Finance Act, 1990

Amendment of section 28 (relief in relation to income from qualifying shipping trade) of Finance Act, 1987 .

42.—(1) Subsection (1) (as amended by the Finance Act, 1988 ) of section 28 of the Finance Act, 1987 , is hereby amended—

(a) in the definition of “qualifying ship”, by the deletion of paragraph (iv), and

(b) in the definition of “qualifying shipping activities”—

(i) by the deletion of “and” in paragraph (d),

(ii) by the substitution of “the company, or” for “the company;” in paragraph (e), and

(iii) by the insertion, after paragraph (e), of the following paragraph:

“(f) the use of a qualifying ship for the purposes of transporting supplies or personnel to, or providing services in respect of, a mobile or fixed rig, platform, vessel or installation of any kind at sea;”,

and the said definitions, as so amended, are set out in the Table to this section.

(2) For the purposes of Chapter III of the Finance Act, 1984 , any reference therein to section 28 (1) of the Finance Act, 1987 , shall be construed as if subsection (1) had not been enacted.

TABLE

“qualifying ship” means a sea-going vessel which—

(a) is owned to the extent of not less than 51 per cent. by a person or persons ordinarily resident in the State,

(b) is registered in the State under Part II of the Mercantile Marine Act, 1955 ,

(c) is of not less than 100 tons gross tonnage, and

(d) is self-propelled,

but notwithstanding anything in paragraphs (a), (b), (c) or (d) of this definition does not include—

(i) a fishing vessel other than a vessel normally used for the purposes of an activity mentioned in paragraph (d) of the definition of qualifying shipping activities in this subsection,

(ii) a tug,

(iii) a vessel (including a dredger) used primarily as a floating platform for working machinery or as a diving platform,

(v) any other vessel of a type which is not normally used for the purposes of qualifying shipping activities;

“qualifying shipping activities” means activities carried on by a company in the course of a trade and which consist of—

(a) the use of a qualifying ship for the purpose of carrying by sea passengers or cargo for reward,

(b) the provision, on board the qualifying ship, of services ancillary to the said use of the qualifying ship,

(c) the granting of rights by virtue of which another person provides, or will provide, the said services, on board the said qualifying ship,

(d) the subjecting of fish to a manufacturing process on board a qualifying ship,

(e) the letting on charter of a qualifying ship for use for the said purposes where the operation of the ship, and the crew of the ship, remain under the direction and control of the company, or

(f) the use of a qualifying ship for the purposes of transporting supplies or personnel to, or providing services in respect of, a mobile or fixed rig, platform, vessel or installation of any kind at sea;