Finance act, 1981

• Act Number: 16
• Enactment Date: 28 May 1981

Number 16 of 1981
FINANCE ACT, 1981
ARRANGEMENT OF SECTIONS
PART I
Income Tax, Resource Tax And Corporation Tax
Chapter I
Income tax
Section 1. Amendment of provisions relating to exemption from income tax. 2. Personal reliefs. 3. Alteration of rates of income tax. 4. Amendment of section 128 (penalties) of Income Tax Act, 1967. 5. Amendment of section 198 (apportionment in cases of separate assessments) of Income Tax Act, 1967. 6. Restriction of relief under section 496 (repayment for interest paid) of Income Tax Act, 1967. 7. Amendment of section 17 (tax deductions from payments to sub-contractors in the construction industry) of Finance Act, 1970. 8. Amendment of section 7 (relief for certain expenditure on residential premises) of Finance Act, 1979. 9. Amendment of provisions relating to certain time limits.
Chapter II
Taxation of farming profits
10. Averaging of farm profits. 11. Amendment of section 334 (lands owned and occupied, and trades carried on, by charities) of Income Tax Act, 1967. 12. Amendment of section 477 (time for payment of tax) of Income Tax Act, 1967.
13. Farming: provision relating to relief in respect of increase in stock values.
Chapter III
Resource Tax
14. Cesser of resource tax.
Chapter IV
Corporation Tax
15. Time for payment of corporation tax. 16. Amendment of section 143 (return of profits) of Corporation Tax Act, 1976. 17. Amendment of Chapter VI (manufacturing companies) of Part I of Finance Act, 1980.
Chapter V
Income Tax and Corporation Tax
18. Exemption of payments out of Employers' Temporary Subvention Fund. 19. Amendment of section 34 (exemption from tax of income from patent royalties) of Finance Act, 1973. 20. Amendment of provisions relating to relief in respect of increase in stock values. 21. Extension of section 67 (distributions to non-resident individuals) of Corporation Tax Act, 1976. 22. Amendment of section 152 (provisions as to tax under section 151) of Corporation Tax Act, 1976.
Chapter VI
Income Tax and Corporation Tax: Relief for Certain Capital Expenditure
23. Deduction for certain expenditure on construction of rented residential accommodation. 24. Provisions supplementary to section 23. 25. Allowance for certain expenditure on construction of multistorey car-parks. 26. Allowance for certain capital expenditure on roads, bridges, etc. 27. Amendment of section 254 (industrial building allowance) of Income Tax Act, 1967.
Chapter VII
Profits or Gains from Dealing in or Developing Land
28. Amendment of section 17 (extension of charge under Case I of Schedule D to certain profits from dealing in or developing land) of Finance (Miscellaneous Provisions) Act, 1968. 29. Provisions relating to transactions in land.
PART II
Customs and Excise
30. Interpretation (Part II). 31. Beer. 32. Tobacco products. 33. Spirits. 34. Wine and made wine. 35. Hydrocarbons. 36. Televisions. 37. Amendment of duty on table waters. 38. Alteration of rate of duty on Refreshment House licence. 39. Confirmation of Order. 40. Increase of excise duties on licences for mechanically propelled vehicles. 41. Amendment of Finance (Excise Duties) (Vehicles) Act, 1952.
PART III
Value-Added Tax
42. Principal Act. 43. Amendment of section 1 (interpretation) of Principal Act. 44. Amendment of section 12 (deduction for tax borne or paid) of Principal Act. 45. Amendment of section 20 (refund of tax) of Principal Act.
PART IV
Capital Acquisitions Tax
46. Relief in respect of certain marriage settlements.
PART V
Stamp Duties
47. Amendment of section 58 (direction as to duty in certain cases) of Stamp Act, 1891. 48. Amendment of section 49 (exemption of certain instruments from stamp duty) of Finance Act, 1969. 49. Amendment of section 41 (stamp duty on bills of exchange and promissory notes) of Finance Act, 1970. 50. Revocation of Orders.
PART VI
Miscellaneous
51. Capital Services Redemption Account. 52. Disclosure of information to the Ombudsman. 53. Care and management of taxes and duties. 54. Short title, construction and commencement.
