Finance Act, 1958
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Consequences, as respects personal allowances, of exercise of option by husband or wife for separate assessment. |
9.—(1) This section shall have effect as respects personal reliefs where, by virtue of an application under Rule 17 of the General Rules, income tax for any year is to be assessable and chargeable on the incomes of a husband and a wife as if they were not married. | |
(2) The total relief from tax given to the husband and the wife by way of personal reliefs shall be the same as if the application had not had effect with respect to the year and, subject to subsection (3) of this section, the benefit flowing from the personal reliefs may be given either by way of reduction of the amount of the tax to be paid, or by repayment of any excess of tax which has been paid, or by both of these means, as the case requires, and shall be allocated to the husband and the wife— | ||
(a) so far as it flows from relief under section 32 of the Income Tax Act, 1918, to the husband or the wife according as he or she made the payment giving rise to the relief. | ||
(b) so far as it flows from relief under section 16 of the Finance Act, 1920 , in proportion to the amounts of their respective earned incomes, | ||
(c) so far as it flows from relief in respect of a dependent relative under section 22 of the Finance Act, 1920 , or relief in respect of a child under subsection (2) of section 21 of that Act, to the husband or the wife according as he or she maintains the relative or child, | ||
(d) so far as it flows from relief under section 4 of the Finance Act, 1951 (No. 15 of 1951), in proportion to the amounts of their respective total incomes, and | ||
(e) as to the balance, in proportion to the amounts of their respective assessable incomes, | ||
(3) Where the amount of relief allocated to the husband under subsection (2) of this section exceeds the income tax chargeable on the income of the husband for the year of assessment, the balance shall be applied to reduce the income tax chargeable on the income of the wife for that year, and where the amount of relief allocated to the wife under that subsection exceeds the income tax chargeable on her income for the year of assessment, the balance shall be applied to reduce the income tax chargeable on the income of the husband for that year. | ||
(4) Returns of the total incomes of the husband and the wife may be made for the purposes of this section either by the husband or by the wife but, if the Revenue Commissioners are not satisfied with any such return, they may obtain a return from the wife or the husband, as the case may be. | ||
(5) The Revenue Commissioners may by notice require returns for the purposes of this section to be made at any time, and the provisions of the Income Tax Acts relating to penalties for neglect or refusal to deliver, or for delay in delivering, true and correct statements of profits or gains shall, with the necessary modifications, apply in the case of the neglect or refusal to make, or wilful delay in making, any such return. | ||
(6) In this section “personal reliefs” means any relief under section 32 of the Income Tax Act, 1918, under sections 16 , 18 , 19 , 20 , 21 , 22 , and 23 of the Finance Act, 1920 , under section 4 of the Finance Act, 1951 (No. 15 of 1951), or under section 3 of the Finance Act, 1954 (No. 22 of 1954). |