Finance Act 2005

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Dividend withholding tax.

47.—(1) Chapter 8A (inserted by the Finance Act 1999 ) of Part 6 of the Principal Act is amended—

(a) in section 172A(1)(a) by inserting the following definitions after the definition of “pension scheme”:

“ ‘PRSA administrator’ has the same meaning as in section 787A;

‘PRSA assets’ has the same meaning as in section 787A;”,

and

(b) in section 172C—

(i) in subsection (2)—

(I) by inserting the following paragraph after paragraph (ba):

“(bb) a PRSA administrator who is receiving the relevant distribution as income arising in respect of PRSA assets, and has made a declaration to the relevant person in relation to the relevant distribution in accordance with paragraph 10 of Schedule 2A,”,

and

(II) by inserting the following paragraph after paragraph (da):

“(db) a unit trust to which section 731(5)(a) applies and which has made a declaration to the relevant person in relation to the relevant distribution in accordance with paragraph 11 of Schedule 2A,”,

and

(ii) in subsection (3) by inserting the following paragraphs after paragraph (c):

“(ca) a PRSA administrator who receives a relevant distribution as income arising in respect of PRSA assets,

(cb) a unit trust to which section 731(5)(a) applies which receives a relevant distribution in relation to units in that unit trust,”.

(2) Schedule 2A (inserted by the Finance Act 1999 ) of the Principal Act is amended by inserting the following paragraphs after paragraph 9:

“Declaration to be made by a PRSA administrator

10. The declaration referred to in section 172C(2)(bb) shall be a declaration in writing to the relevant person which—

(a) is made by the person (in this paragraph referred to as the ‘declarer’) beneficially entitled to the relevant distribution in respect of which the declaration is made,

(b) is signed by the declarer,

(c) is made in such form as may be prescribed or authorised by the Revenue Commissioners,

(d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distribution is a person referred to in section 172C(2)(bb),

(e) contains the name and tax reference number of the person,

(f) contains a statement that, at the time when the declaration is made, the relevant distribution in respect of which the declaration is made will be applied as income of a PRSA,

(g) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distribution accordingly, and

(h) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.

Declaration to be made by exempt unit trust

11. The declaration referred to in section 172C(2)(db) shall be a declaration in writing to the relevant person which—

(a) is made by the person (in this paragraph referred to as the ‘declarer’) beneficially entitled to the relevant distributions in respect of which the declaration is made,

(b) is signed by the declarer,

(c) is made in such form as may be prescribed or authorised by the Revenue Commissioners,

(d) declares that, at the time when the declaration is made, the person beneficially entitled to the relevant distribution is a person referred to in section 172C(2)(db),

(e) contains the name and tax reference number of the person,

(f) contains a statement that, at the time when the declaration is made, the relevant distribution in respect of which the declaration is made will be applied as income of an exempt unit trust to which section 731(5)(a) applies,

(g) contains an undertaking by the declarer that, if the person mentioned in subparagraph (d) ceases to be an excluded person, the declarer will, by notice in writing, advise the relevant person in relation to the relevant distribution accordingly, and

(h) contains such other information as the Revenue Commissioners may reasonably require for the purposes of Chapter 8A of Part 6.”.

(3) This section shall apply as on and from 3 February 2005.