Income Tax (Construction Contracts) Regulations, 1971

• Jurisdiction: Ireland
• Citation: IR SI 1/1971
• Year: 1971

S.I. No. 1 of 1971.
INCOME TAX (CONSTRUCTION CONTRACTS) REGULATIONS, 1971
ARRANGEMENT OF REGULATIONS.
PART I.
General.
Regulation
1. Citation and commencement.
2. Interpretation.
3. Transfer of functions, etc.
4. Application for sub-contractor's certificate.
5. Liability for payment of tax deductible.
6. Service by post, etc.
PART II.
Registers and Certificates.
7. Register of sub-contracts.
8. Certificate of deduction.
9. Payment in respect of construction operations performed by a gang or group of sub-contractors.
PART III.
Payment and Recovery of Tax.
10. Payment of tax by principal.
11. Recovery of tax.
12. Estimation of tax due by principal.
PART IV.
Repayment and Credit to Uncertified Sub-contractors.
13. Repayment.
14. Credit against liability to tax of sub-contractor.
PART V.
Miscellaneous.
15. Inspection of principal's records, etc.
16. Death of principal or payee.
17. Difference between principal and sub-contractor.
18. Notification of liability.
S.I. No. 1 of 1971.
INCOME TAX (CONSTRUCTION CONTRACTS) REGULATIONS, 1971.
The Revenue Commissioners, in exercise of the powers conferred on them by section 17 of the Finance Act, 1970 (No. 14 of 1970), hereby make the following Regulations:
PART I. General.
	1 Citation and commencement.	1. (1) These Regulations may be cited as the Income Tax (Construction Contracts) Regulations, 1971.
(2) These Regulations shall come into operation on the 6th day of April, 1971.
	2 Interpretation.	2. In these Regulations, except where the context otherwise requires—
"accounting period" has the meaning assigned to it in Regulation 7 of these Regulations;
"certificate of deduction" has the meaning assigned to it in Regulation 8 of these Regulations;
"certified sub-contractor" means in any year a sub-contractor who at or before the time of payment in that year of an amount due to him from a principal under a construction contract has produced to the principal a sub-contractor's certificate in respect of that year;
"construction contract" has the meaning assigned to it in subsection (1) of the principal section;
"income tax month" means a month beginning on the 6th day of any of the months of April to March in any year:
"inspector" means an inspector of taxes; "officer of the Revenue Commissioners" includes an inspector;
"payee" has the meaning assigned to it in Regulation 9 of these Regulations;
"payment", in relation to a payment made by a principal to a sub-contractor under a construction contract, includes a payment on account of an amount due under the construction contract;
"prescribed" means prescribed by the Revenue Commissioners under these Regulations;
"principal" means a principal within the meaning of the principal section of the kind referred to in subsection (2) of that section (and includes such a payee as is referred to in Regulation 9 (b) of these Regulations);
"the principal section" means section 17 of the Finance Act, 1970 (No. 14 of 1970);
"repayment period" has the meaning assigned to it in subsection (4) of the principal section;
"sub-contractor" means a person of the same kind as the person referred to as the sub-contractor in subsection (2) of the principal section;
"sub-contractor's certificate" means a certificate issued to a sub-contractor under subsection (7) of the principal section;
"uncertified sub-contractor" means in any year a sub-contractor who at or before the time of payment in that year of an amount due to him from a principal under a construction contract has not produced to the principal a sub-contractor's certificate in respect of that year;
"year " means year of assessment;
other words and expressions have the same meaning as in the Income Tax Acts.
	3 Transfer of functions, etc.	3. (1) The Revenue Commissioners may nominate any officer of the Revenue Commissioners to perform any acts and discharge any functions authorised by these Regulations to be performed or discharged by the Revenue Commissioners.
(2) Anything which is authorised or required by these Regulations to be done by an inspector may be done by any inspector.
	4 Application for subcontractor's certificate.	4. A person who desires to obtain a sub-contractor's certificate shall make application on the prescribed form for such certificate to the Revenue Commissioners.
	5 Liability for payment of tax deductible.	5. A person who is required to make any deduction of tax referred to in these Regulations shall, whether the deduction is made or not, be accountable for the amount of the deduction and shall be liable to pay that amount to the Collector.
	6 Service by post etc.	6. (1) Any notice, notification, certificate, requirement or register which is authorised or required to be given, served, made, sent or issued under these Regulations may be sent by post.
(2) If a person delivers to an officer of the Revenue Commissioners any declaration, certificate, statement or register in a prescribed form, he shall be deemed to have been required by a notice under these Regulations to prepare and deliver that declaration, certificate, statement or register.
(3) In proceedings for recovery of a penalty by virtue of subsection (8) of the principal section—
(a) a certificate signed by an officer of the Revenue Commissioners which certifies that he has examined the relevant records and that it appears from them that a stated notice was duly given to the defendant on a stated day shall be evidence until the contrary is proved that that person received that notice in the ordinary course,
(b) a certificate by an officer of the Revenue Commissioners which certifies that he has examined the relevant records and that it appears from them that, during a stated period, a stated declaration, certificate, statement or register was not received from the defendant shall be evidence until the contrary is proved that the defendant did not, during that period, deliver that declaration, certificate, statement or register,
(c) a certificate certifying as provided for in subparagraph (a) or subparagraph (b) of this paragraph and purporting to be signed by an officer of the Revenue Commissioners may be tendered in evidence without proof and shall be deemed until the contrary is proved to have been signed by such officer.
PART II. Registers and Certificates.
	7 Register of subcontracts.	7. (1) Every contractor who is a principal shall keep and maintain throughout his accounting period, being the period for which the accounts of his business are made up, or throughout the year if accounts of his business are not made up, a register in the prescribed form.
(2) Where a register is kept and maintained under this Regulation—
(a) the principal shall enter in the register, on the occasion of any payment made by him to a sub-contractor, the particulars indicated by the form of the register as being required to be entered therein in respect of that payment, and
(b) the principal, on being required so to do by the Revenue Commissioners by notice, shall deliver the register to the Revenue Commissioners within the period specified in the notice.
(3) Where the principal is a body corporate, any declaration or certificate which is indicated by the form of the register as being required to be made by 'the principal shall be signed either by the secretary or a director of the body corporate.
	8 Certificate of deduction.	8. (1) When a principal makes a payment to an uncertified subcontractor from which tax is deductible under subsection (2) of the principal section, he shall, on making such payment, give to the uncertified sub-contractor a certificate in the prescribed form (in these Regulations referred to as a certificate of deduction) containing such particulars as are indicated by the form of the certificate as being required to be entered thereon.
(2) The principal shall on the same day as he makes the payment to the uncertified sub-contractor issue a copy of the certificate of deduction to the inspector.
	9 Payment in respect of construction operations performed by a gang or group of sub-contractors.	9. Where construction operations are performed by a gang or group of sub-contractors and payment in respect of such construction operations is made by the principal to one member (in these Regulations referred to as the payee) of the gang or group—
(a) if the payee is an uncertified sub-contractor, he shall on the day on which he makes any payment in respect of the construction operations to any other sub-contractor in the gang or group—
(i) give to him a certificate in the prescribed form containing such particulars as are indicated by the form of the certificate as being required to be entered therein in relation to the amount which he has paid to such other sub-contractor out of the payment which he received from the principal, and
(ii) send to the inspector on the prescribed form a statement showing how the amount which he received from the principal was divided between the members of the gang or group of sub-contractors;

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