Finance (No. 2) Act 2008
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SCHEDULE 6 Miscellaneous Technical Amendments in Relation to Tax | ||
1. The Taxes Consolidation Act 1997 is amended— | ||
(a) in section 128C(2) by substituting “and for this purpose ‘employment’ includes a former or prospective employment, and ‘office’ includes a former or prospective office.” for “and for this purpose ‘employment’ includes a former or prospective employment.”, | ||
(b) in section 598(1)(a) in the definition of “the Scheme”— | ||
(i) in paragraph (i) by deleting “or” and in paragraph (ii) by inserting “or” at the end of that paragraph, and | ||
(ii) by inserting the following after paragraph (ii): | ||
“(iii) the Scheme of Early Retirement From Farming introduced by the Minister for Agriculture and Food for the purpose of implementing Council Regulation (EC) No. 1698/2005 of 20 September 2005 1 ;”, | ||
(c) in section 1078B(6) by inserting “or subsection (3) of section 908C” after “of section 905”, and | ||
(d) in Schedule 24A— | ||
(i) in Part 1— | ||
(I) by inserting the following after paragraph 25: | ||
“25A. The Double Taxation Relief (Taxes on Income) (Republic of Macedonia) Order 2008 ( S.I. No. 463 of 2008 ).”, | ||
(II) by inserting the following after paragraph 26: | ||
“26A. The Double Taxation Relief (Taxes on Income) (Malta) Order 2008 (S. I. No. 502 of 2008).”, | ||
(III) by inserting the following after paragraph 41: | ||
“41A. The Double Taxation Relief (Taxes on Income and Capital Gains) (Republic of Turkey) Order 2008 (S. I. No. 501 of 2008).”, | ||
and | ||
(IV) by inserting the following after paragraph 43: | ||
“43A. The Double Taxation Relief (Taxes on Income)(Socialist Republic of Vietnam) Order 2008 ( S.I. No. 453 of 2008 ).”, | ||
and | ||
(ii) in Part 3 by inserting the following: | ||
“1. The Exchange of Information relating to Tax Matters and Double Taxation Relief (Taxes on Income)(Isle of Man) Order 2008 ( S.I. No. 459 of 2008 ).”. | ||
2. The Stamp Duties Consolidation Act 1999 is amended— | ||
(a) by deleting section 49, and | ||
(b) in section 92B(8)(aa)(iv)(III) by substituting the following for subclause (E): | ||
“(E) since the date of execution of the conveyance or transfer, the conditions referred to in subsection (3)(b)(ii) or (4A), as the case may be, or the conditions referred to in subsection (1)(b)(ii) or (2A) of section 92, as the case may be, have been complied with and will be complied with for the remainder of the 2 year period referred to in the subsection that applies to the conveyance or transfer concerned,”. | ||
3. The Capital Acquisitions Tax Consolidation Act 2003 is amended in section 28(2)(a) by substituting “donee or successor’s” for “disponer’s”. | ||
4. The Value-Added Tax Act 1972 is amended— | ||
(a) in section 1(1)— | ||
(i) in the definition of “capital goods” by inserting “and includes refurbishment within the meaning of section 12E,” after “immovable goods”, | ||
(ii) in paragraph (a) of the definition of “exempted activity” by substituting “sections 4(6) and 4B(2) and subsections (2) and (6)(b) of section 4C” for “sections 4(6), 4B(2) and 4C(2)”, and | ||
(iii) in the definition of “freehold equivalent interest” by substituting “immovable goods, other than a freehold interest,” for “immovable goods other than a freehold interest”, | ||
(b) in section 4(8)(c)(ii) by inserting “This subparagraph shall not apply where the person who makes the surrender or assignment is obliged to issue a document in accordance with section 4C(8)(a) to the person to whom that surrender or assignment is made.” after “assignment.”, | ||
(c) in section 4B— | ||
(i) in subsection (2)— | ||
(I) by inserting “and section 4C(6)(a)” after “Subject to subsections (3), (5) and (7)”, | ||
(II) in paragraph (a), by inserting “within 20 years prior to that supply” after “developed”, | ||
(III) in paragraph (c)(ii)(II) by deleting “taxable”, and | ||
(IV) in paragraph (e)(ii)(II) by deleting “taxable”, | ||
and | ||
(ii) in subsection (5)— | ||
