Finance Act 2012

Amendment of Chapter 3 (tobacco products tax) of Part 2 of Finance Act 2005.

76.— Chapter 3 of Part 2 of the Finance Act 2005 is amended—

(a) in section 71(1) by deleting the definition of “tax representative”,

(b) in section 71 by deleting subsections (2) and (4),

(c) by substituting the following for section 72:

“72.— (1) Subject to the provisions of this Chapter and any regulations made under it, a duty of excise, to be known as tobacco products tax, shall be charged, levied and paid, at the rates specified in Schedule 2, on all tobacco products—

(a) released for consumption in the State, or

(b) released for consumption in another Member State and brought into the State.

(2) Subsection (1)(b) does not apply to any tobacco products that have been released for consumption in another Member State and which are held on board a ship or aircraft making a sea crossing between another Member State and the State, where such tobacco products are not available for sale or supply while the ship or aircraft is within the territory of the State.”,

(d) in section 75 by substituting the following for subsections (3) and (4):

“(3) Where a price does not for the time being stand declared under subsection (2), the Commissioners may, in relation to the cigarettes concerned, determine a price to be taken, for the purposes of this Chapter, as the price at which such cigarettes are sold by retail.

(4) Where a price has been declared under subsection (2), or determined by the Commissioners under subsection (3), a manufacturer or importer of tobacco products shall not recommend, expressly or by implication, that the cigarettes concerned are sold by retail at a price higher than the price so declared or determined.”,

(e) in section 76 by substituting the following for subsection (1):

“(1) In this section ‘appropriate tax stamp’ means a tax stamp in respect of which an amount equivalent to the tax chargeable, on the pack of tobacco products to which that tax stamp is to be affixed, has been paid.

(1A) Subject to subsection (1B), all specified tobacco products that are intended for sale, delivery or consumption in the State shall have an appropriate tax stamp affixed by the manufacturer to each pack in which the specified tobacco products concerned are intended to be put up for retail sale.

(1B) Subsection (1A) shall not apply to specified tobacco products that—

(a) have been acquired by a private individual in another Member State and are relieved from excise duty under section 104 (2) of the Finance Act 2001 ,

(b) are exempted from value-added tax and excise duty under the European Communities (Tax Exemption for Certain Non-Commercial Goods Imported in the Personal Luggage of Travellers from Third Countries) Regulations 2008 ( S.I. No. 480 of 2008 ),

(c) are being held or delivered under a suspension arrangement, or

(d) under section 73(2), are subject to the provisions of this Chapter governing other tobacco products.”,

(f) by substituting the following for section 77—


77.— (1) Subject to such conditions as the Commissioners may prescribe or otherwise impose, a relief from tobacco products tax shall be granted on any tobacco products that are shown to the satisfaction of the Commissioners—

(a) to have been destroyed in accordance with their requirements,

(b) to have been rendered unfit for use as tobacco products, and used for industrial or horticultural purposes,

(c) to have been returned to a tax warehouse for remanufacture,

(d) to be intended for use, or to have been used, solely for scientific tests or for tests connected with product quality, or

(e) to be delivered for shipment for use as stores on board a ship or aircraft on a journey from a place in the State to a place outside the State.

(2) Subject to such conditions as they may prescribe or otherwise impose, the Commissioners shall repay any amount paid, and remit any amount due, under section 73(3), on the issue of tax stamps that have been shown to the satisfaction of the Commissioners to have been—

(a) destroyed, damaged or otherwise rendered unsuitable for use as tax stamps, or

(b) affixed to specified tobacco products that have been the subject of an irregularity, within the meaning of Article 38 of Council Directive No. 2008/118/EC of 16 December 2008 9 , in another Member State, and where excise duty on such products has been paid in another Member State.

(3) (a) For the purposes of the relief under subsection (1)(c), except where paragraph (b) applies, the amount repayable shall be the full amount of tax paid on the tobacco products concerned.

(b) For the purposes of the relief under subsection (1)(c), where on the day the tobacco products concerned are returned to the tax warehouse, the rate of tax on any of those tobacco products is lower than that at which the tax was paid, the amount repayable in respect of those tobacco products shall be calculated at that lower rate.

(4) (a) Claims for repayment under subsection (1) or (2) shall be made in such form as the Commissioners may direct and shall be in respect of qualifying events, giving rise to the relief concerned, occurring within a period of 3 months.

(b) Except where the Commissioners may, in any particular case, allow, a repayment claim shall be made within 6 months following the end of the period referred to in paragraph (a).”,

(g) in section 78(1) by substituting “It is an offence under this subsection” for “Except where subsection (4) or (5) applies, it is an offence under this subsection”,

(h) in section 80(1) by substituting “The Commissioners” for “Subject to subsection (2), the Commissioners”,

(i) in section 80 by deleting subsection (2),

(j) by deleting section 82, and

(k) in section 83(1A) by substituting “Council Directive No. 2011/64/EU of 21 June 2011 10 ” for “Council Directive No. 92/79/EEC of 19 October 1992 11 , Council Directive No. 92/80/EEC of 19 October 1992 12 and Council Directive No. 95/59/EC of 27 November 1995 13 ”.

9 OJ No. L9, 14.1.2009, p.12

10 OJ No. L176, 5.7.2011, p.24

11 OJ No. L316, 31.10.1992, p.8

12 OJ No. L316, 31.10.1992, p.10

13 OJ No. L291, 6.12.1996, p.40