Finance (No. 2) Act 2008

(1)	(2)	(3)
Reference Number	Description of Licence	Rate of Duty
	MANUFACTURERS’ LICENCES
	Licence to be taken out annually by:
1.	Distiller of spirits	€500
2.	Rectifier or compounder of spirits	€500
3.	Brewer of beer for sale	€500
4.	Maker for sale of sweets	€500
5.	Maker of cider or perry for sale	€500
	WHOLESALE DEALERS’ LICENCES
	Licence to be taken out annually by:
6.	Wholesale dealer in spirits	€500
7.	Wholesale dealer in beer	€500
8.	Wholesale dealer in wine	€500
9.	Wholesale dealer in spirits of wine	€500
	RETAILERS’ ON-LICENCES
	Licence to be taken out annually by:
10.	Retailer of beer	€500
11.	Retailer of wine	€500
12.	Retailer of sweets	€500
13.	Retailer of cider	€500
	RETAILERS’ OFF-LICENCES
	Licence to be taken out annually by:
14.	Retailer of spirits	€500
15.	Retailer of beer	€500
16.	Retailer of cider	€500
17.	Retailer of wine	€500
18.	Retailer of sweets	€500
	PASSENGER VESSEL LICENCES
19.	Licence to be taken out annually in respect of a passenger vessel by the master or other person belonging to the vessel nominated by the owner of the vessel	€500
20.	Licence to be taken out in respect of a passenger vessel by the master or other person belonging to the vessel nominated by the owner of the vessel, and to be in force for one day only	€100
	RAILWAY RESTAURANT CAR LICENCES
21.	Licence to be taken out annually in respect of a railway restaurant car by the railway company or other person owning the car	€500
	PASSENGER AIRCRAFT LICENCES
22.	Licence to be taken out annually by an air transport concern in respect of an aircraft in flight owned or hired by that concern	€500

SCHEDULE 3 Miscellaneous Amendments: Incentive to Pay and File Electronically

(a) in section 239 by inserting the following after subsection (4) (as amended by the Finance (No. 2) Act 2008):

“(4A) Where a return referred to in subsection (4) is made by electronic means and in accordance with Chapter 6 of Part 38, then subsection (4) shall apply and have effect as if ‘day 23 of the month’ were substituted for ‘day 21 of the month’; but where that return is made after the day provided for in this subsection the Tax Acts shall apply and have effect without regard to the provisions of this subsection.”,

(b) in section 531 by inserting the following after subsection (3A):

“(3AA) Where a return and remittance referred to, respectively, in subparagraphs (a)(i) and (a)(ii) of subsection (3A) are—

(a) as respects the return, made by electronic means and in accordance with Chapter 6 of Part 38, and

(b) as respects the remittance, made by such electronic means (within the meaning of section 917EA) as are required by the Revenue Commissioners,

then subsection (3A) shall apply and have effect as if ‘the 23rd day of an income tax month’ were substituted for ‘the 14th day of an income tax month’; but where that return or remittance is made after the day provided for in this subsection the Income Tax Acts shall apply and have effect without regard to the provisions of this subsection.”,

(c) in section 950 by inserting the following after subsection (1):

“(1A) Where a return together with any payment which a company is required to make in accordance with the provisions of the Tax Acts are—

(a) as respects the return, made by electronic means and in accordance with Chapter 6 of Part 38, and

(b) as respects the payment, made by such electronic means (within the meaning of section 917EA) as are required by the Revenue Commissioners,

then the definition of ‘ specified return date for the chargeable period ’ shall apply and have effect as if in paragraphs (b) and (c) ‘day 23 of the month’ were substituted for ‘day 21 of the month’; but where that return or payment is made after the day provided for in this subsection those Acts shall apply and have effect without regard to the provisions of this subsection.”,

and

(d) in section 958 by inserting the following after subsection (2BA) (inserted by the Finance (No. 2) Act 2008):

“(2BB) Where a payment of preliminary tax due and payable in accordance with subsection (2B) or (2BA) is made by such electronic means (within the meaning of section 917EA) as are required by the Revenue Commissioners, then paragraphs (a) and (b) of subsection (2B) and paragraphs (b) and (c) of subsection (2BA) shall apply and have effect as if ‘day 23 of the month’ were substituted for ‘day 21 of the month’ and ‘day 23 of that month’ were substituted for ‘day 21 of that month’ in each place where it occurs; but where that payment is made after the day provided for in this subsection the Tax Acts shall apply and have effect without regard to the provisions of this subsection.”.

“(3A) Where a remittance or, as the case may be, a return and remittance, referred to in paragraph (a), subparagraphs (ii)(II) and (iv)(II) of paragraph (aa) and paragraph (b) of subsection (3) is or are—

(a) as respects the remittance, made by such electronic means (within the meaning of section 917EA of the Taxes Consolidation Act 1997) as are required by the Revenue Commissioners, and

(b) as respects the return, made by electronic means and in accordance with Chapter 6 of Part 38 of the Taxes Consolidation Act 1997,

then the said paragraphs (a), (aa) and (b) shall apply and have effect as if ‘13 days’ were substituted for ‘9 days’ or, as the case may be, ‘nine days’ in each place where it occurs; but where that remittance or return is made after the period provided for in this subsection this Act shall apply and have effect without regard to the provisions of this subsection.”.

SCHEDULE 4 Provisions Relating to Collection and Recovery of Tax

(a) in Chapter 1 of Part 39, by substituting the following for section 928:

“Transmission to Collector-General of particulars of sums to be collected.

928.— (1) In this section—

‘ assessment ’ and ‘ Revenue officer ’ have, respectively, the same meanings as in Chapter 1A of Part 42;

‘ tax ’ means income tax, corporation tax, capital gains tax, value-added tax, excise duty, stamp duty, gift tax and inheritance tax.

(2) After assessments to tax have been made, the inspectors or other Revenue officers shall transmit particulars of the sums to be collected to the Collector-General or to a Revenue officer nominated in writing under section 960B for collection.

(3) The entering by an inspector or other Revenue officer of details of an assessment to tax and of the tax charged in such an assessment in an electronic, digital, magnetic, optical, electromagnetic, biometric, photonic, photographic or other record from which the Collector-General or a Revenue officer nominated in writing under section 960B may extract such details by electronic, digital, magnetic, optical, electromagnetic, biometric, photonic, photographic or other process shall constitute transmission of such details by the inspector or other Revenue officer to the Collector-General or to the Revenue officer nominated in writing under section 960B.”,

(b) in Part 42—

(i) by inserting the following after Chapter 1:

Interpretation

Interpretation.

960A.— (1) In Chapters 1A, 1B and 1C, unless the contrary is expressly stated—

‘ Acts ’ means—

(a) the Tax Acts,

(b) the Capital Gains Tax Acts,

(c) the Value-Added Tax Act 1972, and the enactments amending and extending that Act,

(d) the statutes relating to the duties of excise and to the management of those duties and the enactments amending and extending those statutes,

(e) the Stamp Duties Consolidation Act 1999 and the enactments amending and extending that Act,

(f) the Capital Acquisitions Tax Consolidation Act 2003 and the enactments amending and extending that Act,

(g) Parts 18A and 18B (inserted by the Finance (No. 2) Act 2008),

and any instruments made under any of those Acts;

‘ assessment ’ means any assessment to tax made under any provision of the Acts, including any amended assessment, additional assessment, correcting assessment and any estimate made under section 990 or under Regulation 13 or 14 of the RCT Regulations and any estimate made under section 22 of the Value-Added Tax Act 1972;

‘ emoluments ’ has the same meaning as in section 983;

‘ income tax month ’ has the same meaning as in section 983;

‘ PAYE Regulations ’ means regulations made under section 986;

‘ RCT Regulations ’ means the Income Tax (Relevant Contracts) Regulations 2000 (S.I. No. 71 of 2000);

‘Revenue officer’ means any officer of the Revenue Commissioners;

‘tax’ means any income tax, corporation tax, capital gains tax, value-added tax, excise duty, stamp duty, gift tax, inheritance tax or any other levy or charge which is placed under the care and management of the Revenue Commissioners and includes—

(a) any interest, surcharge or penalty relating to any such tax, duty, levy or charge,

(b) any clawback of a relief or an exemption relating to any such tax, duty, levy or charge, and

(c) any sum which is required to be deducted or withheld by any person and paid or remitted to the Revenue Commissioners or the Collector-General, as the case may be, under any provision of the Acts;

‘tax due and payable’ means tax due and payable under any provision of the Acts.

Discharge of Collector-General’s functions.

960B.— The Revenue Commissioners may nominate in writing any Revenue officer to perform any acts and to discharge any functions authorised by Chapters 1B and 1C to be performed or discharged by the Collector-General other than the acts and functions referred to in subsections (1) to (4) of section 960N, and references in this Part to ‘Collector-General’ shall be read accordingly.

Collection of tax, etc.

Tax to be due and payable to Revenue Commissioners.

960C.— Tax due and payable under the Acts shall be due and payable to the Revenue Commissioners.

Tax to be debt due to Minister for Finance.

960D.— Tax due and payable to the Revenue Commissioners shall be treated as a debt due to the Minister for Finance for the benefit of the Central Fund.

Collection of tax, issue of demands, etc.

960E.— (1) Tax due and payable to the Revenue Commissioners by virtue of section 960C shall be paid to and collected by the Collector-General, including tax charged in all assessments to tax, particulars of which have been given to the Collector-General under section 928.