(I) by inserting “, subsection (2) or (6)(b) of section 4C” after “subsection (2)” in both places where it occurs, and | ||
(II) by inserting “(no later than the fifteenth day of the month following the month in which that supply occurs)” after “enter an agreement in writing”, | ||
(d) in section 4C— | ||
(i) in subsection (1)— | ||
(I) in paragraph (a) by inserting “, being completed immovable goods before 1 July 2008,” after “prior to 1 July 2008”, and | ||
(II) in paragraph (b)— | ||
(A) by substituting “section 4,” for “section 4”, and | ||
(B) by inserting “and the reversionary interest, within the meaning of section 4(9), on that interest until that interest is surrendered after 1 July 2008” after “held by a taxable person on 1 July 2008”, | ||
(ii) by inserting the following after subsection (1): | ||
“(1A) Where an interest to which subsection (1)(b) applies is surrendered, then, for the purposes of the application of section 12E in respect of the immovable goods concerned— | ||
(a) the total tax incurred shall include the amount of tax chargeable on the surrender in accordance with subsection (7) and shall not include tax incurred prior to the creation of the surrendered interest, and | ||
(b) the adjustment period shall consist of the number of intervals specified in subsection (11)(c)(iv) and the initial interval shall begin on the date of that surrender.”, | ||
(iii) in subsection (3)(c) by substituting “makes” for “creates”, | ||
(iv) in subsection (4) by substituting “or the most recent assignment” for “or the most recent assignment or surrender”, | ||
(v) in subsection (7)(b) by inserting “except for the amount of tax charged in respect of any development by the person who makes the assignment or surrender following the acquisition of this interest” after “subsection (11)(d)”, | ||
(vi) in subsection (8)(a)— | ||
(I) by inserting “to a taxable person” after “is assigned or surrendered”, and | ||
(II) in subparagraph (ii) by inserting “as determined in accordance with subsection (11)(c)(iv)” after “adjustment period”, | ||
(vii) by deleting paragraph (b) of subsection (9), | ||
(viii) in subsection (10) by inserting “but if that person develops the immovable goods and that development is a refurbishment, within the meaning of section 12E, that is completed on or after 1 July 2008, then these subsections shall not be disregarded in respect of that refurbishment” after “1 July 2008”, and | ||
(ix) in subsection (11)— | ||
(I) by substituting “to immovable goods” for “to immovable goods,”, | ||
(II) in paragraph (b) by substituting “developed” for “developed,”, | ||
(III) in paragraph (c)— | ||
(A) by inserting “or interests in immovable goods” after “in respect of immovable goods”, | ||
(B) in subparagraph (ii) by substituting “shorter,” for “shorter, or”, | ||
(C) in subparagraph (iii) by inserting “prior to 1 July 2008,” after “or surrender of an interest in immovable goods” and by substituting “shorter, or” for “shorter,”, and | ||
(D) by inserting the following after subparagraph (iii)— | ||
“(iv) in the case of— | ||
(I) the surrender or first assignment of an interest in immovable goods on or after 1 July 2008, the number of full years remaining in the adjustment period as determined in accordance with subparagraphs (ii) and (iii), plus one, or | ||
(II) the second or subsequent assignment of an interest in immovable goods after 1 July 2008, the number of full intervals remaining in the adjustment period as determined in accordance with clause (I), plus one, | ||
and this number shall thereafter be the number of intervals remaining in the adjustment period,”, | ||
(IV) in paragraph (d) by deleting “the most recent”, | ||
(V) in paragraph (e) by substituting “intervals” for “years”, | ||
(VI) in paragraph (h) by inserting “, but in the case of an interest which is assigned or surrendered on or after 1 July 2008, the second interval of the adjustment period shall have the meaning assigned to it by section 12E” after “second interval”, and | ||
(VII) in paragraph (j)— | ||
