Finance Act , 1995

83.—Section 18 of the Finance Act, 1939, is hereby amended by the substitution of the following paragraph for paragraph (aa) (inserted by the Act of 1994) of subsection (1):

“(aa) to refuse to allow, during the said period, the issue of tax stamps—

(i) to manufacturers or importers of cigarettes or tobacco products to which an order under section 2A (5) of the Finance (Excise Duty on Tobacco Products) Act, 1977, relates, or

(ii) to any other person,

where the quantity applied for appears to the Revenue Commissioners to exceed the quantity which is reasonable having regard to the circumstances, and”.

84 Amendment of Chapter I (Excise Duty on Cigarettes— Introduction of Tax Stamps) of Part II of Finance Act, 1994.

84.—Chapter I of Part II of the Act of 1994 is hereby amended by the substitution of the following section for section 77:

“Interpretation (Chapter 1).

77.—This Chapter, as amended by the Finance Act, 1995, shall come into operation on such day or days as may be appointed by order or orders made by the Minister for Finance, either generally or with reference to any particular purpose or provision, and different days may be so appointed for different purposes and different provisions of this Chapter.”.

Chapter II Excise Duties — Powers of Officers, Detention, Seizure and Forfeiture

85 Definitions (Chapter II).

85.—In this Chapter—

“the Act of 1992” means the Finance Act, 1992;

“authorised officer” means an officer of the Commissioners authorised by them to exercise the powers conferred by this Chapter on officers of the Commissioners;

“the Commissioners” means the Revenue Commissioners;

“excisable products” has the meaning assigned to it by section 104 of the Act of 1992;

“officer” means an authorised officer;

“vehicle” means a mechanically propelled vehicle or any other conveyance.

86 Power to stop and search vehicles.

86.—(1) An officer in uniform may stop any vehicle—

(a) in or on which excisable products or any other products chargeable with a duty of excise are being transported or in which or on which it is reasonably believed by the officer that such products are being transported, or

(b) for the purpose of examining and taking samples of any fuel in or on, or in anything attached to, the vehicle for use or capable of being used for combustion in its engine.

(2) An officer in uniform or a member of the Garda Síochána may stop any vehicle for any purpose related to vehicle registration tax or the registration of vehicles in the register maintained under Chapter IV of Part II of the Act of 1992.

(3) Any person in charge of a moving vehicle shall, at the request of an officer in uniform or a member of the Garda Síochána, stop the vehicle and shall keep it stationary for such period as is reasonably necessary in order to enable the officer to discharge his duties.

(4) Any person in charge of a vehicle shall, at the request of an officer and on production of the authorisation of the officer if so requested by any person affected—

(a) allow the officer or any officer accompanying that officer to take samples of any fuel on or in the vehicle or in anything attached to the vehicle,

(b) allow the vehicle to be examined by the officer or accompanying officer,

(c) allow the officer or accompanying officer to carry out such searches of the vehicle as appear to the officer or accompanying officer to be necessary to establish—

(i) whether any excisable products being transported in or on, or in any manner attached to, the vehicle correspond in every material respect with the description of any such products in a document referred to in paragraph (f), or

(ii) whether anything being transported is liable to forfeiture under the law relating to excise,

(d) furnish, within such time and in such form and manner as may be specified by the officer or accompanying officer, all such information in relation to the vehicle as may reasonably be required by the officer or accompanying officer and is in the possession or procurement of the person,

(e) within such time and in such manner as may be specified by the officer or accompanying officer, produce and permit his or her inspection of and taking of copies of, or of extracts from, all such books and documents relating to the vehicle and any products referred to in subsection (1) (a) being transported as aforesaid as are reasonably required by the officer or accompanying officer and are in the possession or procurement of the person, and

(f) produce to the officer or accompanying officer any accompanying document, duty document (within the meaning, in each case, of Chapter II of Part II of the Act of 1992), or other document referred to in section 111 of that Act, accompanying any excisable products being transported in or on, or in any manner attached to, the vehicle.

(5) A person who resists, obstructs or impedes an officer or a member of the Garda Síochána in the exercise of any power conferred on the officer or member or fails or refuses to comply with a request under subsection (3) or (4) shall, without prejudice to any other penalty to which he or she may be liable, be guilty of an offence and shall be liable on summary conviction to a penalty, under the law relating to excise, of £1,000.

87 Power to enter and search premises.

87.—(1) An officer may, at all reasonable times, on production of the authorisation of the officer if so requested by any person affected, enter a premises or other place (other than a dwelling)—

(a) in which the production, processing, holding, storage or keeping or importation, purchase, packaging or putting up for sale or sale or disposal of any product referred to in section 86 (1) (a) is being or is reasonably believed by the officer to be carried on or in which any books, accounts or other documents or records or information relating or reasonably believed by the officer to relate to such activities are kept, or

(b) in which the manufacture, distribution, storage, repair, modification, importation, dealing, delivery or disposal of vehicles is being or is reasonably believed by the officer to be carried on or in which books, accounts or other documents or records relating or reasonably believed by the officer to relate to such activities are kept,

and may there—

(i) make such search and investigation as the officer shall think proper and take account of, and without payment, take samples of, any product referred to in section 86 (1) (a) or any materials, ingredients or other substances used or to be used in the manufacture of such a product,

(ii) require any person to produce all books, accounts or other documents or records in the possession, procurement or custody of the person relating to the activities referred to in paragraphs (a) and (b) and, in the case of information in relation to those activities in a non-legible form (including such information in a computer), to produce it in a legible form or to reproduce it in a permanent legible form, and

(iii) search for, inspect, and take copies of, or of extracts from, any books, accounts or other documents or records (including, in the case of any information in a non-legible form (including such information in a computer), a copy of, or of an extract from, such information in a permanent legible form) relating or believed by the officer to relate to the activities referred to in paragraph (a) or (b),

and the officer may remove and retain the said books, accounts or other documents or records for such period as may be reasonable for their further examination, and the person shall provide to such officer all facilities and assistance necessary for the exercise by the officer of any power conferred on the officer by this subsection.

(2) Where an officer enters any premises or other place under subsection (1) and a vehicle or any product referred to in section 86 (1) (a) or any materials, ingredients or other substances used or to be used in the manufacture of such a product is found by the officer therein, or any books, accounts or other documents or records or information specified in that subsection are produced or found therein, he may question any person found therein in relation to such vehicle or product or such materials, ingredients or substances or in relation to such books, accounts or other documents or records or information and any such person shall give to such officer all information required of him by such officer which is in his possession or procurement.

(3) Without prejudice to any power conferred by subsections (1) and (2), if a judge of the District Court is satisfied on the sworn information of an officer that there are reasonable grounds for suspecting that any thing that is liable to forfeiture under the law relating to excise is being kept or concealed on or at any premises or place, he may issue a search warrant.

(4) A search warrant issued under this section shall be expressed and operate to authorise a named officer accompanied by such other officers and such other persons as the officer considers necessary, at any time or times within one month of the date of issue of the warrant, to enter (if need be by force) the premises or other place named or specified in the warrant, to search such premises or other place, to examine any thing found there, to inspect any book, account, record or other document found there and, if there are reasonable grounds for suspecting that any thing found there is liable to forfeiture under the law relating to excise, or that a document found there may be required as evidence in proceedings under the law relating to excise, to detain or seize the thing as liable to forfeiture or, in the case of a document, to detain it for so long as it is reasonably required for the purpose aforesaid.

(5) An officer or other person on or in any premises or place pursuant to this section may require any person found there to give to the officer or other person his or her name and address.

(6) Any person who—

(a) fails without lawful and sufficient excuse to comply with any requirement under subsection (1) or (5) or who fails or refuses to give any information required of him under subsection (2),

(b) gives any such information which is false or misleading,

(c) resists, obstructs or impedes an officer or other person in the exercise of any power conferred on them by this section, or

(d) when required under subsection (5) to give his name and address, gives a name or address that is false or misleading,

shall be guilty of an offence and shall be liable on summary conviction to a penalty, under the law relating to excise, of £1,000.

88 Detention of goods and vehicles.

88.—(1) Where an officer—

(a) discovers any material discrepancy between excisable products being transported and those described in the documents referred to in section 86 (4) (f) and the officer is not satisfied with any reasons tendered for such discrepancy and suspects that the products may, therefore, be liable to forfeiture or where the officer suspects that the excisable products may be liable to forfeiture for any other reason, or

(b) reasonably suspects that any excisable products are liable to forfeiture, or

(c) reasonably suspects that a vehicle has not been registered in the register maintained under Chapter IV of Part II of the Act of 1992 or has been converted (within the meaning of the said Chapter IV) and a declaration in relation to the conversion has not been made under section 131 of that Act or any vehicle registration tax in respect of a vehicle has not been paid, or

(d) reasonably suspects that any other goods are liable to forfeiture under the law relating to excise,

all of the excisable products concerned, the vehicle concerned or the other goods concerned, as the case may be, may be detained by the said officer until such examination, enquiries or investigations as may be deemed necessary by the officer, or by another officer, have been made for the purpose of determining to the satisfaction of either such officer whether or not the products or other goods are liable to forfeiture, the vehicle has been registered, the declaration aforesaid has been made or the vehicle registration tax has been paid, as may be appropriate.

(2) Where a member of the Garda Síochána reasonably suspects that a vehicle has not been registered in the register maintained under Chapter IV of Part II of the Act of 1992 or has been converted (within the meaning of the said Chapter IV) and a declaration in relation to the conversion has not been made under section 131 of that Act or any vehicle registration tax in respect of a vehicle has not been paid, the vehicle concerned may be detained by the member until such examination, inquiries or investigations as may be deemed necessary by the member have been made for the purpose of determining to the satisfaction of the member whether or not the vehicle has been registered, the declaration aforesaid has been made or the vehicle registration tax has been paid, as may be appropriate.

(3) Subject to subsection (5), whenever any excisable products or other goods are detained by an officer under subsection (1), all of the products or other goods as well as all things being made use of in the conveyance of the products may also be detained by the officer until the examination, enquiries or investigations referred to in subsection (1) have been made.

(4) For the purpose of subsection (3), where excisable products or other goods are found in or on, or in any manner attached to, a vehicle, the vehicle shall be deemed to have been made use of in the conveyance of the products or other goods.

(5) When a determination referred to in subsection (1) or (2) has been made in respect of any excisable products or other goods or a vehicle or upon the expiry of a period of one month from the date on which the products or other goods or the vehicle were or was detained under the said subsection, whichever is the earlier, the products or other goods or the vehicle (together with any thing detained with the products or other goods under subsection (3)) shall be seized as liable to forfeiture under the Customs Acts or under section 89 or released.

(6) Any person who resists, obstructs or impedes an officer or a member of the Garda Síochána in the exercise of any power conferred on the officer or member by this section shall, without prejudice to any other penalty to which he may be liable, be guilty of an offence and shall be liable on summary conviction to a penalty, under the law relating to excise, of £1,000.

89 Seizure of goods and vehicles.

89.—(1) Any goods or vehicles that are liable to forfeiture under the law relating to excise may be seized by an officer.

(2) Where any goods or vehicles are liable to forfeiture under the law relating to excise, any thing containing, or that contained, such goods or vehicle and any thing made use of in the conveyance of the goods or vehicle shall be liable to forfeiture.

90 Notice of seizure.

90.—(1) Subject to subsection (2), an officer shall, give notice of the seizure of any thing as liable to forfeiture and of the grounds therefor to any person who to their knowledge was at the time of the seizure the owner or one of the owners thereof.

(2) Notice under subsection (1) need not be given under this section to a person if the seizure was made in the presence of the person, the person whose offence or suspected offence occasioned the seizure or in the case of any thing seized in any ship or aircraft, in the presence of the master or commander thereof.

(3) Notice under subsection (1) shall be given in writing, the notice shall include a statement of the provisions of section 91 and be deemed to have been duly given to the person concerned—

(a) if it is delivered to the person personally, or

(b) if it is addressed to the person and left or forwarded by post to the person at the usual or last known place of abode or business of the person or, in the case of a body corporate, at its registered or principal office, or

(c) if the person has no known address within the State, by publication of notice of the seizure concerned in Iris Oifigiúil.

91 Notice of claim.

91.—(1) A person who claims that any thing seized as liable to forfeiture is not so liable (referred to subsequently in this Chapter as “the claimant”) shall, within one month of the date of the notice of seizure or, where no such notice has been given to the claimant, within one month of the date of the seizure, give notice in writing of his claim to the Commissioners.

(2) A notice under subsection (1) shall specify the name and address of the claimant and, in the case of a claimant who is outside the State, the name and address of a solicitor in the State who is authorised to accept service of any document required to be served on the claimant and to act on behalf of the claimant.

92 Condemnation.

92.—(1) If, on the expiration of the period referred to in section 91 (1), no notice has been given under that section, the thing in question shall be deemed to have been duly condemned as forfeited.

(2) Subject to subsection (3), where a notice in respect of any thing is duly given under section 91, the Commissioners shall take proceedings for the condemnation of the thing by the court, and, in case the court finds that the thing was at the time of seizure liable to forfeiture, the court shall condemn it as forfeited and, in any other case, shall order its release to its owner.

(3) Where any thing is, under the provisions of this section, condemned or deemed to have been condemned as forfeited, the forfeiture shall have effect as from the date when the liability to forfeiture arose.

93 Proceedings for condemnation by court.

93.—(1) Proceedings under section 92 shall be civil proceedings and may be instituted either in the High Court or (if, in the opinion of the Commissioners, the value of the thing the subject of the proceedings does not exceed £5,000) the District Court.

(2) In any proceedings under section 92 the claimant or his solicitor shall state on oath that the thing seized was, or was to the best of his knowledge and belief, the property of the claimant at the time of the seizure.

94 Power to deal with seizures before condemnation.

94.—(1) Where any thing has been seized by an officer as liable to forfeiture, the Commissioners may at any time, if they see fit and notwithstanding that the thing has not yet been condemned, or is not yet deemed to have been condemned, as forfeited—

(a) if a notice relating to the thing has been duly given under section 91, deliver it up to the claimant upon his paying to the Commissioners such sum as they think proper, being a sum not exceeding that which in their opinion represents the value of the thing, including any duty or tax chargeable thereon which has not been paid, or

(b) if the thing seized is in the opinion of the Commissioners of a perishable nature, sell or destroy it.

(2) If, where any thing is delivered up, sold or destroyed under this section, it is held by the court in proceedings under this section that the thing was not liable to forfeiture at the time of its seizure, the Commissioners shall, subject to any deduction allowed under subsection (3), on demand by the claimant tender to him or her—

(a) an amount equal to any sum paid by the claimant under subsection (1),

(b) if they have sold the thing, an amount equal to the proceeds of sale, or

(c) if they have destroyed the thing, an amount equal to the market value of the thing at the time of its seizure.

(3) Where the amount to be tendered under subsection (2) includes any sum on account of any duty or tax chargeable on the thing which has not been paid before its seizure, the Commissioners may deduct from the amount so much thereof as represents the duty or tax.

(4) If the claimant accepts any amount tendered to him under subsection (2), he shall not be entitled to maintain proceedings in any court on account of the seizure, detention, sale or destruction of the thing concerned.

(5) Notwithstanding any other provision of this Chapter relating to goods seized as liable to forfeiture, an officer who seizes as liable to forfeiture any spirits or any stills, vessels, utensils, wort or other material for manufacturing, distilling or preparing spirits may at his discretion forthwith spill, break up or destroy any of those goods.

95 Miscellaneous amendments.

95.—Each enactment specified in column (2) of the Fifth Schedule is hereby amended to the extent specified in column (3) of that Schedule.

96 Repeals and revocation.

96.—(1) Each enactment specified in column (2) of the Sixth Schedule is hereby repealed to the extent specified in column (3) of that Schedule.

(2) Article 26 of the Excise Transfer Order, 1909 (S.R. & O., No. 197 of 1909), is hereby revoked.

Chapter III Vehicle Registration Tax

97 Amendment of section 132 (charge of excise duty) of Finance Act, 1992.

97.—Section 132 of the Finance Act, 1992, is hereby amended—

(a) by the substitution of “£250” for “£100” in paragraphs (a) and (b) of subsection (3) (inserted by section 8 (b) of the Finance (No. 2) Act, 1992), and

(b) by the substitution for subsection (5) (as so inserted) of the following:

“(5) Where a registered vehicle which is converted and on which, in a former state, vehicle registration tax or motor vehicle excise duty imposed by the Order of 1979 has been paid, then the amount of vehicle registration tax payable on the vehicle under subsection (3) shall be reduced by—

(a) in the case of a vehicle in respect of which vehicle registration tax has been so paid, such amount as bears to the amount of the tax paid the same proportion as the open market selling price of the vehicle immediately prior to its conversion bears to the open market selling price of the vehicle at the time of its registration, and

(b) in the case of a vehicle in respect of which motor vehicle excise duty under the Order of 1979 has been so paid, such amount as bears to the amount of the duty paid the same proportion as the open market selling price of the vehicle immediately prior to its conversion bears to the open market selling price of the vehicle, as determined by the Commissioners, at the time of the charging of the duty.”.

98 Repayment of amounts in respect of vehicle registration tax in certain cases.

98.—Chapter IV of Part II of the Finance Act, 1992, is hereby amended by—

(a) the insertion of the following section after section 135A:

“135B.—(1) The Commissioners may repay to a person an amount of £1,000 in respect of vehicle registration tax paid in respect of a new category A vehicle if—

(a) the vehicle is first registered during the period from the 1st day of July, 1995 to the 31st day of December, 1996,

(b) the person becomes registered as the owner of the vehicle at the time when the vehicle is first registered, and

(c) a category A vehicle owned by the person (‘the scrapped vehicle’) is shown, to the satisfaction of the Revenue Commissioners, to have been scrapped during the period aforesaid and within one month of the date of the first registration of the other vehicle,

(d) the scrapped vehicle was first registered or recorded, not less than 10 years before the date on which it is scrapped, under section 131 or section 6 of the Roads Act, 1920, or a system for maintaining a record of vehicles and their ownership established by or on behalf of the government of another state, and

(e) during the whole of the period of 2 years ending on the date aforesaid—

(i) a licence under section 1 of the Act of 1952 taken out by the person was in force in respect of the scrapped vehicle, and

(ii) an approved policy of insurance referred to in paragraph (a) of section 56 (1) of the Road Traffic Act, 1961, and issued to the person, was in force in respect of the scrapped vehicle, or the person was an exempted person within the meaning of section 60 (inserted by section 54 of the Road Traffic Act, 1968) of that Act.

