Finance Act, 1992
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Amendment of section 73 (deduction from payments due to defaulters of amounts due in relation to tax) of Finance Act, 1988. |
241.— Section 73 of the Finance Act, 1988 , is hereby amended— | |
(a) in subsection (1) (b)— | ||
(i) by the substitution of the following definition for the definition of “the Acts”: | ||
“‘the Acts’ means— | ||
(i) the Customs Acts, | ||
(ii) the statutes relating to the duties of excise and to the management of those duties, | ||
(iii) the Tax Acts, | ||
(iv) the Capital Gains Tax Acts, | ||
(v) the Value-Added Tax Act, 1972 , and the enactments amending or extending that Act, | ||
(vi) the Capital Acquisitions Tax Act, 1976 , and the enactments amending or extending that Act, and | ||
(vii) the Stamp Act, 1891, and the enactments amending or extending that Act, | ||
and any instrument made thereunder;”, | ||
(ii) by the substitution of the following subparagraph for subparagraph (i) of the proviso to the definition of “debt”: | ||
“(i) where a relevant person is a financial institution, any amount or aggregate amount of money, including interest thereon, which at that time is a deposit held by the relevant person— | ||
(I) to the credit of the taxpayer for his sole benefit, or | ||
(II) to the credit of the taxpayer and any other person or persons for their joint benefit, | ||
shall be regarded as a debt due by the relevant person to the taxpayer at that time,”, | ||
(iii) by the insertion of the following additional proviso after the proviso to the definition of “debt”: | ||
“Provided also that, in the case of paragraph (i) of the preceding proviso, a deposit held by a relevant person which is a financial institution to the credit of the taxpayer and any other person or persons (hereafter referred to in this proviso as ‘the other party or parties’) for their joint benefit shall be deemed (unless evidence to the contrary is produced to the satisfaction of the relevant person within 10 days of the giving of the notices specified in paragraph (c) of subsection (2)) to be held to the benefit of the taxpayer and the other party or parties to the deposit equally and, accordingly, only the portion thereof so deemed shall be regarded as a debt due by the relevant person to the taxpayer at that time and where such evidence is produced within the specified time only so much of the deposit as is shown to be held to the benefit of the taxpayer shall be regarded as a debt due by the relevant person to the taxpayer at that time;”, | ||
and | ||
(iv) by the substitution of the following definition for the definition of “interest on unpaid tax”: | ||
“‘interest on unpaid tax’, in relation to a specified amount specified in a notice of attachment, means interest, that has accrued to the date on which the notice of attachment is given, under any provision of the Acts providing for the charging of interest in respect of the unpaid tax, including interest on an undercharge of tax which is attributable to fraud or neglect, specified in the notice of attachment;”, | ||
(b) in subsection (2)— | ||
(i) by the substitution of the following subparagraph for subparagraph (ii) of paragraph (a): | ||
“(ii) (I) the amount or aggregate amount, or | ||
(II) in a case where more than one notice of attachment is given to a relevant person or relevant persons in respect of a taxpayer, a portion of the amount or aggregate amount, | ||
of the taxes, interest on unpaid taxes and penalties in respect of which the taxpayer is in default at the time of the giving of the notice or notices of attachment (the said amount, aggregate amount, or portion of the amount or aggregate amount, as the case may be, being referred to in this section as ‘the specified amount’),”, | ||
(ii) by the insertion of the following additional proviso after the proviso to subparagraph (iii) (I) of paragraph (a): | ||
“Provided also that where the relevant person is a financial institution and the debt due by the relevant person to the taxpayer is part of a deposit held to the credit of the taxpayer and any other person or persons to their joint benefit the said return shall be made within a period of 10 days from— | ||
(A) the expiry of the period specified in the notices to be given under paragraph (c), or | ||
(B) the production of the evidence referred to in paragraph (c) (II).”, | ||
and | ||
(iii) by the insertion of the following paragraph after paragraph (b): | ||
“(c) Where a relevant person which is a financial institution is given a notice of attachment and the debt due by the relevant person to the taxpayer is part of a deposit held by the relevant person to the credit of the taxpayer and any other person or persons (hereafter in this paragraph referred to as ‘the other party or parties’) for their joint benefit, the relevant person shall, on receipt of the notice of attachment, give to the taxpayer and the other party or parties to the deposit a notice in writing in which is entered— | ||
(i) the taxpayer's name and address, | ||
(ii) the name and address of the person to whom a notice under this paragraph is given, | ||
(iii) the name and address of the relevant person, and | ||
(iv) the specified amount, and which states that— | ||
(I) a notice of attachment under this section has been received in respect of the taxpayer, | ||
(II) under this section, a deposit is deemed (unless evidence to the contrary is produced to the satisfaction of the relevant person within 10 days of the giving of the notice under this paragraph) to be held to the benefit of the taxpayer and the other party or parties to the deposit equally, and | ||
(III) unless such evidence is produced within the period specified in the notice given under this paragraph, a sum equal to the amount of the deposit so deemed to be held to the benefit of the taxpayer, and, accordingly, regarded as a debt due to the taxpayer by the relevant person, shall be paid to the Revenue Commissioners where that amount is equal to or less than the specified amount and where that amount is greater than the specified amount an amount equal to the specified amount shall be paid to the Revenue Commissioners.”, | ||
(c) in subsection (3), by the substitution of the following paragraph for paragraph (b): | ||
“(b) the Revenue Commissioners have given the taxpayer a notice in writing (whether or not the document containing the notice also contains other information being communicated by the Revenue Commissioners to the taxpayer), not later than 7 days before the date of the receipt by the relevant person or relevant persons concerned of a notice of attachment, stating that, if the amount is not paid, it may be specified in a notice or notices of attachment and recovered under this section from a relevant person or relevant persons in relation to the taxpayer.”, | ||
(d) in subsection (10), by the substitution in paragraph (b) of “amount or aggregate amount of the taxes, interest on unpaid taxes and penalties in respect of which the taxpayer is in default at the time of the giving of the notice or notices of attachment” for “specified amount”, and the said paragraph (b), as so amended, is set out in the Table to this section, | ||
and | ||
(e) by the deletion of subsection (17). | ||
TABLE | ||
(b) Where, in pursuance of this section, a relevant person pays any amount to the Revenue Commissioners out of a debt due by him to the taxpayer and, at the time of the receipt by the Revenue Commissioners of the said amount, the taxpayer has paid the amount or aggregate amount of the taxes, interest on unpaid taxes and penalties in respect of which the taxpayer is in default at the time of the giving of the notice or notices of attachment to the Revenue Commissioners, the first-mentioned amount shall be refunded by the Revenue Commissioners forthwith to the taxpayer. |