Finance Act, 1995
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Amendment of section 272 (balancing allowances and balancing charges) of Income Tax Act, 1967. |
25.—(1) Section 272 (as amended by section 24 (b) of the Finance Act, 1994 ) of the Income Tax Act, 1967 , is hereby amended— | |
(a) by the substitution of “paragraphs (a), (b), (c) and (d) of subsection (1)” for “paragraphs (a), (b) and (c) of subsection (1)” in both paragraphs (a) and (b) of subsection (5), and | ||
(b) by the addition of the following subsection after subsection (5): | ||
“(6) Where— | ||
(a) the sale, insurance, salvage or compensation moneys consist of a payment or payments to a person under the scheme for compensation in respect of the decommissioning of fishing vessels which is to be implemented by the Minister for the Marine pursuant to Council Regulation (EC) No. 3699/93 of 21 December 1993* , and | ||
(b) on account of the receipt by the person of the said payment or payments, a balancing charge falls, other than by reason of the proviso to this subsection, to be made on the person for any chargeable period, | ||
then, the amount on which the balancing charge is to be made for that chargeable period shall be an amount equal to one-third of the amount (hereafter in this subsection referred to as ‘the original amount’) on which the balancing charge would, but for this subsection, have fallen to be made: | ||
Provided that there shall be made on the person for each of the two immediately succeeding chargeable periods a balancing charge and the amount on which that charge is made for each of those periods shall be an amount equal to one-third of the original amount.”. | ||
(2) Paragraph (a) of subsection (1) shall be deemed to have come into operation as on and from the 6th day of April, 1994. | ||