(2) Notwithstanding paragraph (e) of subsection (1), the Commissioners may make a repayment under that subsection in a case where, during a period or periods not exceeding, or not exceeding in aggregate, 6 months and occurring in, but not including the last day of, the period, as respects the scrapped vehicle concerned, referred to in the said paragraph (e)—

(a) a licence referred to in that paragraph was not in force, or

(b) both such a licence and an approved policy of insurance referred to in that paragraph were not in force,

in respect of the scrapped vehicle if, in respect of the period or each period during which such a licence was not in force, a declaration of non-use of the vehicle made before a member of the Garda Síochána and stamped with the appropriate Garda Síochána station stamp was accepted by the licensing authority concerned in respect of the vehicle.

(3) A vehicle in respect of which a repayment under subsection (1) has been made shall not be disposed of during the period of 6 months from the date of its first registration and, if such a vehicle is so disposed of, the person to whom such a repayment was made shall pay to the Commissioners on the day of the disposal an amount in respect of vehicle registration tax equal to the amount of the repayment.

(4) An amount due by a person to the Commissioners under subsection (3) may be recovered by them from the person as a simple contract debt in any court of competent jurisdiction.

(5) In this section—

‘new’ means not used or secondhand;

‘scrapped’, in relation to a vehicle, means subjected to the destruction of the chassis and the engine of the vehicle.”,

and

(b) in section 141, the substitution of the following paragraph for paragraph (s) (inserted by the Finance (No. 2) Act, 1992) of subsection (2):

“(s) make provision (including the prescription of conditions, restrictions and limitations) in relation to subsections (7), (11) and (15) of section 134 and section 135B.”.

Chapter IV Implementation of Council Directive No. 94/74/EC

99 Application of section 104 (excisable products) of Finance Act, 1992, and reliefs for hydrocarbons.

99.—(1) Subject to subsection (2) and notwithstanding paragraph (3) of Regulation 23 of the Regulations of 1992, only those products specified in paragraph (1) of Article 2a of the Directive shall be deemed to be excisable products referred to in paragraph (f), (g) or (h) of section 104 of the Finance Act, 1992.

(2) Where products referred to in paragraph (1) of Article 2 of the Directive, other than those referred to in paragraph (1) of Article 2a of the Directive, are intended for use, offered for sale or used as heating or motor fuel (within the meaning of Part IV of the Regulations of 1992), the Commissioners may, subject to compliance with such conditions as they may think fit to impose, deem such products to be excisable products referred to in paragraph (f), (g) or (h) of section 104 of the Finance Act, 1992.

(3) The Commissioners may, subject to compliance with such conditions as they may think fit to impose—

(a) remit the duties of excise imposed by paragraphs 11 (1) and 12 (1) of the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 (S.I. No. 307 of 1975), on hydrocarbon oil and the duty of excise imposed by section 41 (1) of the Finance Act, 1976, on gaseous hydrocarbons in liquid form shown to their satisfaction—

(i) to be present, at the time of importation into the State, in the standard tank of a motor vehicle (within the meaning of section 21 (15) of the Finance Act, 1935), or

(ii) to be intended for use, or to have been used for injection into a blast furnace for the purposes of chemical reduction as an addition to the coke used as the principal fuel,

and

(b) repay the duties aforesaid payable on hydrocarbon oil or gaseous hydrocarbons in liquid form shown to their satisfaction to comply with paragraph (a) (ii).

(4) In this section—

“the Commissioners” means the Revenue Commissioners;

“the Directive” means Council Directive No. 92/81/EEC of 19 October, 1992[^1], as amended by Council Directive No. 94/74/EC of 22 December, 1994[^2];

“the Regulations of 1992” means the European Communities (Customs and Excise) Regulations, 1992 (S.I. No. 394 of 1992);

“standard tank”, in relation to a motor vehicle, has the meaning assigned to it by Article 8a of the Directive and includes special containers (within the meaning of that Article).

100 Amendment of section 111 (accompanying documents) of Finance Act, 1992.

100.—Section 111 of the Finance Act, 1992, is hereby amended—

(a) in subsection (1), by the insertion of the following paragraphs after paragraph (i):

“(ia) from the State through another Member State to a place of destination in the State, and

(ib) to the State from another Member State in a case where exemption from excise duty applies under section 113 (1),”,

(b) by the insertion of the following subsection after subsection (2):

“(2A) (1) Where an authorised warehousekeeper dispatches excisable products to another Member State under a duty-suspension arrangement for delivery under any exemption provided for in paragraph 1 of Article 23 of the Directive, he or she shall ensure that, in addition to the accompanying document, a certificate (‘the exemption certificate’) is dispatched with and accompanies the said excisable products in the course of their delivery.”,

and

(c) in subsection (4), by the insertion of the following paragraph after paragraph (a):

“(aa) in relation to the exemption certificate, specifying the form of the certificate and providing for any necessary control requirements relating to its authentication, and”.

101 Amendment of section 117 (regulations) of Finance Act, 1992.

101.—Subsection (2) of section 117 of the Finance Act, 1992, is hereby amended—

(a) in paragraph (i), by the insertion of the following subparagraphs after subparagraph (i):

“(ia) receiving or intending to receive from a consignor in the State excisable products which are released for consumption in the State and transported or intended to be transported through another Member State, or

(ib) dispatching or intending to dispatch to a consignee in the State excisable products which are released for consumption in the State and transported or intended to be transported through another Member State, or”,

(b) by the insertion of the following paragraph after paragraph (m):

“(mm) specifying, in relation to an exemption certificate, any essential features of the certificate and any necessary control requirements relating to the authentication of the certificate.”.

102 Commencement (Chapter IV).

102.—This Chapter shall come into operation on the 1st day of July, 1995.

Chapter V Appeals in relation to Excise Duty

103 Definitions (Chapter V).

103.—In this Chapter—

“Appeal Commissioners” has the meaning assigned to it by section 156 of the Income Tax Act, 1967;

“appellant” means a person who appeals to the Appeal Commissioners under section 104 or 105, as appropriate;

“the Commissioners” means the Revenue Commissioners.

104 Appeals to Revenue Commissioners.

104.—(1) Any person who has paid or who, in the opinion of the Commissioners, is liable to pay a duty of excise and is called upon by them to pay an amount of such duty may appeal in accordance with this section against the decision concerned in respect of the liability or the amount of the duty.

(2) Any person who has claimed or received a repayment of a duty of excise may appeal to the Commissioners against the decision concerned in respect of the amount of such repayment or the refusal of such repayment.

(3) An appeal under subsection (1) or (2) shall be in writing and shall set forth in detail the grounds of appeal.

(4) An appeal shall be lodged by the person concerned with the Commissioners within the period of 30 days from the date of—

(a) the payment of a duty of excise,

(b) the notification by the Commissioners on being called upon by them to pay an amount of a duty of excise,

(c) the repayment of a duty of excise, or

(d) the notification by the Commissioners of a refusal of a repayment by them of a duty of excise,

or within such longer period as the Commissioners may, in exceptional cases, allow.

(5) An appeal shall, subject to subsection (11), be determined by the Commissioners within a period of 30 days from its lodgment with the Commissioners.

(6) The Commissioners may appoint one or more of their officers for the purposes of carrying out their functions under this section:

Provided that no such officer shall determine an appeal under this section in respect of a decision he or she has made.

(7) The Commissioners shall, in writing, notify an appellant concerned of their determination of an appeal and the reasons for their determination.

(8) Where the Commissioners determine on appeal that the amount due is less than the amount paid, they shall repay the amount overpaid to the appellant concerned.

(9) Where the Commissioners determine on appeal that the amount due is greater than the amount paid, the appellant concerned shall pay the amount underpaid.

(10) For the purpose of determination of an appeal any goods or vehicles to which the appeal relates shall be produced to the Commissioners for inspection, if so required.

(11) Where an appeal has been lodged but not determined in accordance with subsection (5) there shall be deemed to have been a determination by the Commissioners on the last day of the period of 30 days from the date the appeal was lodged that the appeal was not upheld but such deeming shall cease to have effect if a determination is subsequently made by the Commissioners before a determination is made by the Appeal Commissioners under section 105 in respect of the matter concerned.

(12) The provisions of the Customs Acts or of any instruments made thereunder, in so far as they apply to appeals concerning duties of excise, shall not apply in relation to any amount of excise duty capable of being the subject of an appeal under the provisions of this section.