(2) The Collector-General shall demand payment of tax that is due and payable but remaining unpaid by the person from whom that tax is payable.

(3) Where tax is not paid in accordance with the demand referred to in subsection (2), the Collector-General shall collect and levy the tax that is due and payable but remaining unpaid by the person from whom that tax is payable.

(4) On payment of tax, the Collector-General may provide a receipt to the person concerned in respect of that payment and such receipt shall consist of whichever of the following the Collector-General considers appropriate, namely—

(a) a separate receipt in respect of each such payment, or

(b) a receipt for all such payments that have been made within the period specified in the receipt.

Moneys received for capital acquisitions tax and stamp duties and not appropriated to be recoverable.

960F.— (1) Any person who—

(a) having received a sum of money in respect of gift tax, inheritance tax or stamp duties, does not pay that sum to the Collector-General, and

(b) improperly withholds or detains such sum of money,

shall be accountable to the Revenue Commissioners for the payment of that sum to the extent of the amount so received by that person.

(2) The sum of money referred to in subsection (1) shall be treated as a debt due to the Minister for Finance for the benefit of the Central Fund and section 960I shall apply to any such sum as if it were tax due and payable.

Duty of taxpayer to identify liability against which payment to be set, etc.

960G.— (1) Subject to subsection (2), every person who makes a payment of tax to the Revenue Commissioners or to the Collector-General shall identify the liability to tax against which he or she wishes the payment to be set.

(2) Where payment of tax is received by the Revenue Commissioners or the Collector-General and the payment is accompanied by a pay slip, a tax return, a tax demand or other document issued by the Revenue Commissioners or the Collector-General, the payment shall, unless the contrary intention is or has been clearly indicated, be treated as relating to the tax referred to in the document concerned.

(3) Where a payment is received by the Revenue Commissioners or the Collector-General from a person and it cannot reasonably be determined by the Revenue Commissioners or the Collector-General from the instructions, if any, which accompanied the payment which liabilities the person wishes the payment to be set against, then the Revenue Commissioners or the Collector-General may set the payment against any liability due by the person under the Acts.

Offset between taxes.

960H.— (1) In this section—

‘ claim ’ means a claim that gives rise to either or both a repayment of tax and a payment of interest payable in respect of such a repayment and includes part of such a claim;

‘ liability ’ means any tax due and payable which is unpaid and includes any tax estimated to be due and payable;

‘ overpayment ’ means a payment or remittance (including part of such a payment or remittance) which is in excess of the amount of the liability against which it is credited.

(2) Where the Collector-General is satisfied that a person has not complied with the obligations imposed on the person in relation to either or both—

(a) the payment of tax that is due and payable, and

(b) the delivery of returns required to be made,

then the Collector-General may, in a case where a repayment is due to the person in respect of a claim or overpayment—

(i) where paragraph (a) applies, or where paragraphs (a) and (b) apply, instead of making the repayment, set the amount of the repayment against any liability, and

(ii) where paragraph (b) only applies, withhold making the repayment until such time as the returns required to be delivered have been delivered.

(3) (a) Where a person (referred to in this subsection as the ‘ first-men tioned person ’) has assigned, transferred or sold a right to a claim or overpayment to another person (referred to in this subsection as the ‘ second- mentioned person ’) and subsection (2)(a) applies, then the Collector-General shall, in a case where a repayment would have been due to the first-mentioned person in respect of the claim or overpayment if he or she had not assigned, transferred or sold his or her right to the claim or overpayment, instead of making the repayment to the second-mentioned person, set that claim or overpayment against tax that is due and payable by that first-mentioned person.

(b) Where the first-mentioned person and the second-mentioned person are connected persons within the meaning of section 10, then the balance, if any, of the repayment referred to in paragraph (a) shall be set against tax due and payable by the second-mentioned person.

(4) Where the Collector-General has set or withheld a repayment by virtue of subsection (2) or (3), then he or she shall give notice in writing to that effect to the person or persons concerned and, where subsection (2)(ii) applies, interest shall not be payable under any provision of the Acts from the date of such notice in respect of any repayment so withheld.

(5) The Revenue Commissioners may make regulations for the purpose of giving effect to this section and, without prejudice to the generality of the foregoing, such regulations may provide for the order of priority of the liabilities to tax against which any claim or overpayment is to be set in accordance with subsection (2) or (3) or both.

(6) Every regulation made under this section is to be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done under the regulation.

(7) The Taxes (Offset of Repayments) Regulations 2002 (S.I. No. 471 of 2002) shall have effect as if they were made under subsection (5) and had complied with subsection (6).

Recovery provisions, evidential rules, etc.

Recovery of tax by way of civil proceedings.

960I.— (1) Without prejudice to any other means by which payment of tax may be enforced, any tax due and payable or any balance of such tax may be sued for and recovered by proceedings taken by the Collector-General in any court of competent jurisdiction.

(2) All or any of the amounts of tax due from any one person may be included in the same summons.

(3) The rules of court for the time being applicable to civil proceedings commenced by summary summons, in so far as they relate to the recovery of tax, shall apply to proceedings under this section.

(4) The acceptance of a part payment or a payment on account in respect of tax referred to in a summons shall not prejudice proceedings for the recovery of the balance of the tax due and the summons may be amended accordingly.

(5) (a) Proceedings under this section may be brought for the recovery of the total amount which an employer is liable, under Chapter 4 and the PAYE Regulations, to pay to the Collector-General for any income tax month without—

(i) distinguishing the amounts for which the employer is liable to pay by reference to each employee, and

(ii) specifying the employees in question.

(b) For the purposes of the proceedings referred to in paragraph (a), the total amount shall be one single cause of action or one matter of complaint.

(c) Nothing in this subsection shall prevent the bringing of separate proceedings for the recovery of each of the several amounts which the employer is liable to pay by reference to any income tax month and to the employer’s several employees.

(6) For the purposes of subsection (5), any amount of tax—

(a) estimated under section 989, or

(b) estimated under section 990 or any balance of tax so estimated but remaining unpaid,

is deemed to be an amount of tax which any person paying emoluments was liable, under Chapter 4 and the PAYE Regulations, to pay to the Collector-General.

Evidential and procedural rules.

960J.— (1) In proceedings for the recovery of tax, a certificate signed by the Collector-General to the effect that, before the proceedings were instituted, any one or more of the following matters occurred:

(a) the assessment to tax, if any, was duly made,

(b) the assessment, if any, has become final and conclusive,

(c) the tax or any specified part of the tax is due and outstanding,

(d) demand for the payment of the tax has been duly made,

shall be evidence until the contrary is proved of such of those matters that are so certified by the Collector-General.

(2) (a) Subsection (1) shall not apply in the case of tax to which Chapter 4 applies.

(b) In proceedings for the recovery of tax to which Chapter 4 applies, a certificate signed by the Collector-General that a stated amount of income tax under Schedule E is due and outstanding shall be evidence until the contrary is proved that the amount is so due and outstanding.

(3) In proceedings for the recovery of tax, a certificate purporting to be signed by the Collector-General certifying the matters or any of the matters referred to in subsection (1) or (2) may be tendered in evidence without proof and shall be deemed until the contrary is proved to have been duly signed by the person concerned.

(4) If a dispute relating to a certificate referred to in subsection (1), (2) or (3) arises during proceedings for the recovery of tax, the judge may adjourn the proceedings to allow the Collector-General or the Revenue officer concerned to attend and give oral evidence in the proceedings and for any register, file or other record relating to the tax to be produced and put in evidence in the proceedings.

Judgments for recovery of tax.

960K.— (1) In this section ‘judgment’ includes any order or decree.

(2) Where, in any proceedings for the recovery of tax, judgment is given against a person and a sum of money is accepted from the person against whom the proceedings were brought on account or in part payment of the amount of which the judgment was given, then—

(a) such acceptance shall not prevent or prejudice the recovery under the judgment of the balance of that amount that remains unpaid,

(b) the judgment shall be capable of being executed and enforced in respect of the balance as fully in all respects and by the like means as if the balance were the amount for which the judgment was given,

(c) the law relating to the execution and enforcement of the judgment shall apply in respect of the balance accordingly, and

(d) a certificate signed by the Collector-General stating the amount of the balance shall, for the purposes of the enforcement and execution of the judgment, be evidence until the contrary is proved of the amount of the balance.

Recovery by sheriff or county registrar.

960L.— (1) Where any person does not pay any sum in respect of tax for which he or she is liable under the Acts, the Collector-General may issue a certificate to the county registrar or sheriff of the county in which the person resides or has a place of business certifying the amount due and outstanding and the person from whom that amount is payable.

(2) (a) For the purposes of this subsection—

‘ electronic ’ has the meaning assigned to it by the Electronic Commerce Act 2000 and an ‘electronic certificate’ shall be construed accordingly;

‘ issued in non-paper format ’ includes issued in facsimile.

(b) A certificate to be issued by the Collector-General under this section may—

(i) be issued in an electronic or other format, and

(ii) where the certificate is issued in a non-paper format, be reproduced in a paper format by the county registrar or sheriff or by persons authorised by the county registrar or sheriff to do so.

(c) A certificate issued in a non-paper format in accordance with paragraph (b) shall—

(i) constitute a valid certificate for the purposes of this section,

(ii) be deemed to have been made by the Collector-General, and

(iii) be deemed to have been issued on the date that the Collector-General caused the certificate to issue.

