Finance (No.2) Act 2023

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Number 39 of 2023

FINANCE (NO. 2) ACT 2023

CONTENTS

PART 1

Universal Social Charge, Income Tax, Corporation Tax and Capital Gains Tax

Chapter 1

Interpretation

Section

1. Interpretation (Part 1)

CHAPTER 2

Universal Social Charge

2. Amendment of section 531AN of Principal Act (rate of charge)

CHAPTER 3

Income Tax

3. Exemption in respect of Clinical Placement Allowance

4. Exemption in respect of allowance for maternity-related administrative support

5. Time limits for certain assessments and repayments

6. Amendment of section 477C of Principal Act (Help to Buy)

7. Amendment of section 121 of Principal Act (Benefit of use of car)

8. Amendment of section 121A of Principal Act (Benefit of use of van)

9. Rate of charge and personal tax credits

10. Amendment of section 472BB of Principal Act (sea-going naval personnel credit)

11. Amendment of section 473B of Principal Act (Rent tax credit)

12. Taxation of rights to acquire shares or other assets

13. Mortgage interest tax relief

14. Amendment of section 208 of Principal Act (lands owned and occupied, and trades carried on by, charities)

15. Amendment of section 208B of Principal Act (charities - miscellaneous)

16. Amendment of section 235 of Principal Act (bodies established for promotion of athletic or amateur games or sports)

17. Amendment of section 784 of Principal Act (retirement annuities: relief for premiums)

18. Amendment of section 784A of Principal Act (approved retirement fund)

19. Amendment of section 787K of Principal Act (Revenue approval of PRSA products)

20. Exemption from income tax of rental income subject to registration with Residential Tenancies Board

21. Amendment of Part 15 of Principal Act (personal allowances and reliefs, etc.)

22. Amendment of Part 1 of Schedule 26A to Principal Act (donations to approved bodies)

23. Amendment of Schedule 13 to Principal Act (accountable persons for purposes of Chapter 1 of Part 18)

CHAPTER 4

Income Tax, Corporation Tax and Capital Gains Tax

24. Amendment of section 97B of Principal Act (deduction for retrofitting expenditure)

25. Amendment of section 1041 of Principal Act (rents payable to non-residents)

26. Amendment of section 238 of Principal Act (annual payments not payable out of taxed income)

27. Amendment of section 669O of Principal Act (exemption in respect of the catch sum)

28. Amendment of section 216D of Principal Act (certain profits of micro-generation of electricity)

29. Amendment of section 285A of Principal Act (acceleration of wear and tear allowances for certain energy-efficient equipment)

30. Amendment of section 285D of Principal Act (acceleration of wear and tear allowances for farm safety equipment)

31. Amendment of Part 16 of Principal Act (relief for investment in corporate trades)

32. Amendment of Part 23 of Principal Act (farming and market gardening)

33. Amendment of section 664 of Principal Act (relief for certain income from leasing of farm land)

34. Amendment of Chapter 2 of Part 29 of Principal Act (scientific and certain other research)

35. Amendment of certain tax exemption provisions

36. Outbound payments defensive measures

37. Amendment of Part 6 of Principal Act (company distributions, tax credits, etc.)

38. Medical practitioners operating in partnership

CHAPTER 5

Corporation Tax

39. Taxation of leases

40. Taxation of certain qualifying financing companies

41. Amendment of section 481 of Principal Act (relief for investment in films)

42. Amendment of section 82 of Principal Act (pre-trading expenditure)

43. Amendment of Chapter 5 of Part 12 of Principal Act (group relief)

44. Amendment of section 835YA of Principal Act (non-cooperative jurisdictions: modified application of sections 835T, 835U and 835V)

45. Amendment of Part 35C of Principal Act (Implementation of Council Directive (EU) 2016/1164 of 12 July 2016 as regards hybrid mismatches)

CHAPTER 6

Capital Gains Tax

46. Relief for investment in innovative enterprises

47. Amendment of section 536 of Principal Act (capital sums: receipt of compensation and insurance moneys not treated as a disposal in certain cases)

