Finance (No. 2) Act, 1992
Amendment of provisions relating to interest payments by certain deposit takers. |
3.—Chapter IV of Part I of the Finance Act, 1986 , is hereby amended— | |
(a) in subsection (1) of section 31— | ||
(i) by the insertion of the following definition after the definition of “deposit”: | ||
“‘foreign currency’ means a currency other than the currency of the State;”, | ||
(ii) in the definition of “relevant deposit”— | ||
(I) by the addition to paragraph (e) (inserted by the Finance Act, 1991 ) of the following additional proviso after the proviso to that paragraph: | ||
“Provided also that this paragraph shall not apply to a deposit denominated in a foreign currency which is made on or after the operative date,”, | ||
and | ||
(II) by the substitution in paragraph (ee) (inserted by the Finance Act, 1992 ) of the following sub-paragraph for subparagraph (i): | ||
“(i) which is made on or after the operative date by, and the interest on which is beneficially owned by— | ||
(I) a company which is or will be within the charge to corporation tax in respect of the interest, or | ||
(II) a pension scheme, | ||
and”, | ||
(b) in subsection (1) of section 37A (inserted by the Finance Act, 1992 ), by the insertion of the following paragraphs after paragraph (a): | ||
“(aa) the account shall not be denominated in a foreign currency; | ||
(aaa) the account shall not be connected with any other account held by the account holder or any other person; and for this purpose an account is connected with another account if— | ||
(i) (I) either account was opened with reference to the other account, or with a view to enabling the other account to be opened on particular terms, or with a view to facilitating the opening of the other account on particular terms, and | ||
(II) the terms on which either account was opened would have been significantly less favourable to the account holder if the other account had not been opened, | ||
or | ||
(ii) the terms on which either account is operated are altered or affected in any way whatsoever because of the existence of the other account;”, | ||
and | ||
(c) in subsection (1) of section 37B (inserted by the Finance Act, 1992 ), by the substitution of the following paragraph for paragraph (c): | ||
“(c) declares that at the time the declaration is made the interest on the deposit in respect of which the declaration is made— | ||
(i) (I) is beneficially owned by a company within the charge to corporation tax, and | ||
(II) will be included in the profits of the company on which it is to be charged to corporation tax, | ||
or | ||
(ii) is beneficially owned by a pension scheme,”. |