Some CAT Reliefs
CAT Act
Miscellaneous reliefs
103
Relief from double aggregation.
[FA 1985 s61(1) and (2)]
(1)Property in respect of which tax is chargeable more than once on the same event is not included more than once in relation to that event in any aggregate referred to in Schedule 2.
(2)Paragraph 5 of Part 1 of Schedule 2 shall not have effect in ascertaining the tax payable in respect of property which is chargeable to tax as being taken more than once on the same day.
104
Allowance for capital gains tax on the same event.
[FA 1985 s63]
(1)Where gift tax or inheritance tax is charged in respect of property on an event happening on or after the date of the passing of this Act, and the same event constitutes for capital gains tax purposes a disposal of an asset (being the same property or any part of the same property), the capital gains tax, if any, chargeable on the disposal is not deducted in ascertaining the taxable value for the purposes of the gift tax or inheritance tax but, in so far as it has been paid, is deducted from the net gift tax or inheritance tax as a credit against the same; but, in relation to each asset, or to a part of each asset, so disposed of, the amount deducted is the lesser of—
(a)an amount equal to the amount of the capital gains tax attributable to such asset, or to the part of such asset, or
(b)an amount equal to the amount of the gift tax or inheritance tax attributable to the property which is that asset, or that part of that asset.
(2)For the purposes of any computation of the amount of capital gains tax to be deducted under this section, any necessary apportionments are made of any reliefs or expenditure and the method of apportionment adopted is such method as appears to the Commissioners, or on appeal to the Appeal Commissioners, to be just and reasonable.
(3)The deduction by virtue of subsection (1) of capital gains tax chargeable on the disposal of an asset against gift tax or inheritance tax shall cease to apply to the extent that the asset is disposed of within 2 years commencing on the date of the gift or, as the case may be, the date of the inheritance.
(3A)Where an amount of tax is treated as an amount of capital gains tax for the purposes of this section under section 730GB of the Taxes Consolidation Act 1997, subsection (3) shall not apply in relation to that amount of tax.
(4)(a)In this subsection “division”, “merger”, “successor company” and “transferor company” have the meanings assigned to them by section 101(4)(a).
(b)For the purposes of subsection (3), a transfer of an asset from a transferor company to a successor company as a result of a merger or a division shall not be regarded as a disposal.
105
Allowance for prior tax on the same event.
[CATA 1976 s34A]
Where tax is charged more than once in respect of the same property on the same event, the net tax payable which is earlier in priority is not deducted in ascertaining the taxable value for the purposes of the tax which is later in priority, but is deducted from the tax which is later in priority as a credit against the same, up to the net amount of the same.
106Arrangements for relief from double taxation.
[CATA 1976 s66]
(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—
(a)affording relief from double taxation in respect of gift tax or inheritance tax payable under the laws of the State and any tax imposed under the laws of that territory which is of a similar character or is chargeable by reference to death or to gifts inter vivos, or
(b)exchanging information for the purposes of the prevention and detection of tax evasion in respect of the taxes specified in paragraph (a),
and that it is expedient that those arrangements should have the force of law and the order so made is referred to in the Table to this section, the arrangements shall, notwithstanding anything in any enactment, have the force of law as if each such order were an Act of the Oireachtas on and from the date of—
(i)the insertion of the Table, or
(ii)the insertion of a reference to the order in the Table,
whichever is the later.
(2)Any arrangements to which the force of law is given under this section may include provision for relief from tax charged before the making of the arrangements and provisions as to property which is not itself subject to double tax, and the provisions of this section shall apply accordingly.
(3)For the purposes of subsection (1), arrangements made with the head of a foreign state are regarded as made with the government of that foreign state.
(4)Where any arrangements have the force of law by virtue of this section, the obligation as to secrecy imposed by any enactment shall not prevent the Commissioners from disclosing to any authorised officer of the government with which the arrangements are made such information as is required to be disclosed under the arrangements.
(5)(a)Any order made under this section may be revoked by a subsequent order and any such revoking order may contain such transitional provisions as appear to the Government to be necessary or expedient.
(b)Where an order is proposed to be made under this section, a draft of such order shall be laid before Dáil Éireann and the order shall not be made until a resolution approving of the draft has been passed by Dáil Éireann.
SCHEDULE 1