(A) in subparagraph (ii) by substituting “2008,” for “2008, and”, | ||
(B) in subparagraph (iii) by substituting “in respect of those capital goods in accordance with section 3(1)(e) or 4(3)(a)” for “in accordance with subsection (3) or section 4(3)(ab)” and by substituting “owner, and” for “owner,”, and | ||
(C) by inserting the following after subparagraph (iii)— | ||
“(iv) where an adjustment of deductibility has been made in respect of the capital good in accordance with subsection (3) or section 4(3)(ab), the amount ‘T’ in the formula in section 4(3)(ab),”, | ||
(e) in section 7A— | ||
(i) in subsection (1)(d)(ii)— | ||
(I) in clause (I) by inserting “which shall not be earlier than the date of that agreement” after “the date of termination”, and | ||
(II) in clause (II) by inserting “which shall not be earlier than the date that notification is received by the tenant” after “the date of termination”, | ||
and | ||
(ii) in subsection (2)— | ||
(I) in paragraph (a)— | ||
(A) by substituting “Subject to paragraphs (b) and (c), a landlord” for “A landlord”, and | ||
(B) in subparagraph (i) by deleting “subject to paragraph (b),”, | ||
and | ||
(II) in paragraph (b) by inserting “and subsection (1)(d)(iii)” after “Paragraph (a)(i)”, | ||
(f) in section 7B(3) by substituting “makes or has made” for “has made”, | ||
(g) in section 8— | ||
(i) in subsection (1B)(b) by inserting “to whom section 531(1) of the Taxes Consolidation Act 1997 applies” after “where a principal”, | ||
(ii) in subsection (5A) by inserting the following after paragraph (c)— | ||
“(d) This subsection does not apply to immovable goods acquired or developed on or after 1 July 2008.”, | ||
and | ||
(iii) in subsection (8)(d) by inserting “has not exercised the landlord’s option to tax in accordance with section 7A in respect of the letting of those immovable goods at the time of the cessation or” after “then, if that landlord”, | ||
(h) in section 12— | ||
(i) in subsection (1)(a)(iv) by substituting “section 5(3)(c)” for “section 5(3)(d)”, and | ||
(ii) in subsection (4)(a) in the definition of “dual-use inputs” by inserting “, or services related to the development of immovable goods that are subject to the provisions of section 12E” after “be made”, | ||
(i) in section 12E— | ||
(i) in subsection (3)(b)(ii)(I) by substituting “section 4B(2) or subsection (2) or (6)(b) of section 4C” for “section 4B(2)”, and | ||
(ii) in subsection (10) by substituting “section 4B(2) or subsection (2) or (6)(b) of section 4C” for “section 4B(2)”, | ||
and | ||
(j) in section 13(3)(b) by substituting “paragraph (f) or (g) of subsection (1A), or subsection (1B)(b) or (2), of section 8” for “section 8(2)”. | ||
5. The Finance Act 2001 is amended in section 116(5) by substituting “section 99(3)” for “section 99(1)(b)”. | ||
6. The Finance Act 2008 is amended— | ||
(a) in section 5— | ||
(i) in paragraph (d)(ii) by substituting “and” for “or”, | ||
(ii) in paragraph (f) by substituting “and” for “or”, and | ||
(iii) in paragraph (g) by substituting “and” for “or”, | ||
and | ||
(b) by deleting section 108 and deeming it never to have had effect. | ||
7. (a) As respects paragraph 1— | ||
(i) subparagraph (a) is deemed to have come into force and have taken effect as on and from 31 January 2008, | ||
(ii) subparagraph (b) is deemed to have come into force and have taken effect as respects a disposal of an asset on or after 13 June 2007, and | ||
(iii) subparagraphs (c) and (d) have effect as on and from the passing of this Act. | ||
(b) Paragraph 2 has effect as on and from the passing of this Act. | ||
(c) Paragraph 3 is deemed to have come into force and have taken effect as on and from 21 February 2003. | ||
(d) Paragraph 4 has effect as on and from the passing of this Act. | ||
(e) Paragraph 5 has effect as on and from the passing of this Act. | ||
(f) As respects paragraph 6— | ||
(i) subparagraph (a) is deemed to have come into force and have taken effect as on and from 13 March 2008, and | ||
(ii) subparagraph (b) has effect as on and from the passing of this Act. | ||