Companies (Auditing and Accounting) Act 2003

Reserve fund and levy.

15.—(1) The Supervisory Authority shall—

(a) subject to any limit that the Minister may specify, establish and maintain a reserve fund to be used only for the purposes of performing its functions and exercising its powers under sections 24 and 26 ,

(b) set aside in each financial year for the reserve fund a portion of the revenue received under section 14 (1) and (2),

(c) pay into the reserve fund in each financial year—

(i) the amount set aside under paragraph (b) for the fund or, if that amount is amended under section 13 (4), the amended amount,

(ii) the proceeds of any levy imposed under subsection (2) of this section, and

(iii) any amounts paid to the Supervisory Authority under section 23 (5)(c) or 24(7) and any costs recovered under section 26 (5) or (8),

and

(d) promptly inform the Minister if, in any financial year, the total amount in the reserve fund is likely to exceed any limit specified by the Minister for the purposes of this section.

(2) With the Minister's consent and after consulting with any persons who are interested in the matter, the Supervisory Authority may, subject to subsections (3) to (7), impose in each financial year of the Supervisory Authority one or more levies on the following:

(a) each public limited company (whether listed or unlisted);

(b) each private company limited by shares that, in both the most recent financial year and the immediately preceding financial year of the company, meets the following criteria:

(i) its balance sheet total for the year exceeds—

(A) €25,000,000, or

(B) if an amount is prescribed under section 48 (1)(e) for the purpose of this provision, the prescribed amount;

(ii) the amount of its turnover for the year exceeds—

(A) €50,000,000, or

(B) if an amount is prescribed under section 48 (1)(e) for the purpose of this provision, the prescribed amount;

(c) each private company limited by shares that is a parent undertaking, if the parent undertaking and all of its subsidiary undertakings together, in both the most recent financial year and the immediately preceding financial year of the parent undertaking, meet the criteria in paragraph (b);

(d) each undertaking referred to in Regulation 6 of the 1993 Regulations that, in both the most recent financial year and the immediately preceding financial year of the undertaking, meets the criteria in paragraph (b);

(e) each undertaking referred to in Regulation 6 of the 1993 Regulations that is a parent undertaking, if the parent undertaking and all of its subsidiary undertakings together, in both the most recent financial year and the immediately preceding financial year of the parent undertaking, meet the criteria in paragraph (b).

(3) The total amount levied under subsection (2) in any financial year of the Supervisory Authority on all companies and undertakings—

(a) may not exceed the total amount paid into the reserve fund for that year under subsection (1)(c)(i), and

(b) requires the Minister's approval before consent is given to the imposition of any levy in that year.

(4) In determining whether to approve the total amount referred to in subsection (3), the Minister may—

(a) have regard to the Supervisory Authority's work programme, and

(b) give due consideration to the use to which the reserve fund was put in the previous financial year.

(5) The Supervisory Authority shall—

(a) establish criteria for apportioning a levy among the classes of companies and undertakings liable to pay the levy under subsection (2),

(b) submit the criteria to the Minister for approval before imposing the levy, and

(c) specify the date on which the levy is due to be paid by those companies and undertakings.

(6) As a consequence of the apportionment of a levy under subsection (5), different classes of companies or undertakings may be required to pay different amounts of the levy.

(7) Subsection (2) does not apply in respect of a company or an undertaking of a class exempted under section 48 (1)(j) from this section.

(8) Where both a parent undertaking and one or more of its subsidiary undertakings would otherwise be liable to pay a levy imposed under this section, only the parent undertaking is required to pay the levy.

(9) Subsection (8) applies whether the parent undertaking is a public limited company, a private limited company or an undertaking referred to in Regulation 6 of the 1993 Regulations.

(10) The Supervisory Authority may recover, as a simple contract debt in any court of competent jurisdiction, from a company or undertaking from which the levy is due, a levy imposed under this section.