(d) (i) Where a certificate issued by the Collector-General is reproduced in a non-paper format in accordance with paragraph (b)(ii) and—

(I) the reproduction contains, or there is appended to it, a note to the effect that it is a copy of the certificate so issued, and

(II) the note contains the signature of the county registrar or sheriff or of the person authorised under paragraph (b)(ii) and the date of such signing,

then the copy of the certificate with the note so signed and dated shall, for all purposes, have effect as if it was the certificate itself.

(ii) A signature or date in a note, on a copy of, or appended to, a certificate issued in a non-paper format by the Collector-General, and reproduced in a paper format in accordance with paragraph (b)(ii), that—

(I) in respect of such signature, purports to be that of the county registrar or sheriff or of a person authorised to make a copy, shall be taken until the contrary is shown to be the signature of the county registrar or sheriff or of a person who at the material time was so authorised, and

(II) in respect of such date, shall be taken until the contrary is shown to have been duly dated.

(3) (a) Immediately on receipt of the certificate, the county registrar or sheriff shall proceed to levy the amount certified in the certificate to be in default by seizing all or any of the goods, animals or other chattels within his or her area of responsibility belonging to the defaulter.

(b) For the purposes of paragraph (a), the county registrar or sheriff shall (in addition to the rights, powers and duties conferred on him or her by this section) have all such rights, powers and duties as are for the time being vested in him or her by law in relation to the execution of a writ of fieri facias in so far as those rights, powers and duties are not inconsistent with the additional rights, powers and duties conferred on him or her by this section.

(4) A county registrar or sheriff executing a certificate under this section shall be entitled—

(a) if the sum certified in the certificate is in excess of €19,050, to charge and (where appropriate) to add to that sum and (in any case) to levy under the certificate such fees and expenses, calculated in accordance to the scales appointed by the Minister for Justice, Equality and Law Reform under section 14(1)(a) of the Enforcement of Court Orders Act 1926 and for the time being in force, as the county registrar or sheriff would be entitled so to charge or add and to levy if the certificate were an execution order, within the meaning of the Enforcement of Court Orders Act 1926 (in this section referred to as an ‘execution order’), of the High Court,

(b) if the sum referred to in the certificate to be in default exceeds €3,175 but does not exceed €19,050, to charge and (where appropriate) to add to that sum and (in any case) to levy under the certificate such fees and expenses, calculated according to the scales referred to in paragraph (a), as the county registrar or sheriff would be entitled so to charge or add and to levy if the certificate were an execution order of the Circuit Court, and

(c) if the sum certified in the certificate to be in default does not exceed €3,175 and (where appropriate) to add to that sum and (in any case) to levy under the certificate such fees and expenses, calculated according to the scales referred to in paragraph (a), as the county registrar or sheriff would be entitled so to charge or add and to levy if the certificate were an execution order of the District Court.

Taking by Collector-General of proceedings in bankruptcy.

960M.— (1) The Collector-General may in his or her own name apply for the grant of a bankruptcy summons under section 8 of the Bankruptcy Act 1988 or present a petition for adjudication under section 11 of that Act in respect of tax (except corporation tax) due and payable or any balance of such tax.

(2) Subject to this section, the rules of court for the time being applicable and the enactments relating to bankruptcy shall apply to proceedings under this section.

Continuance of pending proceedings and evidence in proceedings.

960N.— (1) Where the Collector-General has instituted proceedings under section 960I(1) or 960M(1) for the recovery of tax or any balance of tax and, while such proceedings are pending, such Collector-General ceases for any reason to hold that office, the proceedings may be continued in the name of that Collector-General by any person (in this section referred to as the ‘successor’) duly appointed to collect such tax in succession to that Collector-General or any subsequent Collector-General.

(2) In any case where subsection (1) applies, the successor shall inform the person or persons against whom the proceedings concerned are pending that those proceedings are being so continued and, on service of such notice, notwithstanding any rule of court, it shall not be necessary for the successor to obtain an order of court substituting him or her for the person who has instituted or continued proceedings.

(3) Any affidavit or oath to be made by a Collector-General for the purposes of the Judgment Mortgage (Ireland) Act 1850 or the Judgment Mortgage (Ireland) Act 1858 may be made by a successor.

(4) Where the Collector-General duly appointed to collect tax in succession to another Collector-General institutes or continues proceedings under section 960I(1) or 960M(1) for the recovery of tax or any balance of tax, then the person previously appointed as Collector-General shall for the purposes of the proceedings be deemed until the contrary is proved to have ceased to be the Collector-General appointed to collect the tax.

(5) Where a Revenue officer nominated in accordance with section 960B has instituted proceedings under section 960I(1) or 960M(1) for the recovery of tax or the balance of tax, and while such proceedings are pending, such officer dies or otherwise ceases for any reason to be a Revenue officer—

(a) the right of such officer to continue proceedings shall cease and the right to continue proceedings shall vest in such other officer as may be nominated by the Revenue Commissioners,

(b) where such other officer is nominated he or she shall be entitled accordingly to be substituted as a party to the proceedings in the place of the first-mentioned officer, and

(c) where an officer is so substituted, he or she shall give notice in writing of the substitution to the defendant.

(6) In proceedings under section 960I(1) or 960M(1) taken by a Revenue officer nominated in accordance with section 960B, a certificate signed by the Revenue Commissioners certifying the following facts—

(a) that a person is an officer of the Revenue Commissioners,

(b) that he or she has been nominated by them in accordance with section 960B, and

(c) that he or she has been nominated by them in accordance with subsection (5)(a),

shall be evidence unless the contrary is proved of those facts.

(7) In proceedings under sections 960I(1) or 960M(1) taken by a Revenue officer nominated in accordance with section 960B, a certificate signed by the Revenue Commissioners certifying the following facts—

(a) that the plaintiff has ceased to be an officer of the Revenue Commissioners nominated by them in accordance with section 960B,

(b) that another person is a Revenue officer,

(c) that such other person has been nominated by them in accordance with section 960B, and

(d) that such other person has been nominated by them to take proceedings to recover tax,

shall be evidence until the contrary is proved of those facts.

Winding-up of companies: priority for taxes.

960O.— (1) In this section—

‘ Act of 1963 ’ means the Companies Act 1963;

‘ Act of 1972 ’ means the Value-Added Tax Act 1972;

‘ relevant date ’ has the same meaning as in section 285 of the Act of 1963;

‘ relevant period ’ means—

(a) in paragraph (a)(i) of subsection (4) and in paragraphs (b) and (c) of that subsection, the 12 month period next before the date that is 14 days after the end of the income tax month in which the relevant date occurred;

(b) in subparagraphs (ii) to (v) of subsection (4)(a), the 12 month period referred to in the relevant subsection;

‘ relevant subsection ’ means subsection (2)(a)(iii) of section 285 of the Act of 1963.

(2) For the purposes of section 98 of the Act of 1963 and the relevant subsection, the amount referred to in the relevant subsection is deemed to include corporation tax and capital gains tax.

(3) (a) Any value-added tax, including interest payable on that value-added tax in accordance with section 21 of the Act of 1972, for which a company is liable for taxable periods (within the meaning of that Act) which ended within the period of 12 months next before the relevant date are to be included among the debts which under section 285 of the Act of 1963 are to be paid in priority to all other debts in the winding up of the company.

(b) For the purposes of section 98 of the Act of 1963, paragraph (a) is deemed to be included in section 285 of that Act.

(4) (a) For the purposes of section 98 of the Act of 1963 and the relevant subsection, the amount referred to in the relevant subsection is deemed to include—

(i) so much as is unpaid of an authorised employer’s PAYE liability,

(ii) amounts of tax deducted under section 531(1) that relate to a period or periods falling in whole or in part within the relevant period,

(iii) amounts of tax recoverable under Regulation 14 of the RCT Regulations that relate to a period or periods falling in whole or in part within the relevant period,

(iv) amounts of tax to which section 989 applies that relate to a period or periods falling in whole or in part within the relevant period,

(v) amounts of tax to which section 990 applies that relate to a period or periods falling in whole or in part within the relevant period.

(b) In the case of any amount referred to in subparagraphs (ii) to (v) of paragraph (a) for a period falling partly within and partly outside the relevant period, the total sum or amount is to be apportioned according to the respective lengths of the periods falling within the relevant period and outside of that period so as to determine the amount of tax that relates to the relevant period.

(c) For the purposes of paragraph (a)(i) ‘ authorised employer’s PAYE liability’, in relation to an employer authorised under Regulation 29 of the PAYE Regulations, means the amount determined by the formula—

(A + B — C) + D

where—

A is any amount which, apart from Regulation 29 of the PAYE Regulations, would otherwise have been an amount due at the relevant date in respect of sums that the employer is liable under Chapter 4 and the PAYE Regulations (other than Regulation 29 of those Regulations) to deduct from emoluments paid by the employer during the relevant period,

B is any amount which, apart from Regulation 29 of the PAYE Regulations, would otherwise have been an amount due at the relevant date in respect of sums that were not so deducted but which the employer was liable, in accordance with section 985A and any regulations under that section, to remit to the Collector-General in respect of notional payments made by the employer during the relevant period,

C is any amount which the employer was liable under Chapter 4 and the PAYE Regulations to repay during the relevant period, and

D is any interest payable under section 991 in respect of the amounts referred to in the meanings of A and B.

