Finance Act, 1996

Amendment of Chapter VII (advance corporation tax) of Part I of the Finance Act, 1983 .

58.—(1) Chapter VII of Part I of the Finance Act, 1983 , is hereby amended—

(a) in section 44, by the substitution in subsection (5) for “apply for the purposes of that section” of “would apply for the purposes of that section if ‘resident in the State’ in paragraph (c) of the said subsection (6) were deleted”, and

(b) in subsection (1) of section 47—

(i) by the substitution for clause (I) of paragraph (a)(ii) of the following:

“(I) (A) of which the first-mentioned company is a 75 per cent. subsidiary, or

(B) which is a member of a consortium which owns the first-mentioned company,

and”,

and

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

“(d) For the purposes of paragraph (a) a company is owned by a consortium if three-quarters or more of the ordinary share capital of the company is beneficially owned between them by five or fewer companies of which none beneficially owns less than one-twentieth of that capital, and those companies are called members of the consortium.”.

(2) This section shall apply and have effect as respect dividends paid on or after the 23rd day of April, 1996.