs allowance.

23.—(1) Where tax is charged upon annual value estimated otherwise than by relation to profits, the following provisions shall have effect:—

(a) in the case of an assessment on any lands or on any farmhouse or farm buildings occupied together with any lands for the purpose of farming such lands, the amount of the assessment shall, for the purposes of collection, be reduced by a sum equal to one-eighth part thereof; and

(b) in the case of an assessment upon any premises being industrial buildings or structures within the meaning of section 255, the amount of the assessment shall, for the purposes of collection, be reduced—

(i) where the owner is occupier or chargeable as landlord, or where a tenant is occupier and the landlord undertook to bear the cost of repairs, by a sum equal to one-third of that amount; and

(ii) where a tenant is occupier and undertook to bear the cost of repairs, by such a sum, not exceeding one-third of that amount, as may be necessary to reduce it to the amount of rent payable by him.

(2) Where the amount of the assessment in a case to which subsection (1) (a) applies is more than one-eighth, or in a case to which subsection (1) (b) applies is more than one-third below the rent, after deducting from such rent any outgoing which should by law be deducted in making the assessment, the reductions referred to in subsection (1) shall not be made.

Allowance for maintenance, repairs, insurance and management.

24.—(1) If the owner of any property the assessment on which is reduced under section 23 for the purposes of collection shows that the cost to him of maintenance, repairs, insurance, and management, according to the average of the preceding five years, has exceeded, in a case to which section 23 (1) (a) applies, one-eighth part of the annual value of the land as adopted under Schedule A and, in a case to which section 23 (1) (b) applies, one-third part of that value, he shall be entitled in addition to any reduction of the assessment for the purposes of collection, on making a claim for the purpose, to repayment of the amount of the tax on the excess:

Provided that—

(a) no repayment of tax shall be made under this subsection in respect of the cost of maintenance, repairs, insurance or management, if or to such extent as that cost has been otherwise allowed as a deduction in computing income for the purposes of income tax; and

(b) a claimant shall not be entitled to relief under this subsection in respect of any income the tax on which he is entitled to charge against any other person, or to deduct, retain or satisfy out of any payment which he is liable to make to any other person.

(2) In comparing, for the purpose of this section, the cost of maintenance, repairs, insurance, and management of any land or houses with the annual value of the land or houses, the total cost of the maintenance, repairs, insurance and management on any land managed as one estate, or of any houses on any such land, shall be compared with the total annual value of the land or houses, as the case may be.

(3) The provisions of Schedule 4 and of paragraph IX of Schedule 18 shall apply to claims for repayment under this section:

Provided that if the owner of any land or house makes and delivers to the inspector a declaration as to the cost to him of maintenance, repairs, insurance, and management, and the inspector is satisfied as to the correctness of the declaration, the amount of the allowance to which the owner is entitled under this section shall be certified by the inspector, and repayment shall thereupon be made in accordance with his certificate.

(4) In computing the five-year average for the purposes of this section, the year shall be taken to be the year ending on the 31st day of March, or such other date as may be adopted by the owner of the land or houses with the consent of the inspector, and the five preceding years shall be taken to be those preceding the commencement of the year for which the tax in respect of which a claim for repayment is made is charged.

(5) For the purposes of this section “maintenance” shall include the replacement of farmhouses, farm buildings, cottages, fences, and other works where the replacement is necessary to maintain the existing rent.

Maintenance relief for small properties.

25.—Where the Revenue Commissioners are satisfied, in respect of any house or building of which the annual value ascertained in accordance with section 10 does not exceed six pounds five shillings, that—

(a) such house or building is bona fide let to a tenant, and

(b) the cost of the repairs, maintenance, and insurance of such house or building is borne by the landlord or immediate lessor, and

(c) the annual income derived by the said landlord or immediate lessor from such house or building, taking one year with another, after making allowances for the cost to him of the said repairs, maintenance, and insurance is less than the annual value ascertained as aforesaid of such house or building,

the Revenue Commissioners may grant such relief, by repayment or otherwise, as is just.

Loss by flood or tempest.

26.—(1) Where land has been demised at a reserved rent, without fine or other sum paid or contracted for in lieu of a reserved rent, and loss has been sustained on the growing crops or stock on the lands, or the lands or any part of them have been rendered incapable of cultivation for any year, by reason of flood or tempest, the inspector, on proof to him that the owner has, in consideration of any such loss, allowed or agreed to allow, to the tenant an abatement of the whole or any part of the rent reserved or payable for any year of the term, may in like proportion make an abatement in the assessment under Schedule A for the year for which the abatement of rent has been made, and discharge therefrom the corresponding proportion of tax.