Bankruptcy: priority for taxes.

960P.— (1) In this section—

‘ Act of 1972 ’ means the Value-Added Tax Act 1972;

‘Act of 1988’ means the Bankruptcy Act 1988;

‘ relevant period ’, in relation to the distribution of the property of a bankrupt, arranging debtor or person dying insolvent, means the period of 12 months before the date on which the order for adjudication of the person as a bankrupt was made, the petition of arrangement of the person as a debtor was filed or, as the case may be, the person died insolvent.

(2) For the purposes of subsection (1)(a) of section 81 of the Act of 1988, the amount referred to in that subsection is deemed to include capital gains tax.

(3) The priority attaching to the taxes to which section 81 of the Act of 1988 applies shall also apply to—

(a) any value-added tax, including interest payable on value-added tax in accordance with section 21 of the Act of 1972, for which a person is liable for taxable periods (within the meaning of that Act) which have ended within the relevant period,

(b) so much as is unpaid of an employer’s PAYE liability for the relevant period,

(c) amounts of tax deducted under section 531(1) which relate to a period or periods falling in whole or in part within the relevant period,

(d) amounts of tax recoverable under Regulation 14 of the RCT Regulations which relate to a period or periods falling in whole or in part within the relevant period,

(e) amounts of tax to which section 989 applies which relate to a period or periods falling in whole or in part within the relevant period,

(f) amounts of tax to which section 990 applies which relate to a period or periods falling in whole or in part within the relevant period.

(4) In the case of any amount referred to in paragraphs (c) to (f) of subsection (3) for a period falling partly within and partly outside the relevant period, the total sum or amount is to be apportioned according to the respective lengths of the periods falling within the relevant period and outside of that period in order to determine the amount of tax which relates to the relevant period.

(5) In subsection (3)(b) ‘employer’s PAYE liability for the relevant period’ means the amount determined by the formula—

(A + B — C) + D

where—

A is all sums which an employer was liable under Chapter 4 and the PAYE Regulations to deduct from emoluments paid by the employer during the relevant period,

B is all sums that were not so deducted but which an employer was liable, in accordance with section 985A and regulations under that section, to remit to the Collector-General in respect of notional payments made by the employer during the relevant period,

C is any amounts which the employer was liable under Chapter 4 and the PAYE Regulations to repay during the relevant period, and

D is any interest payable under section 991 in respect of the sums referred to in the meanings of A and B.”,

(ii) by inserting the following after section 980(8A) (inserted by the Finance Act 2000):

“(8B) Subsection (8) shall apply for corporation tax as it applies for capital gains tax, and references to capital gains tax in that section shall apply accordingly as if they were or included references to corporation tax.”,

and

(iii) in section 981, by inserting “or corporation tax, as the case may be,” after “capital gains tax”.

(a) to any provision of the repealed enactments, or

(b) to things done, or to be done under or for the purposes of any provision of the repealed enactments,

shall, if and in so far as the nature of the reference permits, be construed as including, in relation to the times, years or periods, circumstances or purposes in relation to which the corresponding provision of this Schedule applies, a reference to, or as the case may be, to things done or deemed to be done or to be done under or for the purposes of, the corresponding provision.

TABLE

PART 1

REPEALS

Number and Year	Short Title	Extent of Repeal
No. 22 of 1972.	Value-Added Tax Act 1972.	In section 22(2)(c) delete “, subject to paragraph (d),”. Section 22(2)(d). Sections 24 and 42.
No. 16 of 1976.	Finance Act 1976.	Section 62.
No. 39 of 1997.	Taxes Consolidation Act 1997.	In section 959(6) delete “976,”. Sections 851(2), 961, 962, 963, 964, 965, 966, 967, 968, 970, 971, 972, 973, 974, 975, 976, 982, 993, 994, 995, 998, 999, 1000, 1006A and 1006B.
No. 31 of 1999.	Stamp Duties Consolidation Act 1999.	In section 2(4) the words “and such duty, additional duty” and the words after “any such duty”. In section 5(4) “(which shall be recoverable in the same manner as if it were part of the duty)”. Section 14(5). Section 15(4). Section 16(5). In section 87(3) “as a debt due to the Minister for the benefit of the Central Fund”. In section 87A(4) “ as a debt due to the Minister for Finance for the benefit of the Central Fund”. In sections 123(7), 123A(7), 123B(7), 123C(8), 124(5)(b) and 124A(8) “ and each penalty shall be recoverable in the same manner as if the penalty were part of the duty”. In subsection (4) of section 126B to delete all the words from “and such duty and penalty” down to the end of that subsection. Section 126B(10). Sections 132, 134, 138 and 159.
No. 5 of 2001.	Finance Act 2001.	Subsections (1A) and (2)(c) of section 103 and subsection (2) of section 124A.
No. 5 of 2002.	Finance Act 2002.	Section 75.
No. 1 of 2003.	Capital Acquisitions Tax Consolidation Act 2003.	Subsections (1) and (2) of section 61, subsections (1) and (2) of section 63 and sections 64 and 65. In subsections (3) and (4) of section 63 the words “the Attorney General or the Minister for Finance or”.

PART 2

CONSEQUENTIAL AMENDMENTS

Income tax, corporation tax, capital gains tax and related matters

Enactment amended	Words or references to be replaced	Words or references to be inserted
Taxes Consolidation Act 1997:
Paragraphs (a) and (b) of section 933(9)	section 962	section 960L
Section 985A(4)	Revenue Commissioners	Collector-General
Section 989(3)(d)	section 962	section 960L
Section 990(1A)(c)	section 962	section 960L
Section 1006(1), in the definitions of “certificate” and “fees”	section 962	section 960L
Section 1083	976(2)	Chapters 1B and 1C of Part 42

SCHEDULE 5 Miscellaneous Amendments in Relation to Penalties

PART 1 Amendment of Part 47 as respects Penalties

Determination of Penalties and Recovery of Penalties

Interpretation (Chapter 3A).

1077A.— In this Chapter—

‘ the Acts ’ means—

(a) the Tax Acts,

(b) the Capital Gains Tax Acts,

(c) Parts 18A and 18B,

(d) the Value-Added Tax Act 1972, and the enactments amending or extending that Act,

(e) the Capital Acquisitions Tax Consolidation Act 2003, and the enactments amending or extending that Act,

(f) the Stamp Duties Consolidation Act 1999, and the enactments amending or extending that Act,

(g) the statutes relating to the duties of excise and to the management of those duties,

and any instrument made thereunder and any instrument made under any other enactment relating to tax;

‘ relevant court’ means the District Court, the Circuit Court or the High Court, as appropriate, by reference to the jurisdictional limits for civil matters laid down in the Courts of Justice Act 1924, as amended, and the Courts (Supplemental Provisions) Act 1961, as amended;

‘ Revenue officer ’ means an officer of the Revenue Commissioners,

‘tax’ means any tax, duty, levy or charge under the care and management of the Revenue Commissioners.

Penalty notifications and determinations.

1077B.— (1) Where—

(a) in the absence of any agreement between a person and a Revenue officer that the person is liable to a penalty under the Acts, or

(b) following the failure by a person to pay a penalty the person has agreed a liability to,

a Revenue officer is of the opinion that the person is liable to a penalty under the Acts, then that officer shall give notice in writing to the person and such notice shall identify—

(i) the provisions of the Acts under which the penalty arises,

(ii) the circumstances in which that person is liable to the penalty, and

(iii) the amount of the penalty to which that person is liable,

and include such other details as the Revenue officer considers necessary.

(2) A Revenue officer may at any time amend an opinion that a person is liable to a penalty under the Acts and shall give due notice of such amended opinion in like manner to the notice referred to in subsection (1).

(3) Where a person to whom a notice issued under subsection (1) or (2) does not, within 30 days after the date of such a notice—

(a) agree in writing with the opinion or amended opinion contained in such notice, and

(b) make a payment to the Revenue Commissioners of the amount of the penalty specified in such a notice,

then a Revenue officer may make an application to a relevant court for that court to determine whether—

(i) any action, inaction, omission or failure of, or

(ii) any claim, submission or delivery by,

the person in respect of whom the Revenue officer made the application gives rise to a liability to a penalty under the Acts on that person.

(4) A copy of any application to a relevant court for a determination under subsection (3) shall be issued to the person to whom the application relates.

(5) This section applies in respect of any act or omission giving rise to a liability to a penalty under the Acts whether arising before, on or after the passing of the Finance (No. 2) Act 2008 but shall not apply in respect of a penalty paid, or amounts paid in respect of a penalty, before the passing of that Act.

Recovery of penalties.

1077C.— (1) Where a relevant court has made a determination that a person is liable to a penalty—

(a) that court shall also make an order as to the recovery of that penalty, and

(b) without prejudice to any other means of recovery, that penalty may be collected and recovered in like manner as an amount of tax.

(2) Where a person is liable to a penalty under the Acts, that penalty is due and payable from the date—

(a) it had been agreed in writing (or had been agreed in writing on that person’s behalf) that the person is liable to that penalty,

(b) the Revenue Commissioners had agreed or undertaken to accept a specified sum of money in the circumstances mentioned in paragraph (c) or (d) of section 1086(2) from that individual, or

(c) a relevant court has determined that the person is liable to that penalty.

(3) This section applies in respect of any act or omission giving rise to a liability to a penalty under the Acts whether arising before, on or after the passing of the Finance (No. 2) Act 2008.

Proceedings against executor, administrator or estate.

1077D.— (1) Where before an individual’s death—

(a) that individual had agreed in writing (or it had been agreed in writing on his or her behalf) that he or she was liable to a penalty under the Acts,

(b) that individual had agreed in writing with an opinion or amended opinion of a Revenue officer that he or she was liable to a penalty under the Acts (or such opinion or amended opinion had been agreed in writing on his or her behalf),

(c) the Revenue Commissioners had agreed or undertaken to accept a specified sum of money in the circumstances mentioned in paragraph (c) or (d) of section 1086(2) from that individual, or

(d) a relevant court has determined that the individual was liable to a penalty under the Acts,

then the penalty shall be due and payable and, subject to subsection (2), any proceedings for the recovery of such penalty under the Acts which have been, or could have been, instituted against that individual may be continued or instituted against his or her executor, administrator or estate, as the case may be, and any penalty awarded in proceedings so continued or instituted shall be a debt due from and payable out of his or her estate.

(2) Proceedings may not be instituted by virtue of subsection (1) against the executor or administrator of a person at a time when by virtue of subsection (2) of section 1048 that executor or administrator is not assessable and chargeable under that section in respect of tax on profits or gains which arose or accrued to the person before his or her death.

Income Tax, Corporation Tax and Capital Gains Tax: Penalties for false returns, etc.

Penalty for deliberately or carelessly making incorrect returns, etc.

1077E.— (1) In this section—

‘t he Acts ’ means the Tax Acts, the Capital Gains Tax Acts and Parts 18A and 18B of this Act;

‘ carelessly ’ means failure to take reasonable care;

‘ liability to tax ’ means a liability to the amount of the difference specified in subsection (11) or (12) arising from any matter referred to in subsection (2), (3), (5) or (6);

‘ period ’ means a year of assessment or accounting period, as the context requires;

‘ prompted qualifying disclosure ’, in relation to a person, means a qualifying disclosure that has been made to the Revenue Commissioners or to a Revenue officer in the period between—

(a) the date on which the person is notified by a Revenue officer of the date on which an investigation or inquiry into any matter occasioning a liability to tax of that person will start, and

(b) the date that the investigation or inquiry starts;

‘ qualifying disclosure ’, in relation to a person, means—

(a) in relation to a penalty referred to in subsection (4), a disclosure that the Revenue Commissioners are satisfied is a disclosure of complete information in relation to, and full particulars of, all matters occasioning a liability to tax that gives rise to a penalty referred to in subsection (4), and full particulars of all matters occasioning any liability to tax or duty that gives rise to a penalty referred to in section 27A(4) of the Value-Added Tax Act 1972, section 134A(2) of the Stamp Duties Consolidation Act 1999 and the application of subsection (4) to the Capital Acquisitions Tax Consolidation Act 2003, and

(b) in relation to a penalty referred to in subsection (7), a disclosure that the Revenue Commissioners are satisfied is a disclosure of complete information in relation to, and full particulars of, all matters occasioning a liability to tax that gives rise to a penalty referred to in subsection (7) for the relevant period under whichever of the Acts the disclosure relates to,

made in writing to the Revenue Commissioners or to a Revenue officer and signed by or on behalf of that person and that is accompanied by—

(i) a declaration, to the best of that person’s knowledge, information and belief, made in writing that all matters contained in the disclosure are correct and complete, and

(ii) a payment of either or both of the tax and duty payable in respect of any matter contained in the disclosure and the interest on late payment of that tax and duty.

‘ Revenue officer ’ means an officer of the Revenue Commissioners;

‘ tax ’ means income tax, corporation tax, capital gains tax, income levy or parking levy;

‘unprompted qualifying disclosure’ , in relation to a person, means a qualifying disclosure that the Revenue Commissioners are satisfied has been voluntarily furnished to them—

(a) before an investigation or inquiry had been started by them or by a Revenue officer into any matter occasioning a liability to tax of that person, or

(b) where the person is notified by a Revenue officer of the date on which an investigation or inquiry into any matter occasioning a liability to tax of that person will start, before that notification.

(2) Where any person—

(a) delivers any incorrect return or statement of a kind mentioned in any of the provisions specified in column 1 of Schedule 29 which contains a deliberate understatement of income, profits or gains or a deliberately false or overstated claim in connection with any allowance, deduction, relief or credit,

(b) makes any incorrect return, statement or declaration in connection with any claim for any allowance, deduction, relief or credit and does so deliberately, or

(c) submits to the Revenue Commissioners, the Appeal Commissioners or a Revenue officer any incorrect accounts which contain a deliberate understatement of income, profits or gains or a deliberate overstatement of any claim in connection with any allowance, deduction, relief or credit,

that person shall be liable to a penalty.

(3) Where any person deliberately fails to comply with a requirement to deliver a return or statement of a kind mentioned in any of the provisions specified in column 1 of Schedule 29, that person shall be liable to a penalty.

(4) The penalty referred to—

(a) in subsection (2), shall be the amount specified in subsection (11), and

(b) in subsection (3), shall be the amount specified in subsection (12),

reduced, where the person liable to the penalty cooperated fully with any investigation or inquiry started by the Revenue Commissioners or by a Revenue officer into any matter occasioning a liability to tax of that person, to—

(i) 75 per cent of that amount where subparagraph (ii) or (iii) does not apply,

(ii) 50 per cent of that amount where a prompted qualifying disclosure is made by that person, or

(iii) 10 per cent of that amount where an unprompted qualifying disclosure is made by that person.

(5) Where any person carelessly but not deliberately—

(a) delivers any incorrect return or statement of a kind mentioned in any of the provisions specified in column 1 of Schedule 29,

(b) makes any incorrect return, statement or declaration in connection with any claim for any allowance, deduction, relief or credit, or

(c) submits to the Revenue Commissioners, the Appeal Commissioners or a Revenue officer any incorrect accounts which contain an understatement of income, profits or gains or an overstatement of any claims in connection with any allowance, deduction, relief or credit,

that person shall be liable to a penalty.

(6) Where any person carelessly but not deliberately fails to comply with a requirement to deliver a return or statement of a kind mentioned in any of the provisions specified in column 1 of Schedule 29, that person shall be liable to a penalty.

(7) (a) The penalty referred to—

(i) in subsection (5) shall be the amount specified in subsection (11), and

(ii) in subsection (6) shall be the amount specified in subsection (12),

reduced to 40 per cent in cases where the excess referred to in subparagraph (I) of paragraph (b) applies and to 20 per cent in other cases.

(b) Where a person liable to a penalty cooperated fully with any investigation or inquiry started by the Revenue Commissioners or by a Revenue officer into any matter occasioning a liability to tax of that person, the penalty referred to—

(i) in subsection (5), shall be the amount specified in subsection (11), and

(ii) in subsection (6), shall be the amount specified in subsection (12),

reduced—

(I) where the difference referred to in subsection (11) or subsection (12), as the case may be, exceeds 15 per cent of the amount referred to in paragraph (b) of subsection (11) or paragraph (b) of subsection (12), to—

(A) 30 per cent of the difference referred to in subsection (11) or, as the case may be, subsection (12) (in clauses (B) and (C) referred to as ‘that amount’) where clause (B) or (C) does not apply,

(B) 20 per cent of that amount where a prompted qualifying disclosure is made by that person, or

(C) 5 per cent of that amount where an unprompted qualifying disclosure is made by that person,

or

(II) where the difference referred to in subsection (11) or subsection (12), as the case may be, does not exceed 15 per cent of the amount referred to in paragraph (b) of subsection (11) or paragraph (b) of subsection (12) to—

(A) 15 per cent of the difference referred to in subsection (11) or, as the case may be, subsection (12) (in clauses (B) and (C) referred to as ‘that amount’) where clause (B) or (C) does not apply,

(B) 10 per cent of that amount where a prompted qualifying disclosure is made by that person, or

(C) 3 per cent of that amount where an unprompted qualifying disclosure is made by that person.

(8) Where any person deliberately or carelessly furnishes, gives, produces or makes any incorrect return, information, certificate, document, record, statement, particulars, account or declaration of a kind mentioned in any of the provisions specified in column 2 or 3 of Schedule 29, that person shall be liable to—

(a) a penalty of €3,000 where that person has acted carelessly, or

(b) a penalty of €5,000 where that person has acted deliberately.

(9) Where any return, statement, declaration or accounts mentioned in subsection (2) or (5) was or were made or submitted by a person, neither deliberately nor carelessly, and it comes to that person’s notice that it was or they were incorrect, then, unless the error is remedied without unreasonable delay, the incorrect return, statement, declaration or accounts shall be treated for the purposes of this section as having been deliberately made or submitted by that person.

(10) Subject to section 1077D(2), proceedings or applications for the recovery of any penalty under this section shall not be out of time because they are commenced after the time allowed by section 1063.

(11) The amount referred to in paragraph (a) of subsection (4) and in paragraph (a)(i) of subsection (7) shall be the difference between—

(a) the amount of tax that would have been payable for the relevant periods by the person concerned (including any amount deducted at source and not repayable) if that tax had been computed in accordance with the incorrect or false return, statement, declaration or accounts as actually made or submitted by or on behalf of that person for those periods, and

(b) the amount of tax that would have been payable for the relevant periods by the person concerned (including any amount deducted at source and not repayable) if that tax had been computed in accordance with the true and correct return, statement, declaration or accounts that should have been made or submitted by or on behalf of that person for those periods,

and for the purposes of this subsection and of subsection (12) references in those subsections to tax payable shall be construed without regard to the definition of ‘income tax payable’ in section 3.

