Corporation Tax Act, 1976
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Miscellaneous special rules for computation of income. |
12.—(1) For purposes of corporation tax, income tax law as applied by section 11 shall have effect subject to the following subsections. | |
(2) Where a company begins or ceases to carry on a trade, or to be within the charge to corporation tax in respect of a trade, the company's income shall be computed as if that were the commencement or, as the case may be, discontinuance of the trade, whether or not the trade is in fact commenced or discontinued: | ||
Provided that where any provision of the Income Tax Acts is applied for corporation tax by this Act, this subsection shall not have effect for any purpose of that provision if under any enactment a trade is not to be treated as permanently discontinued for the corresponding income tax purpose. | ||
(3) In computing income from a trade section 11 (5) (b) shall not prevent the deduction of yearly interest. | ||
(4) In computing a company's income for any accounting period from the letting of rights to work minerals in the State there may be deducted any sums disbursed by the company wholly, exclusively and necessarily as expenses of management or supervision of those minerals in that period: | ||
Provided that any enactments restricting the relief from income tax that might be given under section 553 of the Income Tax Act, 1967 (allowance to owner of mineral rights for expenses), shall apply to restrict in like manner the deductions that may be made under this subsection. | ||
(5) Where a company is chargeable to corporation tax in respect of a trade under Case III of Schedule D, the income from the trade shall be computed in accordance with the provisions applicable to Case I of Schedule D. | ||
(6) The amount of any income arising from securities and possessions in any place outside the State shall be treated as reduced (where such a deduction cannot be made under, and is not forbidden by, any provision of the Income Tax Acts applied by this Act) by any sum which has been paid in respect of income tax in the place where the income has arisen. | ||
(7) Paragraphs (e) and (f) of Case III of Schedule D in section 53 (1) of the Income Tax Act, 1967 , shall for purposes of corporation tax extend to companies not resident in the State, so far as those companies are chargeable to tax on income of descriptions which, in the case of companies resident in the State, fall within those paragraphs (but without prejudice to any provision of the Income Tax Acts specially exempting non-residents from income tax on any particular description of income). | ||
(8) The provisions of section 64 (1) of the Income Tax Act, 1967 , shall not apply in computing income from a trade. |