(2) Where any such loss is sustained on lands in the occupation of the owner, the inspector may, on proof of the loss, make the like abatement and discharge of tax under Schedule A as might have been made if the land had been demised to a tenant, and the owner had made such abatement of rent proportionate to the loss sustained as the inspector considers would or ought to have been made in respect of such loss.

Universities, colleges, hospitals, schools and almshouses.

27.—The following further allowances shall be made under Schedule A—

(a) the amount of the tax charged on any college or hall in any university of the State, in respect of the public buildings and offices belonging to the college or hall, so far as not occupied by any individual member thereof or by any person paying rent for the same:

(b) the amount expended on repairs of the public buildings and offices of any such college or hall, and of the gardens, walks, and grounds for recreation, repaired and maintained by the funds of the college or hall:

(c) the amount of the tax charged on any hospital, public school, or almshouse, in respect of the public buildings, offices, and premises belonging thereto, and so far as not occupied by any individual officer or the master thereof whose total annual income, however arising, estimated in accordance with this Act, amounts to £150 or more, or by a person paying rent for the same:

(d) the amount expended on repairs of any such hospital, public school, or almshouse, and of the offices belonging thereto, and of the gardens, walks, and grounds used for the sustenance or recreation of the hospitallers, scholars and almsmen respectively, which are repaired and maintained by the funds of the hospital, public school or almshouse:

(e) the amount of the tax charged on any building being the property of any literary or scientific institution, and used solely for the purposes of that institution, in which no payment is made or demanded for any instruction there afforded by lectures or otherwise, and so far as not occupied by an officer of the institution or by any person paying rent for the same.

Allowance for rates paid by landlord.

28.—In assessing tax chargeable under Schedule A on the landlord or immediate lessor—

(a) if the amount or annual value, on which the assessment is made, is not less than the annual rent reserved or payable to him for the property in respect of which the assessment is made, an allowance or abatement shall be made in respect of the amount of the county rate or the proportion applicable to the relief of the poor of the municipal rate paid or borne by him for the same property in the preceding year; and

(b) if the amount or annual value on which the assessment is made is less than the said rent, an allowance or abatement shall be made of the sum by which the amount of the county rate or of the proportion applicable to the relief of the poor of the municipal rate, added to the sum on which the assessment is made, exceeds that rent.

Repayment of tax in respect of lost rent.

29.—(1) If any landlord or immediate lessor of any property charged to tax under Schedule A has paid the same and proves to the satisfaction of the Special Commissioners, that the rent, or any part thereof, due or payable to him in respect of that property, for the period for which that tax was charged, has been wholly and irrecoverably lost by reason of—

(a) the bankruptcy, insolvency, or absconding of the tenant or occupier by whom such rent was payable; or

(b) the fraudulent assignment or removal of his goods by the said tenant or occupier; or

he shall be entitled to be repaid such proportion of the said tax as he shall have paid in respect of the rent so lost; and the Special Commissioners shall issue an order for repayment, in like manner as in other cases of repayment.

(2) Any such claim for repayment shall be made within one year after the expiration of the year of assessment.

Chapter II

Schedule B

Schedule B.

30.—The Schedule referred to in this Act as Schedule B is as follows:—

1. Tax under this Schedule shall be charged in respect of the occupation of all lands, tenements and hereditaments in the State chargeable to tax under Schedule A, except—

(a) any dwelling-house, or the domestic offices thereunto belonging, unless occupied, by virtue of one and the same demise, together with a farm of lands, or with a farm of tithes, for the purpose of farming the same; or

(b) any warehouse or other building occupied for the purpose of carrying on a trade or profession.

2. Tax under this Schedule shall be charged for every twenty shillings of the assessable value of the lands, tenements or hereditaments concerned.

In this Act “assessable value” means in relation to tax under this Schedule an amount equal to the annual value of the lands, tenements and hereditaments, or, in any case in which it is proved to the satisfaction of the Special Commissioners that any person occupying any lands and assessed to tax in respect thereof is not occupying those lands for the purpose of husbandry only, or mainly for those purposes, and the Minister for Agriculture and Fisheries on a reference to him by the Revenue Commissioners does not certify that the use of the lands by the occupier thereof for a purpose other than the purpose of husbandry is unreasonable, an amount equal to one-third of the annual value.

3. The tax to be charged under this Schedule shall be in addition to the tax to be charged under Schedule A.

Annual value for Schedule B.

31.—(1) The annual value of lands for the purposes of Schedule B shall, subject to subsection (2), be the rateable valuation of the lands for the time being.

(2) The said annual value shall be taken to be—

(a) the judicial rent fixed under the Land Law (Ireland) Acts or any of them; or

(b) the annual interest or payment payable to the Irish Land Commission in lieu of rent under the Land Purchase Acts or any of them; or

in any case in which it is shown that the said judicial rent, annual interest or payment, or purchase annuity, as the case may be, is less than the rateable valuation.