(12) The amount referred to in paragraph (b) of subsection (4) and in paragraph (b)(ii) of subsection (7) shall be the difference between—

(a) the amount of tax paid by that person for the relevant periods before the start by the Revenue Commissioners or by any Revenue officer of any inquiry or investigation where the Revenue Commissioners had announced publicly that they had started an inquiry or investigation or where the Revenue Commissioners have, or a Revenue officer has, carried out an inquiry or investigation into any matter that would have been included in the return or statement if the return or statement had been delivered by that person and the return or statement had been correct, and

(b) the amount of tax which would have been payable for the relevant periods if the return or statement had been delivered by that person and the return or statement had been correct.

(13) Where a second qualifying disclosure is made by a person within 5 years of such person’s first qualifying disclosure, then as regards matters pertaining to that second disclosure—

(a) in relation to subsection (4)—

(i) paragraph (ii) shall apply as if ‘75 per cent’ were substituted for ‘50 per cent’,

(ii) paragraph (iii) shall apply as if ‘55 per cent’ were substituted for ‘10 per cent’, and

(b) in relation to subparagraph (I) of subsection (7)(b)—

(i) clause (B) shall apply as if ‘30 per cent’ were substituted for ‘20 per cent’, and

(ii) clause (C) shall apply as if ‘20 per cent’ were substituted for ‘5 per cent’.

(14) Where a third or subsequent qualifying disclosure is made by a person within 5 years of such person’s second qualifying disclosure, then as regards matters pertaining to that third or subsequent disclosure, as the case may be—

(a) the penalty referred to in paragraphs (a) and (b) of subsection (4) shall not be reduced, and

(b) the reduction referred to in subparagraph (I) of subsection (7)(b) shall not apply.

(15) A disclosure in relation to a person shall not be a qualifying disclosure where—

(a) before the disclosure is made, a Revenue officer had started an inquiry or investigation into any matter contained in that disclosure and had contacted or notified that person, or a person representing that person, in this regard, or

(b) matters contained in the disclosure are matters—

(i) that have become known, or are about to become known, to the Revenue Commissioners through their own investigations or through an investigation conducted by a statutory body or agency,

(ii) that are within the scope of an inquiry being carried out wholly or partly in public, or

(iii) to which the person who made the disclosure is linked, or about to be linked, publicly.

(16) The relevant period for the purposes of subsections (11) and (12) shall be, in relation to anything delivered, made or submitted in any period, that period, the next period and any preceding period, and the references in those subsections to the amount of tax payable shall not, in relation to anything done in connection with a partnership, include any tax not chargeable in the partnership name.

(17) For the purposes of this section, any returns or accounts submitted on behalf of a person shall be deemed to have been submitted by the person unless that person proves that they were submitted without that person’s consent or knowledge.”.

PART 2 Amendment of the Taxes Consolidation Act 1997 as respects penalties

(a) in section 152 by substituting the following for subsection (2):

“(2) Where a company fails to comply with any of the provisions of subsection (1), the company shall incur a penalty of €200 in respect of each failure, but the aggregate amount of the penalties imposed under this section on any company in respect of all such failures connected with any one distribution of dividends or interest shall not exceed €2,000.”,

(b) in section 305(4)—

(i) by deleting the word “knowingly”, and

(ii) by substituting “€3,000” for “€630”,

(c) in section 481 by substituting the following for subsection (16):

“(16) Where a company has issued a certificate for the purposes of subsection (12) or furnished a statement under subsection (13) and either—

(a) the certificate or statement is false or misleading, or

(b) the certificate was issued in contravention of subsection (14),

then—

(i) the company shall be liable to a penalty of €4,000, and

(ii) no relief shall be given under this section and, if any such relief has been given, it shall be withdrawn.”,

(d) in section 486B by substituting the following for subsection (11):

“(11) Where a qualifying company has issued a certificate for the purposes of subsection (7) or furnished a statement under subsection (8) and either—

(a) the certificate or statement is false or misleading in a material respect, or

(b) the certificate was issued in contravention of subsection (9),

then—

(i) the company shall be liable to a penalty of €4,000, and

(ii) no relief shall be given under this section in respect of the matter to which the certificate or statement relates and, if any such relief has been given, it shall be withdrawn.”,

(e) in section 503 by substituting the following for subsection (6):

“(6) Where a company has issued a certificate under subsection (2) or furnished a statement under subsection (3), and—

(a) the certificate or statement is false or misleading, or

(b) the certificate was issued in contravention of subsection (4),

then the company shall be liable to a penalty of €4,000.”,

(f) in section 531(16) by substituting “subsections (9) and (17) of section 1077E” for “subsections (3) and (7) of section 1053”,

(g) in section 783(6)—

(i) by deleting the word “knowingly”, and

(ii) by substituting “€3,000” for “€630”,

(h) in section 789(5)—

(i) by deleting the word “knowingly”, and

(ii) by substituting “€3,000” for “€630”,

(i) in section 886(5) by substituting “€3,000” for “€1,520”,

(j) in section 887(5)(b) by substituting “€3,000” for “€1,265”,

(k) in section 889—

(i) in subsection (8) by substituting “€3,000” for “€1,520”, and

(ii) by deleting subsection (9),

(l) in section 895—

(i) in subsection (4)(a) by substituting “€4,000” for “€2,535”, and

(ii) by substituting the following for subsection (4)(b):

“(b) Where a resident—

(i) fails to furnish details of the kind referred to in subsection (2) to an intermediary who has provided the resident with a relevant service, or

(ii) furnishes that intermediary with incorrect details of that kind,

the resident shall be liable to a penalty of €4,000.”,

and

(iii) by deleting subsection (5),

(m) in section 896—

(i) in subsection (3) by substituting “€4,000” for “€1,900”, and

(ii) by substituting the following for subsection (4):

“(4) Where a person—

(a) fails to furnish details of the kind referred to in subsection (2) to an intermediary who has provided the person with relevant facilities, or

(b) furnishes that intermediary with incorrect details of that kind,

the person shall be liable to a penalty of €4,000.”,

(n) in section 898N—

(i) in subsection (3) by substituting “€3,000” for “€1,265”, and

(ii) in subsection (9) by substituting “€3,000” for “€1,265”,

(o) in section 898Q—

(i) in subsection (5)(a) by substituting “€3,000” for “€1,520”,

(ii) in subsection (5)(b) by substituting “€3,000” for “€950”, and

(iii) by deleting subsection (5)(c),

(p) in section 900(7) by substituting “€4,000” for “€1,900”,

(q) in section 902(11) by substituting “€4,000” for “€1,900”,

(r) in section 903(5) by substituting “€4,000” for “€1,265”,

(s) in section 904(5) by substituting “€4,000” for “€1,265”,

(t) in section 905(3) by substituting “€4,000” for “€1,265”,

(u) in section 917A—

(i) in subsection (4) by substituting “€4,000” for “€2,535”, and

(ii) by deleting subsection (5),

(v) in section 917B—

(i) by substituting the following for subsection (5):

“(5) Where a person fails—

(a) to make a statement required to be made by the person in accordance with subsection (2), or

(b) to include in such a statement the details referred to in subsection (2),

then the person shall in respect of each such failure be liable to a penalty of €4,000.”,

and

(ii) by deleting subsection (6),

(w) in section 917C—

(i) by substituting the following for subsection (3):

“(3) Where a person fails—

(a) to make a statement required to be made by the person in accordance with subsection (2), or

(b) to include in such a statement the details referred to in subsection (2),

then the person shall in respect of each such failure be liable to a penalty of €4,000.”,

and

(ii) by deleting subsection (4),

(x) in section 939(3) by substituting “€3,000” for “€950”,

(y) in section 987—

(i) by substituting the following for subsection (1):

“(1) Where any person fails—

(a) to comply with any provision of regulations under this Chapter requiring that person to send any return, statement, notification or certificate, other than the end of year return required under Regulation 31 of the Income Tax (Employments) (Consolidated) Regulations 2001 (S.I. No. 559 of 2001),

(b) to remit income tax to the Collector-General, or

(c) to make any deduction or repayment in accordance with any regulation made pursuant to section 986(1)(g),

then that person shall be liable to a penalty of €4,000”,

(ii) in subsection (1A)—

(I) by substituting “€1,000” for “€630”, and

(II) by substituting “€4,000” for “€2,535”,

(iii) in subsection (2) by substituting “€3,000” for “€950”, and

(iv) by deleting subsection (3),

(z) by substituting the following for section 1047:

“Liability of parents, guardians, executors and administrators.

1047.— (1) Where an individual chargeable to income tax dies, the executor or administrator of the deceased person shall be liable for—

(a) the tax charged on such deceased individual,

(b) the interest on late payment of tax in respect of which the deceased individual is liable, and

(c) any penalties in respect of which the deceased individual is liable,

and all such sums shall be a debt on the estate of the deceased individual and an executor or administrator may deduct all such payments out of the assets and effects of the person deceased.

(2) Where an individual chargeable to income tax is an infant, the parent or guardian of the infant shall be liable for the tax in default of payment by the infant and a parent or guardian who makes such payment shall be allowed all sums so paid in his or her accounts.”;

(aa) in section 1052—

(i) in subsection (1) by substituting “€3,000” for “€950”,

(ii) in subsection (2) by substituting “€4,000” for “€1,520.”, and

(iii) in subsection (4) by substituting “under this section, under section 1053 or under section 1077E” for “under this section or under section 1053”,

(ab) in section 1053 by inserting the following after subsection (7):

“(8) This section shall not apply in respect of any acts or omissions arising after the passing of the Finance (No. 2) Act 2008.”,

(ac) by substituting the following for section 1054—

“Penalties in the case of a secretary of a body of persons.

1054.— (1) In this section, ‘secretary’ includes persons mentioned in section 1044(2).

(2) Where the person mentioned in section 1052 is a body of persons the secretary shall be liable to—

(a) in a case where the notice was given under or for the purposes of any of the provisions specified in column 1 of Schedule 29 and the failure continues after the end of the year of assessment or accounting period following that during which the notice was given, a separate penalty of €2,000, and

(b) in any other case, a separate penalty of €1,000.

(3) Where the person mentioned in section 1053 or 1077E is a body of persons the secretary shall be liable to a separate penalty of €1,500 or, in the case of deliberate behaviour, €3,000.

(4) This section shall apply subject to sections 877(5)(b) and 897(5), but otherwise shall apply notwithstanding anything in the Income Tax Acts.”,

(ad) by substituting the following for section 1055—

“1055.— Any person who deliberately assists in or induces the making or delivery for any purposes of income tax or corporation tax of any incorrect return, account, statement or declaration shall be liable to a penalty of €4,000.”,

(ae) in section 1057 by inserting the following after subsection (2):

“(3) This section shall not apply in respect of any acts arising after the passing of the Finance (No. 2) Act 2008.”,

(af) in section 1058(1) by substituting “€3,000” for “€60”,

(ag) in section 1060 by inserting the following after subsection (2):

“(3) This section shall cease to have effect after the passing of the Finance (No. 2) Act 2008.”,

(ah) in section 1061 by inserting the following after subsection (6):

“(7) This section shall not apply in respect of any acts or omissions arising after the passing of the Finance (No. 2) Act 2008.”,

(ai) in section 1063 by substituting “subject to section 1060 or section 1077D” for “subject to section 1060”,

(aj) in section 1068 by substituting “For the purposes of this Chapter, Chapter 3A and Chapter 3B of this Part, and Chapter 4 of Part 38,” for “For the purposes of this Chapter, and Chapter 4 of Part 38,”,

(ak) in section 1069 by substituting the following for subsection (2)—

“(2) For the purposes of this Chapter, Chapter 3A and Chapter 3B of this Part, any assessment which can no longer be varied by the Appeal Commissioners on appeal or by the order of any court shall be sufficient evidence that—

(a) the income in respect of which income tax or, as the case may be, corporation tax, or

(b) the gain in respect of which capital gains tax,

is charged in the assessment arose or was received as stated in the assessment.”,

(al) in section 1071—

(i) in subsection 1(a), by substituting “€2,000” for “€630”,

(ii) in subsection 1(b), by substituting “€1,000” for “€125”, and

(iii) in subsection (2)—

(I) by substituting “€4,000” for “€1,265”, and

(II) by substituting “€2,000” for “€250”,

(am) in section 1072 by inserting the following after subsection (3):

“(4) This section shall not apply in respect of any acts or omissions arising after the passing of the Finance (No. 2) Act 2008.”,

(an) in section 1073—

(i) in subsection 1(a) by substituting “€4,000” for “€630”, and

(ii) in subsection 1(b) by substituting “€3,000” for “€125”,

(ao) in section 1074—

(i) in paragraph (a) by substituting “€4,000” for “€630”, and

(ii) in paragraph (b) by substituting “€3,000” for “€125”,

(ap) by substituting the following for section 1075:

“Penalties for failure to furnish certain information and for incorrect information.

1075.— (1) Where any person has been required by notice given under or for the purposes of section 401 or 427 or Part 13 to furnish any information or particulars and that person fails to comply with the notice, that person shall be liable, subject to subsection (3), to a penalty of €3,000 and, if the failure continues after judgment has been given by the court before which proceedings for the penalty have been commenced, to a further penalty of €10 for each day on which the failure so continues.

(2) Where the person furnishes any incorrect information or particulars of a kind mentioned in section 239, 401 or 427 or Part 13, the person shall be liable, subject to subsection (4), to a penalty of €3,000.

(3) Where the person mentioned in subsection (1) is a company—

(a) the company shall be liable to a penalty of €4,000 and, if the failure continues after judgment has been given by the court before which proceedings for the penalty have been commenced, to a further penalty of €60 for each day on which the failure so continues, and

(b) the secretary of the company shall be liable to a separate penalty of €3,000.

(4) Where the person mentioned in subsection (2) is a company—

(a) the company shall be liable to a penalty of €4,000, and

(b) the secretary of the company shall be liable to a separate penalty of €3,000.

(5) Subsection (3) of section 1053 and subsection (9) of section 1077E shall apply for the purposes of this section as it applies for the purposes of section 1053 and of section 1077E.”,

(aq) in Chapter 3 of Part 47, by substituting the following for section 1077:

“Penalties for failure to make returns, etc. and for deliberately or carelessly making incorrect returns.

1077.— (1) Without prejudice to the generality of section 913(1), Chapter 1 and Chapter 3B of this Part shall, subject to any necessary modifications, apply in relation to capital gains tax, and sections 1052, 1053, 1054 and 1077E, as applied by this section, shall for the purposes of the Capital Gains Tax Acts be construed as if in Schedule 29 there were included—

(a) in column 1, references to sections 914 to 917,

(b) in column 2, a reference to section 945, and

(c) in column 3, a reference to section 980.

(2) Where any person has been required by notice or precept given under the provisions of the Income Tax Acts as applied by section 913, or under section 914, 915, 916, 917 or 980, to do any act of a kind mentioned in any of those provisions or sections, and the person fails to comply with the notice or precept, or where any person deliberately or carelessly makes, delivers, furnishes or produces any incorrect return, statement, declaration, list, account, particulars or other document (or makes any false statement or false representation) under any of those provisions or sections, Chapter 1 and Chapter 3B of this Part shall apply to the person for the purposes of capital gains tax as it applies in the case of a like failure or act for the purposes of income tax.”,

(ar) in section 1078(9)—

(i) by inserting “subsections (9) and (17) of section 1077E,” after “section 1053”, and

(ii) by substituting “, and section 27A(16) of the Value-Added Tax Act 1972,” for “and sections 26(6) and 27(7) of the Value-Added Tax Act, 1972,”,

(as) in section 1086—

(i) in subsection (2)—

(I) in paragraph (a), by inserting “or determined” after “imposed”,

(II) in paragraph (b), by inserting “or determined” after “imposed”,

(III) in paragraph (d), by inserting “or determined” after “imposed”,

(ii) by substituting the following for subsection (2A):

“(2A) For the purposes of subsection (2), the reference to a specified sum in paragraphs (c) and (d) of that subsection includes a reference to a sum which is the full amount of the claim by the Revenue Commissioners in respect of the specified liability referred to in those paragraphs. Where the Revenue Commissioners accept or undertake to accept such a sum, being the full amount of their claim, then—

(a) they shall be deemed to have done so pursuant to an agreement, made with the person referred to in paragraph (c), whereby they refrained from initiating proceedings for the recovery of any fine or penalty of the kind mentioned in paragraphs (a) and (b) of subsection (2), and

(b) that agreement shall be deemed to have been made in the relevant period in which the Revenue Commissioners accepted or undertook to accept that full amount.”,

(iii) in subsection (4) by substituting the following for paragraph (a):

“(a) the Revenue Commissioners are satisfied that, before any investigation or inquiry had been started by them or by any of their officers into any matter occasioning a liability referred to in those paragraphs, the person had voluntarily furnished to them a qualifying disclosure (within the meaning of section 1077E, section 27A of the Value-Added Tax Act 1972 or section 134A of the Stamp Duties Consolidation Act 1999, as the case may be) in relation to and full particulars of that matter,”,

(iv) by inserting the following after subsection (4A):

“(4B) Paragraphs (a) and (b) of subsection (2) shall not apply in relation to a person in whose case—

(a) the amount of a penalty determined by a court does not exceed 15 per cent of, as appropriate—

(i) the amount of the difference referred to in subsection (11) or (12), as the case may be, of section 1077E,

(ii) the amount of the difference referred to in subsection (11) or (12), as the case may be, of section 27A of the Value-Added Tax Act 1972, or

(iii) the amount of the difference referred to in subsection (7), (8) or (9), as the case may be, of section 134A of the Stamp Duties Consolidation Act 1999,

(b) the aggregate of the—

(i) the tax due in respect of which the penalty is computed,

(ii) except in the case of tax due by virtue of paragraphs (g) and (h) of the definition of ‘ the Acts ’, interest on that tax, and

(iii) the penalty determined by a court,

does not exceed €30,000, or

(c) there has been a qualifying disclosure.”,

(v) in subsection (5)—

(I) in paragraph (a), by inserting “or determined” after “imposed”,

and

(II) in paragraph (b), by inserting “or determined” after “imposed”,

(vi) in subsection (5A)(a), by inserting “or determined” after “imposed”,

(at) in section 1091 by substituting the following for subsection (3):

“(3) Where a company fails to comply with any of the provisions of subsection (2), the company shall incur a penalty of €200 in respect of each failure, but the aggregate amount of the penalties imposed under this section on any company in respect of all such failures connected with any one distribution of dividends or interest shall not exceed €2,000.”.

