Finance Act, 1994
Person liable to pay tax in relation to certain supplies of immovable goods.
93.—The Principal Act is hereby amended by the insertion of the following section after section 4:
“4A. (1) Subject to the provisions of subsection (3), where tax is chargeable in respect of the letting of immovable goods which is deemed to be a supply of goods in accordance with section 4 and the lessee would, but for the operation of this section, have been entitled to claim a deduction under section 12 (1) (a) (i) for all the said tax borne in relation to that supply, the lessor shall not be liable to pay the said tax and, in that case, the lessee shall be liable to pay the said tax as if the lessee had supplied the goods in the course or furtherance of business.
(2) Where, in relation to a supply, the lessor and the lessee wish the provisions of subsection (1) to apply they shall—
(a) complete such application form as may be provided by the Revenue Commissioners for that purpose,
(b) certify the particulars shown on such form to be correct, and
(c) submit to the Revenue Commissioners the completed and certified application form, together with such further information in support of the application as may be requested by the said Commissioners.
(3) Where, in relation to a supply of goods referred to in subsection (1), the lessor and lessee have furnished the particulars referred to in subsection (2), the Revenue Commissioners shall, where they are satisfied that it is in order to apply the provisions in subsection (1) in relation to that supply, notify the lessor and the lessee by notice in writing that the provisions of subsection (1) are to be applied in relation to that supply.
(4) Where the provisions of subsection (1) apply in relation to a supply, the invoice issued by the lessor in accordance with section 17 shall show the following endorsement in lieu of the amount of tax chargeable:
‘In accordance with section 4A of the Value-Added Tax Act, 1972 , the lessee is liable for the value-added tax of £X.’,
and, in that endorsement, the lessor shall substitute the amount of tax chargeable in respect of that supply of goods for ‘£X’.
(5) Every notification received by a taxable person, which has been issued to that person by the Revenue Commissioners in accordance with subsection (3), shall be part of the records which that person is required to keep in accordance with section 16.
(6) For the purposes of this section, and subject to the direction and control of the Revenue Commissioners, any power, function or duty conferred or imposed on them may be exercised or performed on their behalf by an officer of the Revenue Commissioners.
(7) In this section—
‘lessee’ means the person who receives the goods referred to in subsection (1);
‘lessor’ means the person who supplies the goods referred to in subsection (1).”.