(3) Section 13 (1) shall apply in relation to an assessment under Schedule B as it applies to Schedule A.

(4) In this section “purchase annuity” means the first or original annuity payable before any redemption or statutory reduction.

Persons chargeable.

32.—(1) Tax under Schedule B shall be charged upon the occupier of the property.

(2) Every person having the use of any property shall be deemed to be the occupier thereof.

Assessment of certain profits derived from the keeping of a stallion.

33.—Where a person who is the occupier of land in respect of the occupation of which he is assessed under Schedule B is also the owner or part owner of a stallion which is ordinarily kept on such land, profits derived by such person from fees received or receivable for the service by such stallion on such land of mares owned by other persons shall be deemed, for the purposes of this Act, to arise from the occupation of such land.

Husbandry: election to be charged under Schedule D.

34.—(1) Any person occupying lands for the purposes of husbandry only may elect to be assessed and charged under Schedule D, and in accordance with the provisions applicable thereto, instead of under this Schedule.

(2) The election of any such person shall be signified by notice in writing delivered personally or sent by post in a registered letter to the inspector within two months after the commencement of the year of assessment; and from and after the receipt of the notice the charge upon him for that year shall be under Schedule D, and the profits or gains arising to him from the occupation of the lands shall for all purposes be deemed to be profits or gains of a trade chargeable under that Schedule.

Husbandry: profits falling short of assessable value.

35.—If a person who occupies, either as owner or otherwise, any lands for the purposes of husbandry only, shows within a period of one year after the end of any year of assessment to the satisfaction of the Special Commissioners that the profits or gains arising from that occupation during that year fell short of the assessable value of the lands under this Schedule, the income arising from that occupation shall be taken at the actual amount of those profits or gains, and if the whole of the tax has been paid, the amount overpaid shall be certified and repaid in like manner as tax is repaid under section 22 (2).

Woodlands.

36.—(1) Any person occupying woodlands, who proves to the satisfaction of the Special Commissioners that those woodlands are managed by him on a commercial basis and with a view to the realisation of profits, may elect to be assessed and charged to tax in respect of those woodlands under Schedule D instead of under this Schedule in the same manner as a person occupying lands for the purposes of husbandry only, and section 34 shall apply accordingly.

(2) Any such election shall extend to all woodlands so managed on the same estate:

Provided that woodlands shall be treated for this purpose as being woodlands on a separate estate, if the person occupying those woodlands gives notice to the Special Commissioners within ten years after the time when they are planted or replanted.

(3) The election shall have effect, not only as respects the year of assessment, but also as respects all future years of assessment, so long as the woodlands are occupied by the person making the election.

Assessment of profits from occupation of land under Schedule D in certain other cases.

37.—(1) Where, for any year of assessment, a person to whom this section applies is chargeable to tax under Schedule B in respect of the occupation for the purposes of husbandry of any lands—

(a) the person shall when required to do so by a notice in writing served on him by an inspector prepare and deliver to the inspector, within the time limited by the notice, a statement of the profits or gains on which he would have been chargeable for the year of assessment if he had made an election in relation to the lands under section 34;

(b) where the person fails to deliver the statement, or where the Revenue Commissioners are not satisfied with the statement delivered by the person, the Revenue Commissioners may serve on the person a notice in writing or notices in writing requiring him to do any of the following things, that is to say—

(i) to deliver to an inspector copies of such accounts (including balance sheets) relating to the occupation of the lands as may be specified or described in the notice within such period as may be therein specified, including, where the accounts have been audited, a copy of the auditor's certificate,

(ii) to make available, within such time as may be specified in the notice, for inspection by an inspector or by any officer authorised by the Revenue Commissioners, all such books, accounts and documents in his possession or power as may be specified or described in the notice, being books, accounts and documents which contain information as to transactions related to the occupation of the lands;

(c) the inspector or other officer may take copies of, or extracts from, any books, accounts or documents made available for his inspection under the foregoing paragraph;

(d) where the person fails to do anything which he is required to do by a notice under paragraph (b), this Act shall apply as if he had duly made, under section 34, an election in relation to the lands by notice delivered immediately after the commencement of the year of assessment;

(e) where the person has delivered copies of accounts relating to the occupation of the lands and the Revenue Commissioners are of opinion that the accounts overstate the profits or gains arising from such occupation, the Revenue Commissioners may certify accordingly;

(f) where the Revenue Commissioners have given a certificate under the foregoing paragraph—

(i) this Act shall, subject to the next subparagraph, apply as if the person had duly made, under section 34, an election in relation to the lands by notice delivered immediately after the commencement of the year of assessment,

(ii) an appeal against the certificate shall, within twenty-one days after notification to the person of the giving of the certificate, lie to the Special Commissioners in like manner as an appeal would lie against an assessment to income tax and the provisions of this Act relating to appeals shall have effect accordingly.

(2) (a) This section applies to—

(i) a person carrying on in the year of assessment a trade or profession,

(ii) a person who, in the year of assessment, is a married person whose wife or husband carries on in that year a trade or profession, or

(iii) a person who, in the year of assessment, is a director of a company carrying on in that year a trade and is either the beneficial owner of, or able, either directly or through the medium of other companies or by any other means, to control, more than 25 per cent. of the ordinary share capital of the company,

subject to the proviso that a person who, apart from this proviso, would, by virtue of subparagraph (ii), be a person to whom this section applies shall not be such a person in a case in which the wife is not to be treated for income tax purposes as living with her husband.

(b) For the purposes of subparagraph (iii) of paragraph (a), ordinary share capital which is owned or controlled as referred to in the subparagraph by a person being the wife, the husband or an infant child of a director, or by the trustee of a trust for the benefit of a person or persons being or including any such person or such director, shall be deemed to be owned or controlled by such director and not by any other person.

“company” means a company within the meaning of the Companies Act, 1963 ;

“director” includes a person holding any office or employment under a company;

“ordinary share capital” means all the issued capital (by whatever name called) of a company, other than capital the holders whereof have a right to a dividend at a fixed rate or a rate fluctuating in accordance with the rate of income tax, but have no other right to share in the profits of the company.

Relief under Schedule B in case of loss by flood or tempest.

38.—Section 26, relating to relief in the case of losses caused by flood or tempest, shall apply in the case of Schedule B as in the case of Schedule A, and as respects land the proprietor of which is shown to the satisfaction of the Special Commissioners to be an incapacitated person, or to be otherwise incapable of consenting to an abatement of the rent, an abatement and discharge of tax under Schedule B may be allowed by the Special Commissioners on proof to them of the loss in respect of the abatement of rent which in their opinion ought to have been made.

Chapter III

General

Revenue Commissioners to be furnished with copies of rates.

39.—(1) For the purpose of assessing tax chargeable under Schedules A and B, the secretary, clerk, or person acting as such, to a rating authority shall, when required by the Revenue Commissioners, transmit to them, at the head office of the Revenue Commissioners in Dublin, true copies of the last county rate or municipal rate made by the authority for its rating area or any part thereof.

(2) The Revenue Commissioners shall pay to any such person the expenses of making all such copies, not exceeding the rate of two shillings and sixpence for every one hundred ratings.

(3) If any such person neglects to transmit such copies, after being required to do so by the Revenue Commissioners, he shall, for every such neglect, forfeit the sum of £50.

Production of valuations to inspector.

40.—(1) Every person shall, at the request of any inspector, or other officer acting in the execution of this Act, produce to him any survey or valuation on which the rates for any rating area, or part thereof, are assessed or made, or any rate or assessment made under any Act relating to the county rate or the municipal rate, which is in his custody or possession and permit the inspector or other officer to inspect the same and to take copies thereof, or extracts therefrom, without any payment.

(2) Any such person who, on such request, refuses to produce any survey, valuation, rate, or assessment which is in his custody or possession, or to permit the inspection thereof, or the taking of such copies thereof or extracts therefrom as the inspector or other officer may think fit, shall, for every such refusal, forfeit the sum of £50.

Power of Revenue Commissioners to direct revaluation.

41.—(1) If in any case it appears to the Revenue Commissioners that any rateable valuation which is for the time being in force is not correct (having reference to the principles according to which the valuation ought by law to have been made) with respect to all or any of the property included therein, they may direct the Commissioner of Valuation to make or cause to be made, for the purposes of tax, a revaluation of the property in accordance with the principles prescribed by law, and the Commissioner of Valuation shall, with all convenient speed, make the revaluation or cause it to be made accordingly, and shall sign and transmit the revaluation to the Revenue Commissioners.

(2) Tax chargeable under Schedules A and B shall, after any such revaluation, be assessed and charged in accordance therewith.

(3) A person assessed in accordance with any such revaluation may, if aggrieved thereby, appeal against the assessment on the ground that the revaluation is incorrect, and the Special Commissioners by whom the appeal is heard, or the Judge by whom the appeal is reheard, may alter the revaluation and the assessment, and make such an order with reference thereto, as they or he may think fit.

Unoccupied property.

42.—Tax under Schedules A and B shall be charged on all property, whether occupied at the time of assessment or not, but if any house is or becomes unoccupied for the year or for part of the year of assessment, the tax shall not be levied thereon during the period while it is so unoccupied, and the inspector, on proof of the period during which the house was unoccupied, shall upon appeal discharge the tax in respect of that period.

Savings with respect to actions of ejectment.

43.—An action of ejectment for non-payment of rent shall not be defeated on the ground that the person liable to pay the rent is entitled under this Act to a deduction which would reduce the amount due by him below a year's rent.

Relief to persons prevented from using their land.

44.—Where the Revenue Commissioners are satisfied that a person entitled to the ownership and occupation of any land was in any year of assessment prevented by trespass, intimidation, or the disturbed state of the neighbourhood from using and occupying such land, they shall have power to cause to be given such relief as is just and reasonable in those circumstances in respect of any tax payable with reference to such land under Schedule A or Schedule B for such year of assessment.

Relief to farming co-operative societies and farming trustees.

45.—Where the Revenue Commissioners are satisfied that any land is in the ownership and occupation of a co-operative society formed before the 6th day of April, 1927, for the acquisition of land to be divided amongst its members or of a body of trustees created before the 6th day of April, 1927, for the acquisition of land to Ibe divided amongst their cestuis-qui-trustent and the Revenue Commissioners are also satisfied that, having regard to the taxable income of the several individuals beneficially interested in such land, the collection of the tax assessed with respect to such land under Schedule A or Schedule B for any year would impose undue hardship on such individuals the Revenue Commissioners shall have power to cause to be given such relief as is just and reasonable in respect of such tax.

Definition of “the municipal rate”.

46.—In this Part “the municipal rate” means any rate which is—

(a) the rate leviable by the Right Honourable the Lord Mayor, Aldermen and Burgesses of Dublin under section 63 of the Local Government (Dublin) Act, 1930 , or

(b) the rate leviable by the Corporation of Dún Laoghaire under section 63 of the said Local Government (Dublin) Act, 1930 , or

(d) the rate leviable under section 24 of the Waterford City Management Act, 1939 , or

(e) the rate leviable under section 16 of the Cork City Management (Amendment) Act, 1941 , or

(f) the rate leviable under section 18 of the Local Government Act, 1946 .

PART III

Schedule C and Principal Provisions Relating Thereto

Schedule C.

47.—The Schedule referred to in this Act as Schedule C is as follows—

Schedule C

1. Tax under this Schedule shall be charged in respect of all profits arising from public revenue dividends payable in the State in any year of assessment.

2. Where a banker or any other person in the State, by means of coupons received from another person or otherwise on his behalf, obtains payment of any foreign public revenue dividends, tax under this Schedule shall be charged in respect of the dividends.

3. Where a banker in the State sells or otherwise realises coupons for any foreign public revenue dividends and pays over the proceeds of such realisation to or carries such proceeds to the account of any person, tax under this Schedule shall be charged in respect of the proceeds of the realisation.

4. Where a dealer in coupons in the State purchases coupons for any foreign public revenue dividends otherwise than from a banker or another dealer in coupons, tax under this Schedule shall be charged in respect of the price paid on the purchase.

5. Nothing in paragraph 1 shall apply to any annuities which are not of a public nature.

6. The tax under this Schedule shall be charged for every twenty shillings of the annual amount of the profits, dividends, proceeds of realisation or price paid on purchase charged.

Charge and payment.

48.—(1) Tax under Schedule C shall be charged by the commissioners designated for that purpose by this Act, and shall be paid on behalf of the persons entitled to the profits, dividends, proceeds of realisation or price paid on purchase which are the subject of the tax—

(a) in the case of tax charged under paragraph 1 of that Schedule, by the persons and bodies of persons respectively entrusted with payment;

(b) in the case of tax charged under paragraph 2, 3 or 4 of that Schedule, by the banker or other person or by the banker or by the dealer in coupons, as the case may be.

(2) The provisions of Schedule 1 shall have effect in relation to the assessment, charge and payment of tax under Schedule C.

Stocks of State and of foreign diplomats.

49.—(1) No tax shall be chargeable in respect of the stock, dividends or interest transferred to accounts in the books of the Bank of Ireland in the name of the Minister for Finance in pursuance of any statute, but the Bank of Ireland shall transmit to the Special Commissioners an account of the total amount thereof.

(2) No tax shall be chargeable in respect of the stock, dividends or interest belonging to the State in whatever name they may stand in the books of the Bank of Ireland.

(3) No tax shall be chargeable in respect of the stock, dividends or interest of an accredited diplomatic representative of any foreign State resident in the State:

Provided that if the same stand in the name of a trustee, the property therein of any such representative shall be proved by the trustee to the Special Commissioners.

Securities of foreign territories.

