Finance Act, 1977

Chapter IV

Corporation Tax in Relation to Certain Manufacturing Companies

Definitions.

20.—In this Chapter—

“employed contributor” and “employment contributions” have the same meanings as in the Social Welfare Act, 1952 ;

“relevant period” means an accounting period or part of an accounting period of a company falling within the period from the 1st day of January, 1977, to the 31st day of December, 1979;

“1977 period” means an accounting period or part of an accounting period of a company falling within the financial year 1977 and any corresponding expression in which a reference to 1978 or 1979 is followed by the word “period” means an accounting period or part of an accounting period of a company falling within the financial year 1978 or 1979, as the case may be;

“specified trade” means a trade which, in each relevant period for which a claim is made under this Chapter, consists wholly of the manufacture of goods in the State:

Provided that—

(a) a trade shall be regarded as consisting wholly of the manufacture of goods in the State in a relevant period if the amount receivable by the person carrying on the trade from the sale in the period of goods manufactured in the State in the course of the trade is not less than 90 per cent. of the total amount receivable by the person from all sales made in the course of the trade in the period, and

(b) where—

(i) there are two companies one of which manufactures goods in the State and the other of which sells them in the course of its trade, and

(ii) one of the companies holds more than 90 per cent. of the ordinary shares in the other company or persons who have a controlling interest in one company hold, either directly or indirectly, more than 90 per cent. of the ordinary shares in the other company, the goods manufactured in the State by one of the companies shall, when sold in the course of its trade by the other company, be deemed to be manufactured in the State by that other company.