48. Amendment of section 597AA of Principal Act (revised entrepreneur relief)

49. Amendment of section 598 of Principal Act (disposals of business or farm on "retirement")

50. Amendment of section 599 of Principal Act (disposals within family of business or farm)

51. Amendment of section 604A of Principal Act (relief for certain disposals of land or buildings)

PART 2

Excise

52. Amendment of Schedule 2 to Finance Act 1999 (rates of mineral oil tax)

53. Amendment of Schedule 2 to Finance Act 2005 (rates of tobacco products tax)

54. Amendment of Chapter 1 of Part 2 of, and Schedule 2 to, Finance Act 2003 (Alcohol Products Tax)

55. Amendment of section 135C of Finance Act 1992 (remission or repayment in respect of vehicle registration tax, etc.)

56. Amendment of Part 2 of Finance Act 2001

PART 3

Value-Added Tax

57. Interpretation (Part 3)

58. Amendment of section 2 of Principal Act

59. Amendment of section 46 of Value-Added Tax Consolidation Act 2010

60. Repeal of section 51 of Principal Act (determination on rates and exemptions)

61. Deposit Return Scheme

62. Amendment of section 86 of Principal Act (special provisions for tax invoiced by flat- rate farmers)

63. Amendment of paragraph 6(1) of Schedule 1 to Principal Act (financial services)

64. Amendment of paragraph 11 of Schedule 1 to Principal Act (letting of immovable goods)

65. Amendment of Schedules 2 and 3 to Principal Act (zero-rated goods and services)

66. Amendment of Schedule 2 to Principal Act (zero-rated goods and services)

PART 4

Stamp Duties

67. Interpretation (Part 4)

68. Exemption for short-term residential leases

69. Amendment of section 81AA of Principal Act (transfers to young trained farmers)

70. Consanguinity relief

71. Amendment of section 101A of Principal Act (single farm payment entitlement)

72. Amendment of section 81C of Principal Act (further farm consolidation relief)

73. Further levy on certain financial institutions

74. Amendment of Chapter 2 of Part 6 of Principal Act (special provisions relating to dematerialised securities)

75. Amendment of section 75 of Principal Act (relief for intermediaries)

76. Provisions in relation to repayment of stamp duty

PART 5

Capital Acquisitions Tax

77. Interpretation (Part 5)

78. Amendment of Schedule 2 to Principal Act (computation of tax)

79. Amendment of Principal Act in relation to section 4B of Succession Act 1965

80. Amendment of section 46 of Principal Act (delivery of returns)

81. Amendment of Part 10 of Principal Act (agricultural relief and business relief)

PART 6

Miscellaneous

82. Interpretation (Part 6)

83. Amendment of section 895 of Principal Act (returns in relation to foreign accounts)

84. Amendment of section 3 of Principal Act (Interpretation of Income Tax Acts)

85. Amendment of section 92 of Finance Act 1989

86. Amendment of Part 38 of Principal Act (returns of income and gains, other obligations, etc.)

87. Administrative cooperation

88. Implementation of Council Directive (EU) 2021/514 of 22 March 2021 amending Directive 2011/16/EU on administrative cooperation in the field of taxation in relation to joint audits

89. Amendment of references to credit institutions in certain provisions of Principal Act

90. Amendment of Part 22B of Principal Act (vacant homes tax)

91. Amendment of section 1003 of Principal Act (payment of tax by means of donation of heritage items)

92. Residential zoned land tax

93. Amendment of Part 18E of Principal Act (defective concrete products levy)

94. Implementation of Council Directive (EU) 2022/2523 of 15 December 2022 on ensuring a global minimum level of taxation for multinational enterprise groups and large-scale domestic groups in the Union

95. Application of certain provisions of Principal Act to Parts 4A and 22A of Principal Act

96. Amendments to other enactments

97. Amendment of Schedule 24 to Principal Act (relief from income tax and corporation tax by means of credit in respect of foreign tax)

98. Amendment of Part 35B of Principal Act (implementation of Articles 7 and 8 of Council Directive (EU) 2016/1164 of 12 July 2016 (Controlled Foreign Companies))

99. Amendment of section 481A of Principal Act (relief for investment in digital games)

100. Miscellaneous technical amendments in relation to tax

101. Care and management of taxes and duties

102. Short title, construction and commencement

SCHEDULE

Miscellaneous Technical Amendments in relation to Tax

Acts Referred to

Assisted Decision-Making (Capacity) Act 2015 (No. 64)

Capital Acquisitions Tax Consolidation Act 2003 (No. 1)

Central Bank Act 1971 (No. 24)

Companies Act 2014 (No. 38)

Credit Reporting Act 2013 (No. 45)

Education Act 1998 (No. 51)

Energy (Windfall Gains in the Energy Sector) (Temporary Solidarity Contribution) Act 2023 (No. 23)

Finance (Local Property Tax) Act 2012 (No. 52)

Finance (Tax Appeals) Act 2015 (No. 59)

Finance Act 1989 (No. 10)

Finance Act 1992 (No. 9)

Finance Act 1999 (No. 2)

Finance Act 2001 (No. 7)

Finance Act 2003 (No. 3)

Finance Act 2005 (No. 5)

Finance Act 2022 (No. 44)

Finance Act 2023 (No. 11)

Health (Amendment) Act 1996 (No. 15)

Health Act 1947 (No. 28)

Health Act 1970 (No. 1)

Higher Education Authority Act 2022 (No. 31)

Housing (Private Rented Dwellings) Act 1982 (No. 6)

Local Government Act 2001 (No. 37)

Medical Practitioners Act 2007 (No. 25)

Mental Health Act 2001 (No. 25)

Ministers and Secretaries (Amendment) Act 2011 (No. 10)

Misuse of Drugs Acts 1977 to 2017

Mother and Baby Institutions Payment Scheme Act 2023 (No. 20)

Nurses and Midwives Act 2011 (No. 41)

Planning and Development Acts 2000 to 2022

Provisional Collection of Taxes Act, 1927 (No. 7)

Redress for Women Resident in Certain Institutions Act 2015 (No. 8)

Residential Tenancies Act 2004 (No. 27)

Social Welfare Consolidation Act 2005 (No. 26)

Stamp Duties Consolidation Act 1999 (No. 31)

Succession Act 1965 (No. 27)

Taxes Consolidation Act 1997 (No. 39)

The Institution of Civil Engineers of Ireland (Charter Amendment) Act, 1969 (No. 1) (Private)

Value-Added Tax Consolidation Act 2010 (No. 31)

Number 39 of 2023

FINANCE (NO. 2) ACT 2023

An Act to provide for the imposition, repeal, remission, alteration and regulation of taxation, of stamp duties and of duties relating to excise and otherwise to make further provision in connection with finance; and to provide for related matters.

[18th December, 2023]

Be it enacted by the Oireachtas as follows: