S.I. No. 107/1979 - Health Contributions Regulations, 1979.

S.I. No. 107 of 1979.

HEALTH CONTRIBUTIONS REGULATIONS, 1979.

The Minister for Health, in exercise of the powers conferred on him by sections 2 , 10 and 13 of the Health Contributions Act, 1979 (No. 4 of 1979), hereby makes the following Regulations:—

1 Citation.

1. These Regulations may be cited as the Health Contributions Regulations, 1979.

2 Commencement.

2. These Regulations shall come into operation on 6th day of April, 1979.

3 Interpretation.

3. In these Regulations—

"the Act" means the Health Contributions Act, 1979 ;

"the Collector" means the Collector-General appointed under section 162 of the Income Tax Act, 1967 (No. 6 of 1967);

"employer" means any person paying reckonable emoluments, and "employment" shall be construed accordingly;

"excepted farmer" means an individual who, for the year of assessment corresponding to the contribution year, would be "an individual to whom section 16 applies" within the meaning of Chapter II of Part I of the Finance Act, 1974 (No. 27 of 1974), if paragraphs (b) and (d) of section 16 (1), and section 16 (2), of that Act did not apply;

"farm land occupied by the individual" means farm land occupied within the meaning of section 13 (1) of the Finance Act, 1974 , by the individual;

"health board" means a health board established under the Health Act, 1970 (No. 1 of 1970 );

"income tax month" means a month beginning on the 6th day of any of the months of April to March in any contribution year and ending on the 5th day of the following month.

4 Reckonable earnings.

4. For the purposes of the Act, "reckonable earnings" means emoluments, derived from insurable employment or insurable (occupational injuries) employment within the meaning of the Social Welfare Acts, 1952 to 1979, to which Chapter IV of Part V of the Income Tax Act, 1967 , applies but without regard to section 192 of that Act, (other than non-pecuniary emoluments), reduced by so much of the allowable contribution referred to in regulations 59 and 60 of the Income Tax (Employments) Regulations, 1960 ( S.I. No. 28 of 1960 ) (inserted by the Income Tax (Employments) Regulations, 1972 ( S.I. No. 260 of 1972 )), as is deducted on payment of those emoluments.

5 Reckonable emoluments.

5. For the purposes of the Act, "reckonable emoluments" means emoluments (other than non-pecuniary emoluments and reckonable earnings) reduced by so much of the allowable contribution referred to in regulations 59 and 60 of the Income Tax (Employments) Regulations, 1960 (inserted by the Income Tax (Employments) Regulations, 1972), as is deducted on payment of those emoluments.

6 Reckonable income.

6. (1) Subject to sub-article (2) of this article, for the purposes of the Act, "reckonable income" means, in relation to an individual, the income aggregate of the individual's income (other than non-pecuniary income) from all sources for the contribution year as estimated in accordance with the provisions of the Income Tax Acts, but without regard to section 192 of the Income Tax Act, 1967 , after deducting from the income so much of any deduction allowed by virtue of section 222 or 233 of the Income Tax Act, 1967 , or Chapter II of Part I of the Finance Act, 1972 (No. 19 of 1972), as is to be deducted from or set off against that income in charging it to income tax.

(2) For the purposes of the Act, in the case of an individual other than an excepted farmer, reckonable income, insofar as consisting of the profits or gains from farming, means an amount determined by multiplying the rateable valuation of the farm land occupied by the individual during the contribution year by 92.

7 Liability for payment of contributions in respect of reckonable emoluments.

7. (1) An employer shall be liable in the first instance to pay a health contribution due in respect of any payment of reckonable emoluments,

(2) An employer shall, on making any payment of reckonable emoluments to an individual, deduct from the emoluments—

( a ) the amount of any health contribution due by the individual in respect of that payment of reckonable emoluments; or

( b ) where the said amount cannot at the time of making such payment be ascertained, the amount reasonably believed by the employer to be so due.

(3) Where the amount deducted under sub-article (2) (b) of this article is greater than the amount due by the individual the employer shall repay the difference to the individual.

(4) A contribution payable by an individual shall not be recoverable from him by his employer otherwise than by deduction in accordance with sub-article (2) of this article or under the provisions of Part IV of the Income Tax (Employments) Regulations, 1960, as applied to health contributions.

