Finance Act, 2009

• Jurisdiction: Ireland
• Citation: IR No. 12/2009
• Year: 2009

Number 12 of 2009
FINANCE ACT 2009
ARRANGEMENT OF SECTIONS
PART 1
Income Levy, Income Tax, Corporation Tax and Capital Gains Tax
Chapter 1
Interpretation
Section
1. Interpretation (Part 1).
Chapter 2
Income Levy
2. Income levy.
Chapter 3
Income Tax
3. Amendment of section 244 (relief for interest paid on certain home loans) of Principal Act.
4. Amendment of section 244A (application of section 244) of Principal Act.
5. Amendment of section 97 (computational rules and allowable deductions) of Principal Act.
6. Income tax: treatment of profits or gains and losses from dealing in residential development land.
Chapter 4
Income Tax, Corporation Tax and Capital Gains Tax
7. Amendment of section 372AW (interpretation, applications for approval and certification) of Principal Act.
8. Capital allowances for certain health-related facilities.
9. Amendment of Part 8 (annual payments, charges and interest) of Principal Act.
10. Life assurance policies and investment funds.
Chapter 5
Corporation Tax
11. Corporation tax: treatment of profits or gains and losses from dealing in residential development land.
12. Amendment of section 626B (exemption from tax in the case of gains on certain disposals of shares) of Principal Act.
13 . Intangible assets, etc.
Chapter 6
Capital Gains Tax
14. Capital gains: rate of charge.
PART 2
Excise
15. Rates of mineral oil tax.
16. Rates of tobacco products tax.
17. Betting duty.
18. Air travel tax.
19. Amendment of section 135B (repayment of amounts in respect of vehicle registration tax in certain cases) of Finance Act 1992.
PART 3
Value-Added Tax
20. Interpretation (Part 3).
21. Amendment of section 7 (waiver of exemption) of Principal Act.
22. Amendment of section 7B (transitional measures: waiver of exemption) of Principal Act.
PART 4
Stamp Duties
23. Interpretation (Part 4).
24. Exchange of houses.
25. Amendment of section 101 (intellectual property) of Principal Act.
26. Amendment of Part 9 (levies) of Principal Act.
PART 5
Capital Acquisitions Tax
27. Amendment of Schedule 2 (computation of tax) to Capital Acquisitions Tax Consolidation Act 2003.
PART 6
Miscellaneous
28. Interpretation (Part 6).
29. Interest on certain overdue tax.
30. Miscellaneous technical amendments in relation to tax.
31. Care and management of taxes and duties.
32. Short title, construction and commencement.
Acts Referred to
Air Navigation and Transport (Amendment) Act 1998 1998, No. 24 Capital Acquisitions Tax Consolidation Act 2003 2003, No. 1 Copyright and Related Rights Act 2000 2000, No. 28 Finance Act 1992 1992, No. 9 Finance Act 1999 1999, No. 2 Finance Act 2001 2001, No. 7 Finance Act 2002 2002, No. 5 Finance Act 2005 2005, No. 5 Finance Act 2008 2008, No. 3 Finance (No. 2) Act 2008 2008, No. 25 European Communities (Amendment) Act 1993 1993, No. 25 Insurance Act 1936 1936, No. 45 Planning and Development Act 2000 2000, No. 30 Plant Varieties (Proprietary Rights) Act 1980 1980, No. 24 Plant Varieties (Proprietary Rights) (Amendment) Act 1998 1998, No. 41 Stamp Duties Consolidation Act 1999 1999, No. 31 Succession Duty Act 1853 16 & 17 Vict., c. 39 Taxes Consolidation Act 1997 1997, No. 39 Value-Added Tax Act 1972 1972, No. 22 Value-Added Tax Acts
Number 12 of 2009
FINANCE ACT 2009
AN ACT TO PROVIDE FOR THE IMPOSITION, REPEAL, REMISSION, ALTERATION AND REGULATION OF TAXATION, OF STAMP DUTIES AND OF DUTIES RELATING TO EXCISE AND OTHERWISE TO MAKE FURTHER PROVISION IN CONNECTION WITH FINANCE INCLUDING THE REGULATION OF CUSTOMS.
[3rd June, 2009]
BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:
PART 1 Income Levy, Income Tax, Corporation Tax and Capital Gains Tax
Chapter 1 Interpretation
	Interpretation (Part 1).	1.— In this Part “Principal Act” means the Taxes Consolidation Act 1997 .