50.—(1) No tax shall be chargeable in respect of the dividends on any securities of any territory outside the State which are payable in the State, where it is proved to the satisfaction of the Revenue Commissioners that the person owning the securities and entitled to the dividends is not resident in the State; but, save as provided by this Act, no allowance shall be given or repayment be made in respect of the tax on the dividends on the securities of any such territory which are payable in the State:

Provided that where the securities of any such territory are held under any trust, and the person who is the beneficiary in possession under the trust is the sole beneficiary in possession and can, by means either of the revocation of the trust or of the exercise of any powers under the trust, call upon the trustees at any time to transfer the securities to him absolutely free from any trust, that person shall, for the purposes of this section, be deemed to be the person owning the securities.

(2) Relief under this section may be given by the Revenue Commissioners either by way of allowance or repayment on a claim being made to them for the purpose.

(3) Any person who is aggrieved by the decision of the Revenue Commissioners on any question as to residence arising under this section may, by notice in writing to that effect given to the Revenue Commissioners within two months from the date on which notice of the decision is given to him, make an application to have his claim for relief heard and determined by the Special Commissioners.

(4) Where an application is made under subsection (3), the Special Commissioners shall hear and determine the claim in like manner as an appeal made to them against an assessment and all the provisions of this Act relating to such an appeal (including the provisions relating to the rehearing of an appeal and to the statement of a case for the opinion of the High Court on a point of law) shall apply accordingly with any necessary modifications.

Definitions.

51.—In this Part—

“dividends”, except in the phrase “stock, dividends or interest”, means any interest, annuities, dividends or shares of annuities;

“public revenue”, except where the context otherwise requires, includes the public revenue of any Government whatsoever and the revenue of any public authority or institution in any country outside the State;

“public revenue dividends” means dividends payable out of any public revenue;

“foreign public revenue dividends” means dividends payable elsewhere than in the State (whether they are or are not also payable in the State) out of any public revenue other than the public revenue of the State;

“banker”includes a person acting as a banker;

“coupons” and “coupons for any foreign public revenue dividends” include warrants for or bills of exchange purporting to be drawn or made in payment of any foreign public revenue dividends.

PART IV

Schedule D

Chapter I

Charge to Tax and General

Schedule D.

52.—The Schedule referred to in this Act as Schedule D is as follows—

Schedule D

1. Tax under this Schedule shall be charged in respect of—

(a) the annual profits or gains arising or accruing—

(i) to any person residing in the State from any kind of property whatever, whether situate in the State or elsewhere; and

(ii) to any person residing in the State from any trade, profession or employment, whether carried on in the State or elsewhere; and

(iii) to any person, whether a citizen of Ireland or not, although not resident in the State, from any property whatever in the State, or from any trade, profession or employment exercised within the State; and

(iv) to any person, whether a citizen of Ireland or not, although not resident in the State, from the sale of any goods, wares, or merchandise, manufactured or partly manufactured by such person in the State.

(b) all interest of money, annuities and other annual profits or gains not charged under Schedule A, Schedule B, Schedule C or Schedule E, and not specially exempted from tax,

in each case for every twenty shillings of the annual amount of the profits or gains:

Provided that profits or gains arising or accruing to any person from an office, employment or pension shall not, by virtue of this paragraph, be chargeable to tax under this Schedule unless they are chargeable to tax under Case III of this Schedule.

2. The provisions of paragraph 1 are without prejudice to any other provision of this Act directing tax to be charged under this Schedule, and the tax so directed to be charged shall be charged accordingly.

The Cases.

53.—(1) Tax under Schedule D shall be charged under the following Cases:

Case I.—Tax in respect of—

(a) any trade not contained in any other Schedule;

(b) the property in the following lands, tenements and hereditaments—

(i) quarries of stone, slate, limestone or chalk, or quarries or pits of sand, gravel or clay;

(ii) mines of coal, tin, lead, copper, pyrites, iron and other mines;

(iii) ironworks, gasworks, salt springs or works, alum mines or works, waterworks, streams of water, canals, inland navigations, docks, drains or levels, fishings, rights of markets and fairs, tolls, railways and other ways, bridges, ferries and other concerns of the like nature having profits from or arising out of any lands, tenements or hereditaments;

Case II.—Tax in respect of any profession not contained in any other Schedule;

Case III.—Tax in respect of—

(a) any interest of money, whether yearly or otherwise, or any annuity, or other annual payment, whether such payment is payable within or outside the State, either as a charge on any property of the person paying the same by virtue of any deed or will or otherwise, or as a reservation out of it, or as a personal debt or obligation by virtue of any contract, or whether the same is received and payable half-yearly or at any shorter or more distant periods;

(b) all discounts;

(c) profits on securities bearing interest payable out of the public revenue other than such as are charged under Schedule C;

(d) interest on any securities issued or deemed within the meaning of section 466 to be issued, under the authority of the Minister for Finance, in cases where such interest is paid without deduction of tax;

(e) income arising from securities outside the State except such income as is charged under Schedule C;

(f) income arising from possessions outside the State;

Case IV.—Tax in respect of any annual profits or gains not falling under any of the foregoing Cases, and not charged by virtue of any other Schedule;

and subject to and in accordance with the provisions of this Act applicable to the said Cases respectively.