105 Appeals to Appeal Commissioners.

105.—(1) A person who is aggrieved by a determination of the Commissioners under section 104 may, in accordance with the provisions of this section, appeal to the Appeal Commissioners against such determination and the appeal shall be heard and determined by the Appeal Commissioners whose determination shall be final and conclusive unless a case is required to be stated in relation to it for the opinion of the High Court on a point of law.

(2) A person who intends to appeal under this section against a determination of the Commissioners shall, within 30 days of the notification of such determination (or the expiry of the time limit for such determination, whichever is the earlier) give notice in writing to them of such intention.

(3) Subject to the provisions of this section, the provisions of Part XXVI (as amended), other than sections 429 and 430 and (in so far as it relates to those sections) section 431, of the Income Tax Act, 1967, shall, with any necessary modifications, apply as they apply for the purpose of income tax.

(4) (a) Subject to paragraph (c), where a notice or other document which is required or authorised to be served by this section falls to be served on a body corporate, such notice shall be served on the secretary or other officer of the body corporate.

(b) Any notice or other document which is required or authorised by this section to be served by the Commissioners or by an appellant may be served by post and in the case of a notice or other document addressed to the Commissioners, shall be sent to the Revenue Commissioners, Dublin Castle, Dublin 2.

(c) Any notice or other document which is required or authorised to be served by the Commissioners on an appellant under this section may be sent to the solicitor, accountant or other agent of the appellant and a notice so served shall be deemed to have been served on the appellant unless the appellant proves to the satisfaction of the Appeal Commissioners, that he or she had, before the notice or other document was served, withdrawn the authority of such solicitor, accountant or other agent to act on his or her behalf.

(5) Prima facie evidence of any notice given under this section by the Commissioners or by an officer of the Commissioners may be given in any proceedings by production by an officer of the Commissioners of a document purporting to be a copy of the notice and it shall not be necessary to prove the official position of the person by whom the notice purports to be given or, if it is signed, the signature, or that the person signing and giving it was authorised so to do.

106 Payment of duty pending appeal.

106.—Where an appeal has been made under section 104 or 105 in respect of an amount of duty which a person is called upon by the Commissioners to pay, such appeal, shall not be determined by the Commissioners or the Appeal Commissioners, as the case may be, unless the said amount of duty has been paid.

107 Exclusion of criminal matters.

107.—Where liability for a duty of excise is the subject of criminal proceedings or a decision is pending on whether to initiate criminal proceedings in respect of such liability, then such liability or the amount of such liability or repayment connected with or sought in respect of such liability may not be appealed under the provisions of section 104 or 105 until the determination of such criminal proceedings or a decision is duly taken not to initiate criminal proceedings.

108 Repeal (Chapter V).

108.—Section 138 of the Finance Act, 1992, is hereby repealed.

109 Commencement (Chapter V).

109.—This Chapter shall come into operation on such day or days as may be appointed by order or orders made by the Minister for Finance, either generally or with reference to any particular purpose or provision, and different days may be so appointed for different purposes and different provisions of this Chapter.

Chapter VI Miscellaneous

110 Tobacco products.

110.—(1) In this section and in the Seventh Schedule—

“the Act of 1977” means the Finance (Excise Duty on Tobacco Products) Act, 1977;

“cigarettes”, “cigars” and “fine-cut tobacco for the rolling of cigarettes” have the same meanings as they have in the Act of 1977, as amended by the Imposition of Duties (No. 243) (Excise Duty on Tobacco Products) Order, 1979 (S.I. No. 296 of 1979), and by Regulations 26 and 29 of the Regulations of 1992;

“the Regulations of 1992” means the European Communities (Customs and Excise) Regulations, 1992 (S.I. No. 394 of 1992).

(2) The duty of excise on tobacco products imposed by section 2 of the Act of 1977, shall, in lieu of the several rates specified in the Third Schedule to the Finance Act, 1994, be charged, levied and paid, as on and from the 9th day of February, 1995, at the several rates specified in the Seventh Schedule.

111 Duty on licence for the sale of intoxicating liquor.

111.—There shall be charged, levied and paid a duty of excise at the rate of £200 upon the grant, under section 65 of the Irish Horseracing Industry Act, 1994, of a licence for the sale of intoxicating liquor or a renewal of a licence granted under that section.

112 Amendment of section 77 (spirits retailers' on-licences) of Finance Act, 1993.

112.—Section 77 of the Finance Act, 1993, is hereby amended in subsection (1) by the substitution of the following paragraphs for paragraph (e):

“(e) a licence under section 18 of the Intoxicating Liquor Act, 1962, in respect of any greyhound race track;

(f) a licence under section 65 of the Irish Horseracing Industry Act, 1994, in respect of any racecourse.”.

113 Amendment of section 89 (exemption from duty on certain bets) of Finance Act, 1994.

113.—Section 89 of the Finance Act, 1994, is hereby amended by the substitution of the following subsection for subsection (1):

“(1) (a) The duty on bets to which section 24 of the Finance Act, 1926, relates shall not be charged or levied on bets entered into on or after the commencement of this subsection where such bets—

(i) are entered into during and at a race-meeting held at an authorised racecourse, within the meaning of the Irish Horseracing Industry Act, 1994, and

(ii) are in respect of one or more than one event taking place at a place other than at such meeting.

(b) The provisions of paragraph (a) shall not apply to bets entered into by any means of telecommunications.”.

114 Amendment of section 43 (gaming machine licence duty) of Finance Act, 1975.

114.—Section 43 of the Finance Act, 1975, is hereby amended—

(a) in subsection (1) by the insertion of the following definition after the definition of “premises”:

“‘public place’ means any place, including a premises, to which the public have access as of right or by permission or membership and whether subject to or free of charge and includes open air venues and any offices, courts, yards and gardens which are occupied together with and are within the curtilage, or in the immediate vicinity, of the public place where gaming machines are located;”;

(b) in subsection (3) (inserted by section 71 of the Finance Act, 1993) by the substitution of “public place” for “premises” and of “conspicuous position” for “conspicuous place”;

(c) in subsection (5) (inserted by section 71 of the Finance Act, 1993) by the substitution of “Any person” for “The holder of a gaming licence” and by the substitution of “without displaying a gaming machine licence” for “without a gaming machine licence”; and

(d) in subsection (10) by the substitution in paragraph (a) of “a public place” for “premises”.

115 Amendment of section 49 (grant of licences and date of expiration of licences) of Finance (1909-10) Act, 1910.

115.—Section 49 of the Finance (1909-10) Act, 1910, is hereby amended in subsection (1A) (inserted by section 156 of the Finance Act, 1992)—

(a) by the substitution of the following paragraph for paragraph (a):

“(a) Where in the case of a licence to which the proviso to subsection (1) of this section relates—

(i) an application in accordance with section 242 of the Finance Act, 1992, for a tax clearance certificate has been made—

(I) not less than two months prior to the commencement date of such a licence, where such a commencement date is in the year ending on the 31st day of December, 1995, or

(II) not less than four months prior to the commencement date of such a licence in each subsequent year,

and a tax clearance certificate has not yet been issued or refused, or

(ii) a tax clearance certificate has been refused and an appeal against such refusal has been made and accepted in accordance with subsection (6) of the said section 242,

and in either case, the licence could, but for the provisions relating to a tax clearance certificate, have been issued, then—

(A) in a case where a licence has been granted in respect of the previous licensing period, such licence may continue in force beyond its latest expiry date pending—

(I) the issue or refusal of a tax clearance certificate, or

(II) in the case of an appeal, the final determination of that appeal, and

(B) in a case where a licence has not been granted in respect of the previous licensing period, a licence may be issued temporarily and remain in force pending—

(I) the issue or refusal of a tax clearance certificate,

or

(II) in the case of an appeal, the final determination of that appeal:

Provided that the amount of the duty that would be payable on the granting of the licence is duly deposited with the proper officer of Customs and Excise.”,

(b) by the substitution of the following paragraph for paragraph (b):

“(b) every licence issued temporarily or continued in force in accordance with paragraph (a) of this subsection shall, while it remains in force, be deemed to be a licence within the meaning of this section.”,

and

(c) by the substitution of the following paragraphs for paragraph (c):

“(c) Where—

(i) a determination is made to issue a tax clearance certificate, in respect of an application referred to in subparagraph (i) of paragraph (a), or

(ii) the final determination of an appeal referred to in subparagraph (ii) of paragraph (a) is to the effect that the application for a tax clearance certificate in relation to a licence is an acceptable application,

and where the tax clearance certificate has been issued, the licence continued in force or issued temporarily under this subsection shall expire upon the grant of a licence under this section and the duty deposited shall be set against the appropriate duty payable on the grant of the licence.

(d) Where—

(i) a determination is made to refuse a tax clearance certificate, in respect of an application referred to in subparagraph (i) of paragraph (a), or

(ii) the final determination of an appeal under subparagraph (ii) of paragraph (a) is to the effect that the refusal of an application for a tax clearance certificate in relation to a licence is a valid refusal,

the licence continued in force or issued temporarily under this subsection shall expire not later than seven days after such refusal or after the determination of such appeal, and the amount of any duty deposited in excess of the proportion of that duty attributable to the period when the licence was temporarily in force shall be repaid.”.

