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Finance Act, 1949
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Cesser of increase of corporation profits tax on profits of foreign companies.

22.—(1) Section 31 of the Finance Act, 1928 (No. 11 of 1928), as amended by section 47 of the Finance Act, 1932 (No. 20 of 1932), and by section 35 of the Finance Act, 1941 (No. 14 of 1941), shall cease to have effect in relation to profits arising in accounting periods beginning on or after the 1st day of January, 1949, and corporation profits tax chargeable on profits of a foreign company in respect of any such accounting period shall accordingly be charged, levied and paid as if section 31 of the Finance Act, 1928 , and the provisions amending that section contained in section 47 of the Finance Act, 1932 , and in section 35 of the Finance Act, 1941 , had not been enacted.

(2) The following provisions shall have effect in relation to an accounting period of a foreign company, being a period beginning before and ending on or after the 1st day of January, 1949, as respects which the company does not satisfy the Revenue Commissioners that one of the conditions prescribed by subsection (2) of section 31 of the Finance Act, 1928 , is fulfilled, that is to say:

(a) the profits arising in the period shall be apportioned between the part of the period before the 1st day of January, 1949, and the remaining part of the period in proportion to the respective lengths of those parts,

(b) corporation profits tax shall not be charged on so much of the profits apportioned to the part of the period before the 1st day of January, 1949, as bears to £2,500 the same proportion as that part bears to twelve months and shall be charged on the remainder of the profits apportioned to that part at the rate of twelve and one-half per cent.,

(c) corporation profits tax shall not be charged on so much of the profits apportioned to the remaining part of the period as bears to £2,500 the same proportion as that part bears to twelve months and shall be charged on the remainder of the profits apportioned to that part at the rate of ten per cent.