Finance Act, 1983
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Distributions to certain non-resident companies. |
47.—(1) (a) This section applies to any distribution which— | |
(i) is a distribution by virtue only of section 84 (2) (d) (iv) of the Corporation Tax Act, 1976 , or | ||
(ii) is a dividend paid by a company (hereafter in this subsection referred to as the “first-mentioned company”) to another company— | ||
(I) of which the first-mentioned company is a 75 per cent. subsidiary, and, | ||
(II) which is a resident of the United States of America or of a territory with the government of which arrangements having the force of law by virtue of section 361 of the Income Tax Act, 1967 , have been made. | ||
(b) For the purposes of paragraph (a)— | ||
“resident of the United States of America” has the meaning assigned to it by the Convention set out in Schedule 8 to the Income Tax Act, 1967 ; | ||
a company shall be regarded as being a resident of a territory other than the United States of America if it is so regarded under the provisions of arrangements made with the government of that territory and having the force of law by virtue of section 361 of the said Act. | ||
(2) Where a company proves that this section applies to a distribution made by it and claims to have the distribution treated as not being a distribution for the purposes of section 38 , then— | ||
(a) the distribution shall be so treated, and | ||
(b) notwithstanding any provision of the Tax Acts, the company to which the distribution is made shall not be entitled to a tax credit in respect of the distribution. | ||
(3) Any claim under this section shall be made in the return made under section 50 for the accounting period in which the distribution is made and shall require the consent, notified to the inspector in such form as the Revenue Commissioners may require, of the company to which the distribution is made. | ||
(4) Subsection (1) of section 361 of the Income Tax Act, 1967 , is hereby amended by the substitution for “, the arrangements shall, notwithstanding anything in any enactment,” of “and section 47 of the Finance Act, 1983, the arrangements shall, notwithstanding anything in any enactment, other than the said section 47 ,”, and the said subsection (1), as so amended, is set out in the Table to this subsection. | ||
TABLE | ||
361. (1) If the Government by order declare that arrangements specified in the order have been made with the government of any territory outside the State in relation to affording relief from double taxation in respect of income tax or corporation tax and any taxes of a similar character, imposed by the laws of the State or by the laws of that territory, and that it is expedient that those arrangements should have the force of law, then, subject to the provisions of this Part and section 47 of the Finance Act, 1983, the arrangements shall, notwithstanding anything in any enactment, other than the said section 47 , have the force of law. |