116 Excise duty on motor fuel substitutes.

116.—(1) In this section—

“additive” has the meaning assigned to it by Regulation 21 of the Regulations of 1992;

“biofuel” includes products manufactured or produced from oil seeds, cereals or other plant material as fuel for engines or motors;

“the Commissioners” means the Revenue Commissioners;

“the Directive” means Council Directive No. 92/81/EEC of 19 October, 1992[^1] as amended by Council Directive No. 94/74/EC of 22 December, 1994[^2];

“the duty” means the duty of excise imposed by subsection (2);

“hydrocarbon oil” has the meaning assigned to it by section 21 (15) of the Finance Act, 1935;

“the Minister” means the Minister for Finance;

“motor” means any device that converts hydrocarbon oil, gaseous hydrocarbons in liquid form or a substitute motor fuel into mechanical energy to produce motion, and includes a motor vehicle and a stationary engine;

“motor vehicle” has the meaning assigned to it by section 21 (15) of the Finance Act, 1935;

“officer” means an officer of the Commissioners;

“the Order of 1975” means the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 (S.I. No. 307 of 1975);

“the Regulations of 1992” means the European Communities (Customs and Excise) Regulations, 1992 (S.I. No. 394 of 1992);

“standard tank”, in relation to a motor vehicle, has the meaning assigned to it by Article 8a of the Directive and includes special containers within the meaning of the said Article;

“substitute motor fuel” means any product, including biofuel, in liquid form, manufactured, produced, intended for use or used as fuel for a motor but does not include an additive, hydrocarbon oil or gaseous hydrocarbons in liquid form.

(2) In addition to any other duty which may be chargeable, there shall be charged, levied and paid on substitute motor fuel manufactured or produced in the State or imported into the State a duty of excise at the rate of £235.49 per 1,000 litres.

(3) The Commissioners may, subject to compliance with such conditions as they may think fit to impose, remit the duty on substitute motor fuel which is shown to their satisfaction to be present, at the time of importation into the State, in the standard tank of a motor vehicle.

(4) (a) Whenever the Minister, after consultation with the Minister for Transport, Energy and Communications, is satisfied that any biofuel chargeable or charged with the duty or the duty of excise imposed by Regulation 23 (1) of the Regulations of 1992 is essential to a project undertaken in the State which is designed to manufacture or produce biofuel or to test the technical viability of biofuel for use as motor fuel and is required by a person for use in the project, and the Minister, after such consultation, so thinks proper, the Commissioners may, subject to compliance by the person with such (if any) conditions as the Commissioners may think fit to impose, remit or repay the duty or the said duty of excise chargeable or charged on the fuel.

(b) A person seeking the relief provided for in paragraph (a) shall—

(i) make an application in writing in that behalf to the Minister on or before the 31st day of December, 1998,

(ii) furnish to the Minister such information as he may reasonably require, and

(iii) show to the satisfaction of the Minister that there is available to the person equipment that is adequate for the manufacture or production of biofuel or for the carrying on of such production or manufacture or the carrying out of the test referred to in paragraph (a) and (if appropriate) that he or she is capable of disseminating the results of the test.

(c) (i) The remission or repayment of duty provided for in paragraph (a) may be limited as to time and quantity.

(ii) Where it is so limited, the time or quantity, concerned or both may be extended or increased by the Minister, after consultation with the Minister for Transport, Energy and Communications, so as to apply for such period or periods or in respect of such quantity or quantities as the Minister for Finance thinks proper.

(d) (i) The Minister may, in any particular case, terminate the reliefs provided for by paragraph (a) or paragraph (c) (ii) if it appears to him that any condition subject to which the relief provided for in paragraph (a) was granted has not been or is not being complied with.

(ii) The Commissioners may transmit to the Minister such information as appears to them to be necessary or such information as may be required of them by the Minister for the purpose of subparagraph (i).

(5) In the provisions of—

(a) paragraph 12 (5) of the Order of 1975,

(b) paragraph 12 (11) of the Order of 1975, and

(c) paragraphs (a) (i) and (b) of Regulation 24 (1) of the Regulations of 1992,

references to hydrocarbon oil chargeable with the duty of excise imposed by paragraph 12 (1) of the Order of 1975 shall be construed as including references to substitute motor fuel on which duty is charged and references to the duty of excise imposed by the said paragraph 12 (1) shall be construed as including references to the duty.

(6) Whenever, in relation to circumstances other than those specified in subsections (3) and (4) and in the provisions referred to in paragraphs (a), (b) and (c) of subsection (5), the Minister for Finance so thinks proper, the Commissioners may, subject to compliance with such conditions as they may think fit to impose, remit or repay the duty.

(7) A rebate of the amount of the duty less an amount calculated at the rate of £37.30 per 1,000 litres shall be allowed on substitute motor fuel on which the duty has been paid and which is shown, to the satisfaction of the Commissioners, to be intended for use for a purpose other than combustion in the engine of a motor vehicle.

(8) (a) A person shall not use for combustion in the engine of a motor vehicle or keep in a tank or other container connected to the engine of a motor vehicle any substitute motor fuel on which the duty has not been paid or on which a rebate of the duty under subsection (7) has been allowed.

(b) An officer of the Commissioners or member of the Garda Síochána may examine and take samples of any substitute motor fuel kept in any tank or other container connected to the engine of a motor vehicle constructed or adapted to use substitute motor fuel for combustion in the engine thereof and may require the owner of the vehicle, the person who for the time being stands registered as the owner of the vehicle in the register established under section 131 of the Finance Act, 1992, or the Roads Act, 1920, and the person in charge of the vehicle to furnish them with evidence of payment of the duty on any substitute motor fuel in any such tank or other container and such other information as he or she may reasonably require for the purposes of his or her functions under this section; and those persons shall give to the officer or member all such evidence and other information as is in their possession or procurement.

(c) For the purposes of exercising the powers conferred by paragraph (b), an officer of the Commissioners or a member of the Garda Síochána may, if he or she has reasonable grounds to suspect that a motor vehicle in respect of which an offence under this subsection is being committed is kept at any premises, enter and inspect the premises, other than a dwelling, at any time between the hours of 8 a.m. and 6 p.m. on any day and bring onto the premises any motor vehicle being used by him or her in the course of his or her duties.

(d) In any proceedings against a person for contravening the provisions of paragraph (a), it shall be presumed, until the contrary is proved, that the duty has not been paid on the substitute motor fuel concerned or that the rebate of duty under subsection (7) has been allowed on that fuel as the case may be.

(9) The Commissioners may, if they so think fit, allow any substitute motor fuel which is liable to the duty to be warehoused without payment of the duty, and may, if and in so far as they so think proper, remit the duty on any deficiency arising in goods so warehoused if they are satisfied that no part of such deficiency was caused by illegal or improper means.

(10) (a) A person shall not manufacture, produce, import (other than in the standard tank of a motor vehicle), sell or deal in any substitute motor fuel unless authorised to do so under paragraph (b).

(b) The Commissioners may, on application to them in writing in that behalf and on furnishing them with such information as they may reasonably require, grant to the person concerned an authorisation in writing for the purposes of paragraph (a).

(c) An authorisation under paragraph (b) shall be subject to such conditions, if any, as the Commissioners may specify in the authorisation and any such conditions shall be complied with by the person concerned.

(d) An authorisation under this subsection may make different provisions for persons, premises or substitute motor fuel of different classes or descriptions, for different circumstances and for different cases.

(e) The Commissioners may withdraw any authorisation granted under this subsection if it appears to them that any condition specified in the authorisation has not been or is not being complied with.

(11) The Commissioners may make regulations for giving effect to the provisions of this section and, in particular, but without prejudice to the generality of the foregoing, regulations—

(a) in relation to the manufacture, production, importation, sale, delivery, storage, warehousing and use of substitute motor fuel;

(b) requiring a person who manufactures, produces, imports, stores, sells or uses substitute motor fuel to keep in such manner as may be prescribed by them, and to preserve for a specified period, any books, documents, accounts or other records (including records in a machine readable form) relating to the manufacture, production, importation, purchase, receipt, use, sale or disposal by the person of such substitute motor fuel and to allow any officer of the Commissioners to inspect and take copies of, or of extracts from, such books, documents, accounts and other records (including, in the case of records in a machine readable form, copies in a readable form);

(c) in relation to the obtaining by the Commissioners of such information as they may reasonably require for the purposes of their functions under this section—

(i) from manufacturers and producers of and dealers in substitute motor fuel, in relation to the manufacture, production, importation, storage, supply and use thereof, and

(ii) from owners of or persons for the time being in charge of motor vehicles constructed or adapted for the use of substitute motor fuel for combustion in the engine thereof in relation to such use;

and

(d) providing for the securing, paying, collecting, remitting and repaying the duty.