(au) in Schedule 29 by substituting “Provisions Referred to in Sections 1052, 1054 and 1077E” for “Provisions Referred to in Sections 1052, 1053 and 1054”,

(av) in Schedule 32, in subparagraph (3)(b) of paragraph 7, by substituting “sections 1052, 1054 and 1077E” for “sections 1052, 1053 and 1054”.

PART 3 Value-Added Tax: Penalties

(a) in section 26—

(i) by substituting—

(I) “€4,000” for “€1,520” in both places where it occurs,

(II) “€4,000” for “€950” in each place where it occurs, and

(III) “€4,000” for “€1,265” in both places where it occurs,

and

(ii) by deleting subsections (4), (6) and (7),

(b) by deleting section 27,

(c) by inserting the following before section 28:

“Penalty for deliberately or carelessly making incorrect returns, etc.

27A.— (1) In this section—

‘ carelessly ’ means failure to take reasonable care;

‘ liability to tax ’ means a liability to the amount of the difference specified in subsection (11) or (12) arising from any matter referred to in subsection (2), (3), (5) or (6);

‘ period ’ means taxable period, accounting period or other period, as the context requires;

‘ prompted qualifying disclosure ’, in relation to a person, means a qualifying disclosure that has been made to the Revenue Commissioners or to a Revenue officer in the period between—

(a) the date on which a person is notified by a Revenue officer of the date on which an investigation or inquiry into any matter occasioning a liability to tax of that person will start, and

(b) the date that the investigation or inquiry starts;

‘ qualifying disclosure ’, in relation to a person, means—

(a) in relation to a penalty referred to in subsection (4), a disclosure that the Revenue Commissioners are satisfied is a disclosure of complete information in relation to, and full particulars of, all matters occasioning a liability to tax that gives rise to a penalty referred to in subsection (4), and full particulars of all matters occasioning any liability to tax or duty that gives rise to a penalty referred to in section 1077E(4) of the Taxes Consolidation Act 1997, section 134A(2) of the Stamp Duties Consolidation Act 1999 and the application of section 1077E(4) of the Taxes Consolidation Act 1997 to the Capital Acquisitions Tax Consolidation Act 2003, and

(b) in relation to a penalty referred to in subsection (7), a disclosure that the Revenue Commissioners are satisfied is a disclosure of complete information in relation to, and full particulars of, all matters occasioning a liability to tax that gives rise to a penalty referred to in subsection (7) for the relevant period,

made in writing to the Revenue Commissioners or to a Revenue officer and signed by or on behalf of that person and that is accompanied by—

(i) a declaration, to the best of that person’s knowledge, information and belief, made in writing that all matters contained in the disclosure are correct and complete, and

(ii) a payment of the tax and duty payable in respect of any matter contained in the disclosure and the interest on late payment of that tax and duty;

‘ Revenue officer ’ means an officer of the Revenue Commissioners;

‘unprompted qualifying disclosure’ , in relation to a person, means a qualifying disclosure that the Revenue Commissioners are satisfied has been voluntarily furnished to them—

(a) before an investigation or inquiry had been started by them or by a Revenue officer into any matter occasioning a liability to tax of that person, or

(b) where the person is notified by a Revenue officer of the date on which an investigation or inquiry into any matter occasioning a liability to tax of that person will start, before that notification.

(2) Where a person furnishes a return or makes a claim or declaration for the purposes of this Act or of regulations made under it and, in so doing, the person deliberately, furnishes an incorrect return, or makes an incorrect claim or declaration, then that person shall be liable to a penalty.

(3) Where a person deliberately fails to comply with a requirement in accordance with this Act or regulations to furnish a return, then that person shall be liable to a penalty.

(4) The penalty referred to—

(a) in subsection (2), shall be the amount specified in subsection (11), and

(b) in subsection (3), shall be the amount specified in subsection (12),

reduced, where the person liable to the penalty cooperated fully with any investigation or inquiry started by the Revenue Commissioners or by a Revenue officer into any matter occasioning a liability to tax of that person, to—

(i) 75 per cent of that amount where paragraph (ii) or (iii) does not apply,

(ii) 50 per cent of that amount where a prompted qualifying disclosure is made by that person, or

(iii) 10 per cent of that amount where an unprompted qualifying disclosure has been made by that person.

(5) Where a person furnishes a return or makes a claim or declaration for the purposes of this Act or of regulations made under it and, in so doing, the person carelessly, but not deliberately, furnishes an incorrect return or makes an incorrect claim or declaration, then that person shall be liable to a penalty.

(6) Where a person carelessly but not deliberately fails to comply with a requirement in accordance with this Act or regulations to furnish a return, then that person shall be liable to a penalty.

(7) (a) The penalty referred to—

(i) in subsection (5) shall be the amount specified in subsection (11), and

(ii) in subsection (6) shall be the amount specified in subsection (12),

reduced to 40 per cent in cases where the excess referred to in subparagraph (I) of paragraph (b) applies and to 20 per cent in other cases.

(b) Where the person liable to the penalty cooperated fully with any investigation or inquiry started by the Revenue Commissioners or by a Revenue officer into any matter occasioning a liability to tax of that person, the penalty referred to—

(i) in subsection (5) shall be the amount specified in subsection (11), and

(ii) in subsection (6) shall be the amount specified in subsection (12),

reduced—

(I) where the difference referred to in subsection (11) or (12), as the case may be, exceeds 15 per cent of the amount referred to in paragraph (b) of subsection (11) or paragraph (b) of subsection (12), to—

(A) 30 per cent of that difference where clause (B) or (C) does not apply,

(B) 20 per cent of that difference where a prompted qualifying disclosure is made by that person, or

(C) 5 per cent of that difference where an unprompted qualifying disclosure is made by that person,

or

(II) where the difference referred to in subsection (11) or (12), as the case may be, does not exceed 15 per cent of the amount referred to in paragraph (b) of subsection (11) or paragraph (b) of subsection (12) to—

(A) 15 per cent of that difference where clause (B) or (C) does not apply,

(B) 10 per cent of that difference where a prompted qualifying disclosure is made by that person, or

(C) 3 per cent of that difference where an unprompted qualifying disclosure is made by that person.

(8) Where, for the purposes of this Act or of regulations, a person deliberately or carelessly produces, furnishes, gives, sends or otherwise makes use of, any incorrect invoice, registration number, credit note, debit note, receipt, account, voucher, bank statement, estimate, statement, information, book, document or record, then that person shall be liable to—

(a) a penalty of €3,000 where that person has acted carelessly, or

(b) a penalty of €5,000 where that person has acted deliberately.

(9) Where any return, claim or declaration as is mentioned in subsection (2) or (5) was furnished or made by a person, neither deliberately nor carelessly, and it comes to that person’s notice that it was incorrect, then, unless the error is remedied without unreasonable delay, the return, claim or declaration shall be treated for the purposes of this section as having been deliberately made or submitted by that person.

(10) Subject to section 1077D(2) of the Taxes Consolidation Act 1997, proceedings or applications for the recovery of any penalty under this section shall not be out of time by reason that they are commenced after the time allowed by section 30.

(11) The amount referred to in paragraph (a) of subsection (4) and in paragraph (a)(i) of subsection (7) shall be the difference between—

(a) the amount of tax (if any) paid or claimed by the person concerned for the relevant period on the basis of the incorrect return, claim or declaration as furnished or otherwise made, and

(b) the amount properly payable by, or refundable to, that person for that period.

(12) The amount referred to in paragraph (b) of subsection (4) and in paragraph (b)(ii) of subsection (7) shall be the difference between—

(a) the amount of tax (if any) paid by that person for the relevant period before the start by the Revenue Commissioners or by any Revenue officer of any inquiry or investigation where the Revenue Commissioners had announced publicly that they had started an inquiry or investigation or where the Revenue Commissioners have, or a Revenue officer has, carried out an inquiry or investigation in respect of any matter that would have been included in the return if the return had been furnished by that person and the return had been correct, and

(b) the amount of tax properly payable by that person for that period.

(13) Where a second qualifying disclosure is made by a person within 5 years of such person’s first qualifying disclosure, then as regards matters pertaining to that second disclosure—

(a) in relation to subsection (4)—

(i) paragraph (ii) shall apply as if ‘75 per cent’ were substituted for ‘50 per cent’, and

(ii) paragraph (iii) shall apply as if ‘55 per cent’ were substituted for ‘10 per cent’,

and

(b) in relation to subparagraph (I) of subsection (7)(b)—

(i) clause (B) shall apply as if ‘30 per cent’ were substituted for ‘20 per cent’, and

(ii) clause (C) shall apply as if ‘20 per cent’ were substituted for ‘5 per cent’.

(14) Where a third or subsequent qualifying disclosure is made by a person within 5 years of such person’s second qualifying disclosure, then as regards matters pertaining to that third or subsequent disclosure, as the case may be—

(a) the penalty referred to in paragraphs (a) and (b) of subsection (4) shall not be reduced, and

(b) the reduction referred to in subparagraph (I) of subsection (7)(b) shall not apply.

(15) A disclosure in relation to a person shall not be a qualifying disclosure where—