8 Remittance of health contributions by employer to the Collector.

8. (1) Health contributions payable in respect of reckonable emoluments shall be collected and be recoverable by the Collector and accounted for by him.

(2) Health contributions payable in respect of reckonable emoluments shall be remitted by the employer to the Collector.

9 Returns by employers at end of contribution year

9. An employer shall furnish to the Collector within twenty-five days from the end of a contribution year or from the day in a contribution year in which he ceases to be an employer who is required to send a notification to the Revenue Commissioners under regulation 8 (1) of the Income Tax (Employments) Regulations, 1960,—

( a ) a return, in a form provided or approved by the Revenue Commissioners, in respect of each individual to whom payment of reckonable emoluments was made during the course of that year showing—

(i) the total health contributions payable as respects the individual in the contribution year,

(ii) the dates of commencement and cessation within the contribution year of the employment of the individual.

(iii) particulars relating to the rate of health contribution payable as respects the individual, and

(iv) the total reckonable emoluments paid to the individual in the contribution year, and

( b ) a statement, declaration and certificate, in such form as may be provided or approved by the Revenue Commissioners, showing the total health contributions which the employer was liable to remit in respect of every individual to whom payment of reckonable emoluments was made in the contribution year.

10 Issuing of certificate to individual at end of contribution year.

10. (1) Within nine days from the end of a contribution year an employer shall give to each individual to whom a payment of reckonable emoluments was due on or after the last day of the contribution year a certificate showing—

( a ) the total health contributions deducted from the reckonable emoluments of the individual during the contribution year,

( b ) the date of commencement within the contribution year of the employment of the individual,

( c ) particulars relating to the rate of health contribution payable as respects the individual, and

( d ) the total reckonable emoluments paid to the individual in the contribution year.

(2) The certificate specified in sub-article (1) of this article shall be in such form as may be provided or approved by the Revenue Commissioners.

11 Issuing of certificate to individual on cessation of reckonable emoluments.

11. (1) An employer shall give to each individual to whom he makes payment of reckonable emoluments on the cessation of the period to which the payment of health contributions by the individual relates a certificate showing—

( a ) the total health contributions as respects the individual which the employer was liable to remit for the contribution year up to and including the date of such cessation,

( b ) the dates of commencement and cessation within the contribution year of the employment of the individual,

( c ) particulars relating to the rate of health contribution payable as respects the individual, and

( d ) the total reckonable emoluments paid to the individual in the contribution year up to and including the date of such cessation.

(2) The certificate specified in sub-article (1) of this article shall be in such form as may be provided or approved by the Revenue Commissioners.

12 Employers' records.

12. (1) Employers shall record the following particulars in respect of each individual to whom payment of reckonable emoluments has been made in a contribution year—

( a ) the amount of each such payment of reckonable emoluments,

( b ) the amount of the health contribution deducted from each such payment of reckonable emoluments,

( c ) the total health contributions which the employer is liable to remit in respect of each such payment of reckonable emoluments, and

( d ) the dates of commencement and cessation within the contribution year of the employment of the individual.

(2) The records specified in sub-article (1) of this article shall be in a form approved by the Revenue Commissioners and shall be retained by employers for a period of six years after the end of the contribution year to which they refer.

13 Inspection of records by individuals in receipt of reckonable emoluments.

13. An individual who is in receipt of reckonable emoluments shall be entitled to inspect the record specified in article 12 of these Regulations in respect of him or to obtain a statement of such record from his employer once in every period of three months.

14 Inspection of employers' records by authorised officer.

14. (1) In this article "authorised officer" means an officer of the Revenue Commissioners authorised by them in writing for the purpose of this article.

(2) An employer or a person employed by the employer at the employer's premises shall, upon request made to him by an authorised officer at the employer's premises, produce to the authorised officer for inspection the records specified in article 12 of these Regulations.

(3) Where in pursuance of this article an authorised officer requests production of an employer's records, he shall, on request, show his authorisation for the purpose of this article to the person concerned.

15 Time for payment of health contributions in respect of reckonable emoluments.

15. The time within which a health contribution due in respect of a payment of reckonable emoluments shall be paid to the Collector by an employer shall be nine days from the end of the income tax month during which the payment of reckonable emoluments to which the contribution relates was made.

16 Payment of health contributions in respect of reckonable income other than emoluments.

16. (1) In this article "appropriate health board" in relation to farm land means that health board in whose functional area the farm land is situate.