(12) Any person who contravenes or fails to comply with the provisions of paragraph (a) or (b) of subsection (8) or paragraph (a) or (c) of subsection (10) or any regulation under subsection (11) or who resists, obstructs or impedes an officer of the Commissioners or a member of the Garda Síochána in the exercise of any power conferred by or under this section shall, without prejudice to any other penalty to which he or she may be liable, be guilty of an offence and shall be liable on summary conviction to a penalty, under the law relating to customs or the law relating to excise (as the case may be), of £1,000 and the substitute motor fuel in respect of which the offence was committed shall be liable to forfeiture and, in the case of a contravention of the provisions of subsection (8) (a), if it is a second or subsequent offence by the person under this subsection, the motor vehicle concerned shall be liable to forfeiture.

(13) (a) Subject to paragraph (b), the provisions of the Customs Acts and of any instrument relating to duties of customs made under statute shall, with any necessary modifications, apply in relation to the duty on substitute motor fuel imported into the State as they apply in relation to duties of customs.

(b) Where, in relation to the duty, there is a provision in this section corresponding to a provision of the Customs Acts or of any instrument relating to duties of customs made under statute, the latter provision shall not apply in relation to the duty.

(14) (a) Subject to paragraph (b), the provisions of the Statutes which relate to the duties of excise and the management thereof and of any instrument relating to the duties of excise made under statute shall, with any necessary modifications, apply in relation to the duty on substitute motor fuel manufactured or produced in the State as they apply to duties of excise.

(b) Where, in relation to the duty, there is a provision in this section corresponding to a provision of the Statutes which relate to the duties of excise or any instrument relating to the duties of excise made under statute, the latter provision shall not apply in relation to the duty.

(15) This section shall come into operation on the 1st day of January, 1996.

117 Amendment of section 20 (provisions in relation to excise duty and licences under Act of 1952) of Finance (No. 2) Act, 1992.

117.—Section 20 of the Finance (No. 2) Act, 1992, is hereby amended—

(a) in paragraph (a) of subsection (1), by the addition of the following proviso to that paragraph:

“Provided that where—

(i) a vehicle is entered in the register within the last seven working days of any calendar month and an application is made in the immediately succeeding calendar month for the grant of a licence under section 1 of the Act of 1952 in respect of the vehicle, and

(ii) the applicant for the licence satisfies the licensing authority concerned that the vehicle was not used in a public place at any time during the calendar month in which it was entered in the register,

then, the duty of excise imposed by the Act of 1952, together with any charge to which subsection (2) (a) relates, shall not be payable in respect of any period of the calendar month in which the vehicle was entered in the register.”,

(b) in paragraph (b) of subsection (1) by the substitution of “1992, or” for “1992.” in subparagraph (ii) and by the insertion of the following subparagraph after subparagraph (ii)—

“(iii) a vehicle for the period during which the vehicle has not been used in a public place, commencing on the registration of the vehicle and expiring on the day on which the vehicle is first so used, if but only if—

(I) the registered owner, within seven working days of the date of registration of the vehicle—

(A) pays a fee of £20 to the licensing authority for the area where the registered owner intends to ordinarily keep the vehicle, and

(B) declares in writing to that licensing authority that, for specified reasons, the vehicle has not been used by or on behalf of the registered owner or with the registered owner's consent in a public place and will not be so used in a public place without first making an application to that licensing authority for a licence under section 1 of the Act of 1952,

and

(II) any person, to whom the vehicle is disposed before it is first used in a public place, within seven working days of the acquisition of the vehicle—

(A) pays a fee of £20 to the licensing authority for the area where that person intends to ordinarily keep the vehicle, and

(B) declares in writing to the licensing authority that, for specified reasons, the vehicle has not been used by or on behalf of that person or with that person's consent in a public place and will not be so used in a public place without first making an application to that licensing authority for a licence under section 1 of the Act of 1952.”,

and

(c) in paragraph (a) of subsection (2) by the substitution of “concerned, or” for “concerned,” in subparagraph (ii) and by the insertion of the following subparagraph after subparagraph (ii)—

“(iii) a vehicle in respect of which a declaration has been made under subsection (1) (b) (iii) is used in a public place without—

(I) a licence under section 1 of the Act of 1952, and

(II) payment of the duty of excise applicable to the vehicle,”.

PART III Value-Added Tax

118 Intepretation (Part III).

118.—In this Part—

“the Principal Act” means the Value-Added Tax Act, 1972;

“the Act of 1978” means the Value-Added Tax (Amendment) Act, 1978;

“the Act of 1992” means the Finance Act, 1992.

119 Amendment of section 1 (interpretation) of Principal Act.

119.—Section 1 of the Principal Act is hereby amended in subsection (1)—

(a) by the insertion after the definition of “agricultural service” (inserted by the Act of 1978) of the following definition:

“‘antiques’ has the meaning assigned to it by section 10A;”,

(b) by the insertion after the definition of “Collector-General”of the following definition:

“‘collectors' items’ has the meaning assigned to it by section 10A;”,

(c) by the insertion after the definition of “local authority” of the following definition:

“‘margin scheme’ has the meaning assigned to it by section 10A;”,

(d) by the substitution of the following definition for the definition of “second-hand”:

“‘second-hand goods’ has the meaning assigned to it by section 10A;”,

(e) by the insertion after the definition of “tax” of the following definition:

“‘taxable dealer’, in relation to supplies of movable goods other than means of transport, has the meaning assigned to it by section 10A and, in relation to supplies of means of transport, has the meaning assigned to it by section 12B;”,

and

(f) by the addition after the definition of “vessel” (inserted by the Act of 1992) of the following definition:

“‘works of art’ has the meaning assigned to it by section 10A.”.

120 Amendment of section 3 (supply of goods) of Principal Act.

120.—Section 3 of the Principal Act is hereby amended in subsection (1)—

(a) by the insertion in paragraph (a) after “by agreement” of “other than the transfer of ownership of the goods to a person supplying financial services of the kind specified in subparagraph (i) (e) of the First Schedule, where those services are supplied as part of an agreement of the kind referred to in paragraph (b) in respect of those goods”, and

(b) by the insertion of the following paragraph after paragraph (a):

“(aa) a supply by an auctioneer within the meaning of section 10B or by a taxable dealer,”.

121 Amendment of section 3A (intra-Community acquisition of goods) of Principal Act.

121.—Section 3A (inserted by the Act of 1992) of the Principal Act is hereby amended by the insertion of the following subsection after subsection (1):

“(1A) An intra-Community acquisition of goods shall be deemed not to occur where the supply of those goods is subject to value-added tax referred to in Council Directive No. 77/388/EEC of 17 May 1977[^1] in the Member State of dispatch under the provisions implementing Article 26a or 28o (inserted by Council Directive No. 94/5/EC of 14 February 1994[^2]) of that Directive in that Member State.”.

122 Amendment of section 4 (special provisions in relation to the supply of immovable goods) of Principal Act.

122.—Section 4 of the Principal Act is hereby amended—

(a) by the substitution of the following subsection for subsection (5):

“(5) Where a person disposes of an interest in immovable goods to another person and in connection with that disposal a taxable person enters into an agreement with that other person or person connected with that other person to carry out a development in relation to those immovable goods, then—

(a) the person who disposes of the interest in the said immovable goods shall, in relation to that disposal, be deemed to be a taxable person,

(b) the disposal of the interest in the said immovable goods shall be deemed to be a supply of those goods made in the course or furtherance of business, and

(c) the disposal of the interest in the said immovable goods shall, notwithstanding subsection (1), be deemed to be a disposal of an interest in immovable goods to which this section applies.”,

and

(b) by the insertion in paragraph (b) of subsection (6) after “supply” of “other than a supply of immovable goods to which the provisions of subsection (5) apply”.

123 Amendment of section 5 (supply of services) of Principal Act.

123.—Section 5 (inserted by the Act of 1978) of the Principal Act is hereby amended in subsection (5) by the insertion after “the service” of “has established his business or”.

124 Amendment of section 8 (taxable persons) of Principal Act.

124.—Section 8 of the Principal Act is hereby amended—

(a) in paragraph (a) of subsection (2A) (inserted by the Act of 1978) by the insertion of the following proviso to that paragraph:

“Provided that, where supplies of the kind referred to in, subject to subsection (3E), paragraph (xxiii) of the First Schedule or in paragraph (viic) of the Sixth Schedule are provided by the State or by a local authority, an order under this subsection shall be deemed to have been made in respect of such supplies by the State or by the local authority.”,

and

(b) by the insertion of the following subsection after subsection (3D) (inserted by the European Communities (Value-Added Tax) Regulations, 1992 (S.I. No. 413 of 1992)):

“(3E) (a) Notwithstanding the provisions of section 6 (1) and of subsection (1), and subject to the provisions of subsection (3), where—

(i) a person supplies services which are exempt in accordance with section 6 and paragraph (xxiii) of the First Schedule, or

(ii) the State or a local authority supplies services of the kind referred to in paragraph (xxiii) of the First Schedule,

then an authorised officer of the Revenue Commissioners shall—

(I) where such officer is satisfied that such supply of such services has created or is likely to create a distortion of competition such as to place at a disadvantage a commercial enterprise which is a taxable person supplying similar-type services, or

(II) where such officer is satisfied that such supply of such services is managed or administered by or on behalf of another person who has a direct or indirect beneficial interest, either directly or through an intermediary, in the supply of such services,

make a determination in relation to some or all of such supplies as specified in that determination deeming—

(A) such person, the State or such local authority to be supplying such supplies as specified in that determination in the course or furtherance of business,

(B) such person, the State or such local authority to be a taxable person in relation to the provision of such supplies as specified in that determination, and

(C) such supplies as specified in that determination to be taxable supplies to which the rate specified in section 11 (1) (d) refers.

