Finance Act 2013
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Tax treatment of investment limited partnerships. |
42.— (1) The Principal Act is amended— | |
(a) in section 246(1), in the definition of “investment undertaking”, by deleting “or” in paragraph (c), by substituting “(inserted by the Finance Act 2005 ), or” for “(inserted by the Finance Act 2005 );” in paragraph (d) and by inserting the following after paragraph (d): | ||
“(e) an investment limited partnership within the meaning of section 739J;”, | ||
(b) in section 734(1)(a), in the definition of “collective investment undertaking”, by substituting “(iii) a limited partnership (other than an investment limited partnership within the meaning of the Investment Limited Partnerships Act 1994 ) which—” for “(iii) a limited partnership which—”, | ||
(c) in section 739B(1) in the definition of “investment undertaking”— | ||
(i) in paragraph (b) by inserting “and” after “issued pursuant to the relevant Regulations,”, | ||
(ii) by deleting “and” before paragraph (d), and | ||
(iii) by deleting paragraph (d), | ||
(d) in section 739D(6), by inserting the following paragraph after paragraph (c): | ||
“(cc) is an investment limited partnership within the meaning of section 739J which has made a declaration to the investment undertaking in accordance with paragraph 4A of Schedule 2B,”, | ||
(e) by inserting the following section after section 739I: | ||
“Investment limited partnerships. | ||
739J.— (1) (a) In this section ‘investment limited partnership’ means an investment limited partnership within the meaning of the Investment Limited Partnerships Act 1994 . | ||
(b) For the purposes of this section the definitions of ‘relevant gains’, ‘relevant income’, ‘relevant payment’, ‘relevant profits’, ‘unit’ and ‘unit holder’ shall apply, with any necessary modifications, to an investment limited partnership as they apply to an investment undertaking. | ||
(2) (a) Notwithstanding anything in the Acts and subject to subsection (3), an investment limited partnership shall not be chargeable to tax in respect of relevant profits. | ||
(b) For the purposes of the Acts, relevant income and relevant gains in relation to an investment limited partnership shall be treated as arising, or as the case may be, accruing, to each unit holder of the investment limited partnership in proportion to the value of the units beneficially owned by the unit holder, as if the relevant income and relevant gains had arisen or, as the case may be, accrued, to the unit holders in the investment limited partnership without passing through the hands of the investment limited partnership. | ||
(3) Every investment limited partnership shall in respect of each year of assessment, on or before 28 February in the year following the year of assessment, make a statement (including, where it is the case, a statement with a nil amount) to the Revenue Commissioners in electronic format approved by them which in respect of each year of assessment— | ||
(a) specifies the total amount of relevant profits arising to the investment limited partnership in respect of units in the investment limited partnership, and | ||
(b) specifies in respect of each person who is a unit holder— | ||
(i) the name and address of the person, | ||
(ii) the amount of the relevant profits to which the person is entitled, and | ||
(iii) such other information as the Revenue Commissioners may require. | ||
(4) Notwithstanding Chapter 4 of Part 8, that Chapter shall apply to a deposit (within the meaning of that Chapter) to which an investment limited partnership is for the time being entitled as if such deposit were not a relevant deposit within the meaning of that Chapter.”, | ||
(f) in section 891C(1)(a) by substituting “section 739I or an investment limited partnership within the meaning of section 739J” for “section 739I”, and | ||
(g) in Schedule 2B, by inserting the following paragraph after paragraph 4: | ||
“4A. The declaration referred to in section 739D(6)(cc) is a declaration in writing to the investment undertaking which— | ||
(a) is made by the person (in this paragraph referred to as the ‘declarer’) who holds the units in respect of which the declaration is made, | ||
(b) is signed by the declarer, | ||
(c) is made in such form as may be prescribed or authorised by the Revenue Commissioners, | ||
(d) declares that, at the time the declaration is made, the holder of the units is a general partner acting on behalf of the investment limited partnership, | ||
(e) contains the name and tax reference number of the investment limited partnership, and | ||
(f) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 1A of Part 27.”. | ||
(2) This section shall apply in respect of an investment limited partnership that has been granted an authorisation under section 8 of the Investment Limited Partnerships Act 1994 on or after 13 February 2013. |