(2) The provisions of subsection (1) are without prejudice to any other provision of this Act directing tax to be charged under one or other of the said Cases, and the tax so directed to be charged shall be charged accordingly.

Market gardening.

54.—(1) In this section “market garden land” means land in the State occupied as a nursery or garden for the sale of the produce (other than land used for the growth of hops) and “market gardening” shall be construed accordingly.

(2) Notwithstanding anything in Schedule B, or in the provisions applicable thereto, market gardening shall, for all the purposes of this Act in relation to the person by whom it is carried on, be treated as a trade, and

(a) the profits or gains thereof shall be charged under Case I of Schedule D, and

(b) income tax shall not be charged under Schedule B in respect of the occupation of market garden land,

but where land is market garden land for part only of the year of assessment, tax shall be charged under Schedule B on that land for that year on so much of the assessable value of that land as bears to that value the same proportion as the remainder of that year bears to one year.

(3) Where part of property valued under the Valuation Acts as a unit is market garden land—

(a) the annual value of the market garden land, for the purposes of section 65 shall be arrived at by apportionment of the rateable valuation of the property,

(b) the assessable value for the purposes of any assessment under Schedule B in respect of the remainder of the property shall be arrived at by apportionment of the amount which would have been the assessable value of the property, for the purposes of Schedule B, if no part thereof had been market garden land, and

(c) any apportionment required by this subsection shall be made by the inspector according to the best of his knowledge and judgment.

(4) An apportionment made under subsection (3) may be amended by the Special Commissioners, or by the Circuit Court, on the hearing, or the rehearing, of an appeal against an assessment made on the basis of the apportionment, but, on the hearing, or the rehearing, of any such appeal, a certificate of the Commissioner of Valuation tendered by either party to the appeal and certifying, as regards property valued under the Valuation Acts as a unit, the amount of the rateable valuation of the property attributable to any part of the property, shall be conclusive as to the amount so attributable.

Interest, etc., paid without deduction of tax under Schedule C.

55.—(1) Where any interest, dividends, annuities or shares of annuities to which this section applies or the profits attached to any such interest, dividends or annuities fall to be charged under the provisions applicable to Schedule C but are in fact not assessed for any year under that Schedule, tax upon such interest, dividends, annuities, shares of annuities or profits may be charged and assessed on and shall be payable by the person entitled to receive such interest, dividends, or other annual payments for that year under the appropriate Case of Schedule D.

(2) This section applies to all interest, dividends, annuities and shares of annuities payable out of any public revenue of the State or out of any public revenue of Great Britain or of Northern Ireland or of Great Britain and Northern Ireland.

Tax on quarries, mines and other concerns.

56.—(1) The provisions of Chapter II shall apply in relation to the concerns which, by virtue of section 53, are chargeable under Case I (b) of Schedule D, subject to the provisions of this section.

(2) Tax under Case I of Schedule D shall be assessed and charged on the person or body of persons carrying on such concern, or on the agents or other officers who have the direction or management of the concern or receive the profits thereof.

(3) (a) The computation in respect of any mine carried on by a company of adventurers shall be made and stated jointly in one sum, but any adventurer may be assessed and charged separately if he makes a declaration of his proportion or share in the concern for that purpose.

(b) An adventurer so separately assessed and charged may set off against his profits from one or more of such concerns the amount of his loss sustained in any other such concern as certified by the inspector.

(c) In any such case one assessment and charge only shall be made on the balance of profit and loss, and shall be made in the assessment district where the adventurer is chargeable to the greatest amount.

(4) No deduction or set-off (other than the deduction granted by section 67 (2)) shall be allowed in estimating the profits on account of, or by reference to the annual value of any lands tenements or hereditaments occupied and used in connection with the concern and not separately assessed and charged under Schedule A in accordance with subsection (6).

(5) Part XXI shall be be construed and have effect as if any income tax chargeable under Schedule D in respect of any of the concerns to which subsection (1) relates were chargeable under Schedule A.

(6) In any case in which it appears to the Revenue Commissioners to be necessary or proper, the property in any of the concerns specified in section 53 as chargeable under Case I (b) may be assessed and charged under Schedule A instead of under Schedule D.

Save as aforesaid, tax under Schedule A shall not be charged in respect of the property in any such concern.

Chapter II

Cases I and II

Extent of charge.

57.—The tax under Cases I and II of Schedule D shall be charged without any other deduction than is by this Act allowed.

Basis of assessment.

58.—(1) Subject to the provisions of this section and sections 59 and 60, tax shall be charged under Case I or Case II of Schedule D on the full amount of the profits or gains of the year preceding the year of assessment.