(b) Where a determination is made under paragraph (a), the Revenue Commissioners shall, as soon as may be after the making thereof, issue a notice in writing of that determination to the party concerned, and such determination shall have effect from such date as may be specified in the notice of that determination:

Provided that such determination shall have effect no sooner than the start of the next taxable period following that in which the notice issued.

(c) Where an authorised officer is satisfied that the conditions that gave rise to the making of a determination under paragraph (a) no longer apply, that officer shall cancel that determination by notice in writing to the party concerned and that cancellation shall have effect from the start of the next taxable period following that in which the notice issued.

(d) In this subsection ‘authorised officer’ means an officer of the Revenue Commissioners authorised by them in writing for the purposes of this subsection.”.

125 Amendment of section 10 (amount on which tax is chargeable) of Principal Act.

125.—Section 10 of the Principal Act is hereby amended—

(a) by the deletion of the proviso to subsection (2), and

(b) by the insertion of the following subsection after subsection (4B) (inserted by the Act of 1992):

“(4C) In the case of a supply of goods of the type referred to in section 3 (1) (b), where, as part of an agreement of the kind referred to in that provision, the supplier of the goods is also supplying financial services of the kind specified in subparagraph (i) (e) of the First Schedule in respect of those goods, the amount on which tax is chargeable in respect of the supply of the goods in question shall be either—

(a) the open market price of the goods, or

(b) the amount of the total consideration as specified in subsection (1) which the person supplying the goods becomes entitled to receive in respect of or in relation to such supply,

whichever is the greater.”.

126 Margin scheme goods.

126.—The Principal Act is hereby amended by the insertion of the following section after section 10:

“10A.—(1) In this section—

‘antiques’ means any of the goods specified in paragraph (xvia) of the Sixth Schedule or in paragraph (iii) of the Eighth Schedule;

‘collectors' items’ means any of the goods specified in paragraph (ii) of the Eighth Schedule;

‘margin scheme’ means the special arrangements for the taxation of supplies of margin scheme goods;

‘margin scheme goods’ means any works of art, collectors' items, antiques or second-hand goods supplied within the Community to a taxable dealer—

(a) by a person, other than a person referred to in paragraph (c), who was not entitled to deduct, under section 12, any tax in respect of that person's purchase, intra-Community acquisition or importation of those goods:

Provided that person is not a taxable person who acquired those goods from—

(i) a taxable dealer who applied the margin scheme to the supply of those goods to that taxable person, or

(ii) an auctioneer within the meaning of section 10B who applied the auction scheme within the meaning of section 10B to the supply of those goods to that taxable person,

or

(b) by a person in another Member State who was not entitled to deduct, under the provisions implementing Article 17 of Council Directive No. 77/388/EEC of 17 May 1977, in that Member State, any value-added tax referred to in that Directive in respect of that person's purchase, intra-Community acquisition or importation of those goods, or

(c) by another taxable dealer who has applied the margin scheme to the supply of those goods or applied the provisions implementing Article 26a (inserted by Council Directive No. 94/5/EC of 14 February 1994) of Council Directive No. 77/388/EEC of 17 May 1977, in another Member State to the supply of those goods;

‘precious metals’ means silver (including silver plated with gold or platinum), gold (including gold plated with platinum), and platinum, and all items which contain any of these metals when the consideration for the supply does not exceed the open market price, as defined in section 10, of the metal concerned;

‘precious stones’ means diamonds, rubies, sapphires and emeralds, whether cut or uncut, when they are not mounted, set or strung;

‘profit margin’ means the profit margin in respect of a supply by a taxable dealer of margin scheme goods and shall be deemed to be inclusive of tax and shall be an amount which is equal to the difference between the taxable dealer's selling price for those goods and the taxable dealer's purchase price for those goods:

Provided that, in respect of that supply, where the purchase price is greater than the selling price, the profit margin shall be deemed to be nil;

‘purchase price’, in relation to an acquisition of margin scheme goods, means the total consideration including all taxes, commissions, costs and charges whatsoever, payable by a taxable dealer to the person from whom that taxable dealer acquired those goods;

‘second-hand goods’ means any tangible movable goods which are suitable for further use either as they are or after repair, other than means of transport, works of art, collectors' items, antiques, precious metals and precious stones;

‘selling price’ means the total consideration which a taxable dealer becomes entitled to receive in respect of or in relation to a supply of margin scheme goods including all taxes, commissions, costs and charges whatsoever and value-added tax, if any, payable in respect of the supply;

‘taxable dealer’ means a taxable person who in the course or furtherance of business, whether acting on that person's own behalf, or on behalf of another person pursuant to a contract under which commission is payable on purchase or sale, purchases or acquires margin scheme goods or the goods referred to in paragraphs (b) and (c) of subsection (4), with a view to resale, or imports the goods referred to in paragraph (a) of subsection (4), with a view to resale, and a person in another Member State shall be deemed to be a taxable dealer where, in similar circumstances, that person would be a taxable dealer in the State under this section;

‘works of art’ means any of the goods specified in paragraph (xvi), or subparagraph (a) of paragraph (xxii), of the Sixth Schedule or in paragraph (i) of the Eighth Schedule.

(2) Subject to and in accordance with the provisions of this section, a taxable dealer may apply the margin scheme to a supply of margin scheme goods.

(3) Where the margin scheme is applied to a supply of goods, then notwithstanding section 10, the amount on which tax is chargeable by virtue of section 2 (1) (a) on that supply shall be the profit margin less the amount of tax included in the profit margin.

(4) Subject to such conditions (if any) as may be specified in regulations, a taxable dealer may, notwithstanding subsection (2), opt to apply the margin scheme to all that dealer's supplies of any of the following as if they were margin scheme goods—

(a) a work of art, collector's item or antique which the taxable dealer imported, or

(b) a work of art which has been supplied to the taxable dealer by its creator or the creator's successors in title, or

(c) a work of art which has been supplied to the taxable dealer by a taxable person other than a taxable dealer, where the supply to that dealer is of the type referred to in section 11 (1AA) (b) (ii):

Provided that where a taxable dealer so opts in accordance with this subsection, such option shall be for a period of not less than two years from the date when such option was exercised.

(5) Where a taxable dealer exercises the option in accordance with subsection (4), in respect of the goods specified at paragraph (a) thereto, then notwithstanding the definition of purchase price in subsection (1), the purchase price for the purposes of determining the profit margin in relation to a supply of those goods shall be an amount equal to the value of those goods for the purposes of importation determined in accordance with section 15 increased by the amount of any tax payable in respect of the importation of those goods.

(6) Subject to subsection (7) and notwithstanding section 12, a taxable dealer who exercises the option in respect of the supply of the goods specified in subsection (4) shall not be entitled to deduct any tax in respect of the purchase or importation of those goods.

(7) Where a taxable dealer exercises the option in accordance with subsection (4), that dealer may, notwithstanding the proviso to subsection (4), in respect of any individual supply of the goods specified in subsection (4), opt not to apply the margin scheme to that supply, and in such case the right to deduction of the tax charged on the purchase, intra-Community acquisition or importation of those goods shall, notwithstanding section 12, arise only in the taxable period in which the dealer supplies those goods.

(8) (a) Notwithstanding subsection (3), and subject to and in accordance with regulations (if any)—

(i) where a taxable dealer acquires low value margin scheme goods in job lots or otherwise, the amount of tax due and payable in respect of that dealer's supplies of low value margin scheme goods shall, in respect of a taxable period, be the amount of tax included in that dealer's aggregate margin, or margins, for that period and the amount of tax in each aggregate margin shall be determined by the formula:

A	B _ B 100

where—

A is the aggregate margin for the taxable period in question, and

B is the percentage rate of tax chargeable in relation to the supply of those goods, and

(ii) where the taxable dealer referred to in paragraph (i) in any taxable period makes supplies which are subject to different rates of tax, that taxable dealer shall calculate separate aggregate margins for that taxable period in respect of the supplies at each of the relevant rates.

(b) Subject to, and in accordance with regulations (if any), where a taxable dealer supplies a low value margin scheme good for an amount in excess of £500 then—

(i) notwithstanding the definition of low value margin scheme goods in paragraph (c), the supply of that good shall be deemed not to be a supply of a low value margin scheme good,

(ii) in determining the aggregate margin for the taxable period in which the supply occurs, the taxable dealer shall deduct the purchase price of that good from the sum of the taxable dealer's purchase prices of low value margin scheme goods for that period, and

(iii) the purchase price of that good shall be used in determining the profit margin in relation to the supply of that good.