Chapter 2 Income Levy
	Income levy.	2.— (1) The Principal Act is amended—
	(a) in section 531A(1) by substituting the following for the definition of “ aggregate income”:
	“ ‘aggregate income for the year of assessment’, in relation to an individual and a year of assessment, means the aggregate of the individual’s relevant emoluments in the year of assessment, including relevant emoluments that are paid in whole or in part for a year of assessment other than the year of assessment during which the payment is made, and relevant income for the year of assessment;”,
	(b) in section 531B in paragraph (b) of the Table to subsection (1) by substituting the following for all of the words from “The income described in this paragraph” to “in accordance with the Income Tax Acts and—”:
	“The income described in this paragraph, to be known as ‘relevant income’, is income, without regard to any amount deductible from or deductible in computing total income, from all sources as estimated in accordance with the Tax Acts, other than relevant emoluments, social welfare payments and similar type payments and excluded emoluments, and—”,
	(c) in section 531B in paragraph (b)(iii) of the Table to subsection (1) by deleting “and”,
	(d) in section 531B in paragraph (b)(iv) of the Table to subsection (1) by substituting “such payment,” for “such payment.”,
	(e) in section 531B in paragraph (b) of the Table to subsection (1) by inserting the following after subparagraph (iv):
	“(v) disregarding expenses, in respect of which an employee may be entitled to relief from income tax, which fall within Regulation 10(3) of the PAYE Regulations,
	(vi) having regard to any relief arising under subsection (5)(a) of section 201, and paragraphs 6 and 8 of Schedule 3 in respect of payments chargeable to tax under section 123, and
	(vii) excluding relevant emoluments of an individual who is resident in a territory with which arrangements have been made under section 826(1)(a)(i) in relation to affording relief from double taxation, where those emoluments are the subject of a notification issued under section 984(1).”,
	(f) in section 531B(2) by substituting the following for paragraph (a):
	“(a) subject to subsection (3), proves to the satisfaction of the Revenue Commissioners that his or her aggregate income for the year of assessment does not exceed €15,028,”,
	(g) in section 531B by inserting the following after subsection (2):
	“(3) For the purposes of determining an individual’s aggregate income for the year of assessment 2009 for the purposes of subsection (2)(a), any payment of relevant emoluments from which income levy was not deducted by an employer, made in the period from 1 January 2009 to 30 April 2009, to which the appropriate portion of €18,304 was applied in that period, shall be disregarded.
	(4) (a) This subsection applies to emoluments paid to an individual in the period 1 January 2009 to 30 April 2009 in the form of any taxable ex-gratia payment made on the occasion of the redundancy of that individual, which is chargeable to income tax under the provisions of section 123.
	(b) Notwithstanding any other provision of this Part and subject to paragraph (c), to the extent that emoluments are emoluments to which this subsection applies, those emoluments—
	(i) shall be charged to income levy for the year of assessment 2009 at the rate of—
	(I) 1 per cent on the first €100,100 of such emoluments,
	(II) 2 per cent on the next €150,020 of such emoluments, and
	(III) 3 per cent on the remainder of such emoluments,
	and
	(ii) shall not be reckoned in computing relevant emoluments for that year for any other purpose of this Part.
	(c) This subsection shall not apply to emoluments paid to an individual if that individual so elects by notice in writing to an inspector after the end of the year of assessment 2009.”,
	(h) by substituting the following for section 531C:
	“Rate of charge.
	531C.— (1) For the year of assessment 2009, an individual shall be charged to income levy on the individual’s aggregate income for the year of assessment at the rates specified in the Table to this subsection.
	TABLE
Part of aggregate income Rate of income levy The first €75,036 1.67% The next €25,064 3% The next €74,880 3.33% The next €75,140 4.67% The remainder 5%
	(2) For the year of assessment 2010, and subsequent years of assessment, an individual shall be charged to income levy on the individual’s aggregate income for the year of assessment at the rates specified in the Table to this subsection.
	TABLE
Part of aggregate income Rate of income levy The first €75,036 2% The next €99,944 4% The remainder 6%
	.”,
	(i) in section 531D by substituting the following for subsection (2):
	“(2) (a) As respects any payment of relevant emoluments made to or on behalf of an employee in the period beginning on 1 January 2009 and ending on 30 April 2009, income levy shall be deducted from such emoluments by the employer at any or all of the following rates—
	(i) 1 per cent where the amount of the relevant emoluments does not exceed €1,925, in the case where the period in respect of which the payment is being made is a week, or a corresponding amount, where the period is greater or less than a week,
	(ii) 2 per cent on the amount of the excess where the amount of relevant emoluments exceeds €1,925, but does not exceed €4,810, in the case where the period in respect of which the payment is being made is a week, or a corresponding amount, where the period is greater or less than a...