FIRST SCHEDULE
Amendment of Enactments
SECOND SCHEDULE
Rates of Excise Duty on Tobacco Products
THIRD SCHEDULE
Rates of Excise Duty on Spirits
FOURTH SCHEDULE
Part I
Rates of Excise Duty on Wine
Part II
Rates of Excise Duty on Made Wine
FIFTH SCHEDULE
Rates of Excise Duty on Televisions
Acts Referred to Capital Acquisitions Tax Act, 1976 1976, No. 8 Capital Gains Tax Act, 1975 1975, No. 20 Corporation Tax Act, 1976 1976, No. 7 Customs-free Airport Act, 1947 1947, No. 5 Finance (1909-10) Act, 1910 1910, c. 8 Finance Act, 1950 1950, No. 18 Finance Act, 1969 1969, No. 21 Finance Act, 1970 1970, No. 14 Finance Act, 1971 1971, No. 23 Finance Act, 1973 1973, No. 19 Finance Act, 1974 1974, No. 27 Finance Act, 1975 1975, No. 6 Finance Act, 1976 1976, No. 16 Finance Act, 1977 1977, No. 18 Finance Act, 1978 1978, No. 21 Finance Act, 1979 1979, No. 11 Finance Act, 1980 1980, No. 14 Finance (Excise Duties) (Vehicles) Act, 1952 1952, No. 24 Finance (Excise Duty on Tobacco Products) Act, 1977 1977, No. 32 Finance (Miscellaneous Provisions) Act, 1968 1968, No. 7 Finance (Taxation of Profits of Certain Mines) Act, 1974 1974, No. 17 Housing (Miscellaneous Provisions) Act, 1979 1979, No. 27 Income Tax Act, 1967 1967, No. 6 Local Government (Planning and Development) Acts, 1963 and 1976 Local Government (Toll Roads) Act, 1979 1979, No. 34 Mercantile Marine Act, 1955 1955, No. 29 Ombudsman Act, 1980 1980, No. 26 Patents Act, 1964 1964, No. 12 Refreshment Houses (Ireland) Act, 1860 1860, c. 107 Road Traffic Act, 1961 1961, No. 24 Stamp Act, 1891 1891, c. 39 Value-Added Tax Act, 1972 1972, No. 22
Number 16 of 1981
FINANCE ACT, 1981
AN ACT TO CHARGE AND IMPOSE CERTAIN DUTIES OF CUSTOMS AND INLAND REVENUE (INCLUDING EXCISE), TO AMEND THE LAW RELATING TO CUSTOMS AND INLAND REVENUE (INCLUDING EXCISE) AND TO MAKE FURTHER PROVISIONS IN CONNECTION WITH FINANCE. [28th May, 1981]
BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:
PART I Income Tax, Resource Tax and Corporation Tax
Chapter I Income Tax
	Amendment of provisions relating to exemption from income tax.	1.—As respects the year 1981-82 and subsequent years of assessment, the Finance Act, 1980 , is hereby amended—
	(a) in section 1—
	(i) in paragraph (b) of subsection (1), by the substitution of “a sum equal to twice the specified amount” for “£5,000”, and
	(ii) in subsection (2), by the substitution of “£4,000” for “£3,400” and of “£2,000” for “£1,700”,
	and
	(b) in section 2—
	(i) in subsection (3), by the substitution of “a sum equal to twice the specified amount” for “£10,000”, and
	(ii) in subsection (6), by the substitution of “£4,600” for “£4,000”, of “£5,600” for “£5,000”, of “£2,300” for “£2,000” and of “£2,800” for “£2,500”, and the said paragraph (b) and the said subsections (2), (3) and (6), as so amended, are set out in the Table to this section.
	TABLE
	(b) an individual makes a claim for the purpose, makes a return in the prescribed form of his total income for that year and proves that it does not exceed a sum equal to twice the specified amount, he shall be entitled to have the amount of income tax payable in respect of his total income for that year, if that amount would, but for the provisions of this subsection, exceed a sum equal to 60 per cent. of the amount by which his total income exceeds the specified amount, reduced to that sum.
	(2) In this section “the specified amount” means—
	(a) in a case where the individual would, apart from this section, be entitled to a deduction specified in section 138 (a) of the Income Tax Act, 1967 , £4,000, and
	(b) in any other case, £2,000.
	(3) Where an individual to whom this section applies proves that his total income for a year of assessment for which this section applies does not exceed a sum equal to twice the specified amount, he shall be entitled to have the amount of income tax payable in respect of his total income for that year, if that amount would, but for the provisions of this subsection, exceed a sum equal to 60 per cent, of the amount by which his total income exceeds the specified amount, reduced to that sum.
	(6) In this section “the specified amount” means—
	(a) in a case where the individual would, apart from this section, be entitled to a deduction specified in paragraph (a) of the said section 138, £4,600:
	Provided that, if at any time during the year of assessment either the individual or his spouse was of the age of seventy-five years or upwards, “the specified amount” means £5,600;
	(b) in any other case, £2,300:
	Provided that, if at any time during the year of assessment the individual was of the age of seventy-five years or upwards, “the specified amount” means £2,800.
	Personal reliefs.	2.—(1) Where a deduction falls to be made from the total income of an individual for the year 1981-82 or any subsequent year of assessment in respect of relief to which the individual is entitled under a provision mentioned in colu...