(c) In this subsection—

‘aggregate margin’, in respect of a taxable period, means an amount which is equal to the difference between the taxable dealer's total turnover in that period from supplies of low value margin scheme goods, to which the same rate of tax applies, less the sum of that taxable dealer's purchase prices of low value margin scheme goods to which that rate of tax applies to the supply thereof, in that taxable period:

Provided that where the sum of that dealer's said purchase prices is in excess of the said total turnover, the appropriate aggregate margin shall be deemed to be nil and subject to, and in accordance with, regulations (if any), the amount of the excess shall be carried forward and added to the sum of that dealer's purchase prices for low value margin scheme goods for the purposes of calculating that dealer's appropriate aggregate margin for the immediately following taxable period;

‘low value margin scheme goods’ means margin scheme goods where the purchase price payable by the dealer for each individual item is less than £500.

(9) Notwithstanding section 17, a taxable dealer shall not, in relation to any supply to which the margin scheme has been applied, indicate separately the amount of tax chargeable in respect of the supply on any invoice or other document in lieu thereof issued in accordance with that section.

(10) Where the margin scheme is applied to a supply of goods dispatched or transported from the State to a person registered for value-added tax in another Member State, then notwithstanding paragraph (i)(b) of the Second Schedule, the provisions of section 11 (1) (b) shall not apply, unless such goods are of a kind specified elsewhere in the Second Schedule.

(11) Notwithstanding section 3 (6) (d), where the margin scheme is applied to a supply of goods dispatched or transported, the place of supply of those goods shall be deemed to be the place where the dispatch or transportation begins.

(12) Where a taxable dealer applies the margin scheme to a supply of goods on behalf of another person pursuant to a contract under which commission is payable on purchase or sale, the goods shall be deemed to have been supplied by that other person to the taxable dealer when the said taxable dealer supplies those goods.

(13) Notwithstanding paragraph (xxiv) of the First Schedule, where a taxable person acquires goods to which the margin scheme has been applied and that person subsequently supplies those goods, the provisions of that paragraph shall not apply to that supply.”.

127 Special scheme for auctioneers.

127.—The Principal Act is hereby amended by the insertion of the following section after section 10A (inserted by this Part):

“10B.—(1) In this section—

‘auctioneer’ means a taxable person who, in the course or furtherance of business, acting on behalf of another person pursuant to a contract under which commission is payable on purchase or sale, offers tangible movable goods for sale by public auction with a view to handing them over to the highest bidder;

‘auctioneer's margin’ means an amount which is equal to the difference between the total amount, including any taxes, commissions, costs and charges whatsoever, payable by the purchaser to the auctioneer in respect of the auction of auction scheme goods and the amount payable by the auctioneer to the principal in respect of the supply of those goods and shall be deemed to be inclusive of tax;

‘auction scheme’ means the special arrangements for the taxation of supplies of auction scheme goods;

‘auction scheme goods’ means any works of art, collectors' items, antiques or second-hand goods sold by an auctioneer at a public auction while acting on behalf of a principal who is—

(a) a person, other than a person referred to in paragraph (c), who was not entitled to deduct, under section 12, any tax in respect of that person's purchase, intra-Community acquisition or importation of those goods:

Provided that person is not a taxable person who acquired those goods from—

(i) an auctioneer who applied the auction scheme to the supply of those goods to that taxable person, or

(ii) a taxable dealer who applied the margin scheme to the supply of those goods to that taxable person,

or

(b) a person in another Member State who was not entitled to deduct, under the provisions implementing Article 17 of Council Directive No. 77/388/EEC of 17 May 1977, in that Member State, any value-added tax referred to in that Directive in respect of that person's purchase, intra-Community acquisition or importation of those goods, or

(c) a taxable dealer who applied the margin scheme to the supply of those goods or applied the provisions implementing Article 26a (inserted by Council Directive No. 94/5/EC of 14 February 1994) of Council Directive No. 77/388/EEC of 17 May 1977, in another Member State to the supply of those goods;

‘principal’ means the person on whose behalf an auctioneer auctions goods;

‘purchaser’ means the person to whom an auctioneer supplies auction scheme goods.

(2) Subject to and in accordance with the provisions of this section, an auctioneer shall apply the auction scheme to any supply of auction scheme goods.

(3) Notwithstanding section 10, the amount on which tax is chargeable, by virtue of section 2 (1) (a), on a supply by an auctioneer of auction scheme goods shall be the auctioneer's margin less the amount of tax included in that auctioneer's margin.

(4) Where auction scheme goods are auctioned, the auctioneer shall issue, subject to such conditions (if any) as may be specified in regulations, to both the principal and the purchaser, invoices or documents in lieu thereof setting out the relevant details in respect of the supply of the auction scheme goods.

(5) Notwithstanding section 17, an auctioneer shall not, in relation to any supply to which the auction scheme has been applied, indicate separately the amount of tax chargeable in respect of the supply on any invoice or other document in lieu thereof issued in accordance with that section.

(6) Where auction scheme goods are auctioned by an auctioneer on behalf of a principal who is a taxable person, the invoice or document in lieu thereof issued to the principal in accordance with subsection (4) shall be deemed to be an invoice for the purposes of section 17, and the said principal shall be deemed to have issued same.

(7) Where the auction scheme is applied to a supply of goods dispatched or transported from the State to a person registered for value-added tax in another Member State then, notwithstanding paragraph (i) (b) of the Second Schedule, the provisions of section 11 (1) (b) shall not apply, unless such goods are of a kind specified elsewhere in the Second Schedule.

(8) Notwithstanding section 3 (6) (d), where the auction scheme is applied to a supply of goods dispatched or transported, the place of supply of those goods shall be deemed to be the place where the dispatch or transportation begins.

(9) Where an auctioneer supplies tangible movable goods by public auction, the principal shall be deemed to have made a supply of the auction scheme goods in question to the auctioneer when the said auctioneer sells those goods at a public auction.

(10) Notwithstanding paragraph (xxiv) of the First Schedule, where a taxable person acquires goods to which the auction scheme has been applied and that person subsequently supplies those goods, the provisions of that paragraph shall not apply to that supply.”.

128 Amendment of section 11 (rates of tax) of Principal Act.

128.—Section 11 of the Principal Act is hereby amended—

(a) by the insertion of the following subsection after subsection (1A):

“(1AA) Notwithstanding subsection (1), tax shall be charged at the rate specified in section 11 (1) (d) of the amount on which tax is chargeable in relation to—

(a) the importation into the State of goods specified in the Eighth Schedule,

(b) the supply of a work of art of the kind specified in paragraph (i) of the Eighth Schedule, effected—

(i) by its creator or the creator's successors in title, or

(ii) on an occasional basis by a taxable person other than a taxable dealer where—

(I) that work of art has been imported by the taxable person, or

(II) that work of art has been supplied to the taxable person by its creator or the creator's successors in title, or

(III) the tax chargeable in relation to the purchase, intra-Community acquisition or importation of that work of art by the taxable person was wholly deductible under section 12,

and

(c) the intra-Community acquisition in the State by a taxable person of a work of art of the kind specified in paragraph (i) of the Eighth Schedule where the supply of that work of art to that taxable person which resulted in that intra-Community acquisition is a supply of the type that would be charged at the rate specified in section 11 (1) (d) in accordance with paragraph (b), if that supply had occurred within the State.”,

and

(b) by the deletion of subsection (5).

129 Amendment of section 12 (deductions for tax borne or paid) of Principal Act.

129.—Section 12 of the Principal Act is hereby amended—

(a) in paragraph (a) of subsection (1) by the substitution of the following subparagraph for subparagraph (vi):

“(vi) subject to and in accordance with regulations (if any), residual tax referred to in section 12B,”,

and

(b) by the insertion of the following subsection after subsection (3):

“(3A) Notwithstanding anything in this section, where—

(a) the provisions of subsection (3) or (8) of section 10A or subsection (3) of section 10B have been applied to a supply of goods to a taxable person, or

(b) a taxable dealer deducts residual tax, in accordance with subsection (1) (a) (vi), in respect of a supply of a means of transport to a taxable person,

that taxable person shall not deduct, in accordance with subsection (1), any tax in relation to the supply to that person.”.

130 Special scheme for means of transport supplied by taxable dealers.

130.—The Principal Act is hereby amended by the insertion of the following section after section 12A:

“12B.—(1) Where a taxable dealer supplies a means of transport, the residual tax which is deductible in accordance with section 12 (1) (a) (vi) shall be deemed to be tax and shall be the amount referred to in subsection (4).

(2) The entitlement to deduct residual tax referred to in subsection (1) shall arise only where a taxable dealer purchases or acquires—

(a) a means of transport from a person, other than a person referred to in subsection (10), who was not entitled to deduct, under section 12, any tax in respect of that person's purchase, intra-Community acquisition or importation of that means of transport, or