(2) A health contribution payable in respect of reckonable income consisting of the profits or gains from farming, by an individual other than an excepted farmer, shall be paid to the appropriate health board.

(3) A health contribution payable in respect of reckonable income other than emoluments, by an individual other than an individual specified in sub-article (2), shall be paid to the Collector.

(4) Health contributions payable in accordance with sub-article (2) shall be collected and accounted for by the appropriate health board.

(5) Health contributions payable in accordance with sub-article (3) shall be collected and accounted for by the Collector.

17 Time for payment of health contributions in respect of reckonable income other than emoluments.

17. A health contribution payable in respect of reckonable income other than emoluments shall be due and payable on or before the 1st day of October of the contribution year in respect of which it is due, or on receipt of a notice from the Collector or the appropriate health board demanding payment, whichever is the earlier.

18 Determination and estimation of health contributions payable.

18. The Collector or the appropriate health board, as the case may be, by whom a health contribution is collectable under these Regulations shall determine the amount of such health contributions or where adequate information is not available or is not forthcoming regarding an individual's reckonable income, may make or review an estimate of the amount of such health contributions, and the amount so determined or estimated shall be the amount collectable under these Regulations in respect of such health contributions.

19 Declaration concerning farm land occupied.

19. For the purpose of determining the amount of a health contribution payable in accordance with article 16 (2) of these Regulations, a health board may by notice require an individual to make a declaration in the form required by the health board concerning the farm land occupied by the individual during a contribution year and the individual shall make such a declaration within the time specified in the notice.

20 Underpayment or overpayment of health contributions.

20. In any case of underpayment or overpayment of health contributions to the Collector or a health board, payment or re-payment, as the case may be, shall be made to or by the Collector or the health board, as appropriate.

21 Appropriation of sums paid over to Minister.

21. All sums paid over to the Minister in accordance with Section 13 of the Act shall be appropriated in aid of the Vote for Health.

GIVEN under the Official Seal of the Minister for Health this 4th day of April, 1979.

CHARLES J. HAUGHEY,

Minister for Health.

The Minister for Finance hereby sanctions the above Regulations.

Dated this 4th day of April, 1979.

SEOIRSE Ó COLLA,

Minister for Finance.

EXPLANATORY NOTE.

The Health Contributions Act, 1979 (No. 4 of 1979), provides for a system of income related health contributions which will come into operation on the 6th April, 1979.

These Regulations define the terms "reckonable earnings", "reckonable emoluments" and "reckonable income" which are used in the Health Contributions Act, 1979 .

The Regulations also provide for the assignment to the Collector-General of the responsibility for the determination and estimation of the amounts of health contributions payable and the collection of such contributions in respect of individuals within the PAYE income tax system who are not in insurable employment and prescribe the duties of those making the payments (i.e. the employers) regarding the deducting and remitting of health contributions, the keeping of records, the furnishing of certain returns to the Collector-General, etc. The Regulations entitle the individual as respect whom the health contributions are paid by the employers to inspect the employer's records relating to health contributions or to obtain a statement relating to such records from the employer once in every period of three months.

Regulations on the lines mentioned in the preceding paragraph concerning health contributions payable under section 5 of the Health Contributions Act, 1979 , (i.e. those paid by insured persons under the Social Welfare Acts who pay income tax under the PAYE system) are dealt with in the Social Welfare (Collection of Employment Contributions by the Collector-General) Regulations, 1979 ( S.I. No. 77 of 1979 ).

The Regulations also provide for the estimation, determination, payment, collection, etc., of health contributions due in the case of individuals who are self-employed, farmers, persons with investment income, etc. (i.e. in the case of individuals who have a liability to pay health contributions under section 7 of the Act). In cases where the profits or gains are derived from farming and the farmer has no other trade or profession, the Regulations provide for the determination of amounts due in respect of such profits or gains by multiplying the rateable valuation of farm land occupied by 92. The payment of health contributions in the latter cases falls to be made to the appropriate health board. In other cases the payments will be made to the Collector-General.

Provision is also made for the making of adjustments in the case of any underpayment or overpayment of health contributions.

The Regulations specify that all sums collected by way of health contributions and paid over to the Minister for Health shall be appropriated in aid of the Vote for Health.