(2) Where the trade or profession has been set up and commenced within the year of assessment, the computation of the profits or gains chargeable under Case I or Case II of Schedule D shall be made either on the full amount of the profits or gains arising in the year of assessment or according to the average of such period, not being greater than one year, as the case may require and as may be directed by the inspector.

(3) Any person chargeable with income tax in respect of the profits or gains of any trade or profession which has been set up and commenced within the year preceding the year of assessment shall be charged on the full amount of the profits or gains for one year from the time of such setting up and commencement, but shall be entitled, on giving notice in writing to the inspector within twelve months after the end of the year of assessment, to be charged to income tax on the amount of the profits or gains of the year of assessment.

(4) Any person chargeable with income tax in respect of the profits or gains of any trade or profession which has been set up and commenced within the year next before the year preceding the year of assessment shall be entitled, on giving notice in writing to the inspector within twelve months after the end of the year of assessment, to have the assessment reduced by the amount (if any) by which the aggregate amount of the respective assessments for the year of assessment and the year preceding that year exceed the total amount of the profits or gains of those two years.

(5) (a) Where in any year of assessment a trade or profession is permanently discontinued then, notwithstanding anything contained in this Act—

(i) the person charged or chargeable with tax in respect thereof shall be charged for that year on the amount of the profits or gains of the period beginning on the 6th day of April in that year and ending on the date of the discontinuance, subject to any deduction or set-off to which he may be entitled under section 308 or 309, and, if he has been charged otherwise than in accordance with this paragraph, any tax overpaid shall be repaid, or an additional assessment may be made upon him, as the case may require;

(ii) if the profits or gains of the year ending on the 5th day of April in the year preceding the year of assessment in which the discontinuance occurs exceed the amount on which the person has been charged for that preceding year, or would have been charged if no such deduction or set-off as aforesaid had been allowed, an additional assessment may be made upon him, so that he shall be charged for that preceding year on the amount of the profits or gains of the said year ending on the 5th day of April, subject to any such deduction or set-off as aforesaid to which he may be entitled.

(b) In the case of the death of a person who, if he had not died, would, under this subsection, have become chargeable to income tax for any year, the tax which would have been so chargeable shall be assessed and charged upon his executors or administrators, and shall be a debt due from and payable out of his estate.

(6) The reference in subsection (5) to the discontinuance of a trade or profession shall be construed as referring to a discontinuance occurring by reason of the death while carrying on such trade or profession of the person carrying on the same as well as to a discontinuance occurring in the lifetime of such person, and for the purposes of subsection (5) such death shall be deemed to cause a discontinuance and such discontinuance shall be deemed to take place on the day of such death.

Changes of proprietorship.

59.—(1) If at any time after the 5th day of April, 1965, a trade or profession which immediately before that time was carried on by an individual person (hereafter in this subsection referred to as the predecessor) becomes carried on by another individual person or by a partnership of persons (including a partnership in which the predecessor is a partner), the tax payable for all years of assessment by the predecessor shall be computed as if the trade or profession had been permanently discontinued at that time.

(2) If at any time after the 5th day of April, 1965, an individual person (hereafter in this subsection referred to as the successor) succeeds to a trade or profession which immediately before that time was carried on by another individual person or by a partnership of persons (including a partnership in which the successor was a partner), the tax payable for all years of assessment by the successor shall be computed as if he had set up or commenced the trade or profession at that time.

(3) In the case of the death of a person who, if he had not died, would, under the provision of this section, have become chargeable to income tax for any year, the tax which would have been so chargeable shall be assessed and charged upon his executors or administrators, and shall be a debt due from and payable out of his estate.

Period of computation of profits.

60.—(1) Where, in the case of any trade or profession or of the occupation of any land occupied solely or mainly for the purpose of husbandry or of the occupation of any woodlands, it has been customary to make up accounts:—

(a) if only one account was made up to a date within the year preceding the year of assessment, and that account was for a period of one year, the profits or gains of the year ending on that date shall be taken to be the profits or gains of the year preceding the year of assessment;

(b) if no account for a period of one year was made up to a date within the year preceding the year of assessment, or if more accounts than one were made up to dates within that year, the Revenue Commissioners shall decide what period of twelve months shall be deemed to be the year the profits or gains of which are to be taken to be the profits or gains of the year preceding the year of assessment.

(2) Where the Revenue Commissioners have given a decision under subsection (1) (b) and it appears to them that in consequence thereof the tax for the last preceding year of assessment in respect of the profits or gains from the same source should be computed on the profits or gains of a corresponding period, they may give directions to that effect and an assessment or additional assessment or repayment of tax shall be made accordingly.

(3) An appeal shall lie against any assessment or additional assessm