S.I. No. 27/1986:

IMPOSITION OF DUTIES (No. 282) (STAMP DUTY ON CERTAIN STATEMENTS OF INTEREST) ORDER, 1986.

IMPOSITION OF DUTIES (No. 282) (STAMP DUTY ON CERTAIN STATEMENTS OF INTEREST) ORDER, 1986.

The Government, in exercise of the powers conferred on them by section 1 of the Imposition of Duties Act, 1957 (No. 7 of 1957), and section 22 of the Finance Act, 1962 (No. 15 of 1962) hereby order as follows:

1. This Order may be cited as the Imposition of Duties (No. 282) (Stamp Duty on Certain Statements of Interest) Order, 1986.

2. This Order shall come into operation on the 30th day of January, 1986.

3. (a) In this Order--

"corporation tax" means the tax charged by the Corporation Tax Acts;

"Corporation Tax Acts" has the meaning given to it by section 155 (l) of the Corporation Tax Act, 1976 (No. 7 of 1976);

"relevant interest" means any interest or other distribution which--

(i) is received, or is receivable, by a company (hereafter in this Order referred to as "the lender") which is within the charge to corporation tax, and

(ii) is payable out of the assets of another company (hereinafter in this Article referred to as "the borrower") which is resident in the State for the purposes of corporation tax, in respect of a security of the borrower which is a security falling within subparagraph (ii), (iii) (1) or (v) of section 84(2) (d) of the Corporation Tax Act, 1976 , and

(iii) is a distribution for the purposes of the Corporation Tax Acts;

"relevant period" means the period beginning on the 30th day of January, 1986, and ending on the 31st day of July, 1986, the period of six months ending on the 31st day of January, 1987, or any subsequent period of six months ending on the 31st day of January or the 31st day of July.

( b ) For the purposes of this Order, any amount which, in a relevant period, is debited to a borrower's account with a lender in respect of relevant interest shall be treated as an amount received by the lender in that relevant period.

4. A lender shall, within 30 days from the end of each relevant period, deliver to the Revenue Commissioners a statement in writing showing the amount of the relevant interest for that lender in respect of that relevant period.

5. There shall be charged on every statement delivered in pursuance of Article 4 of this Order a stamp duty of an amount equal to 12 per cent of the amount of the relevant interest shown therein.

6. The duty charged by Article 5 of this Order upon a statement delivered by a lender pursuant to Article 4 of this Order shall be paid by the lender upon delivery of the statement.

7. There shall be furnished to the Revenue Commissioners by a lender such particulars as the Revenue Commissioners may deem necessary in relation to any statement required by this Order to be delivered by a lender.

8. In the case of failure by a lender to deliver any statement required by Article 4 of this Order within the time specified in that Article or of failure by a lender to pay any duty chargeable on any such statement on the delivery thereof, the lender shall be liable to pay, by way of penalty, in addition to the duty, interest thereon at the rate of 2.5 per cent for each month or part of a month from the expiration of the relevant period to which the statement relates until the day on which the duty is paid.

9. The delivery of any statement required by Article 4 of this Order may be enforced by the Revenue Commissioners under section 47 of the Succession Duty Act, 1853, in all respects as if such statement were such account as is mentioned in that section and the failure to deliver such statement were such default as is mentioned in that section.

10. This Order shall be construed together with the Stamp Act, 1891, and the enactments amending or extending that Act.

GIVEN under the Official Seal of the Government, this 29th day of January, 1986.

GARRET FITZGERALD,

Taoiseach.

EXPLANATORY NOTE.

This Order gives effect to the decision announced in the Budget Statement that a levy, to be collected as a stamp duty, at a rate of 12 per cent., is to be imposed on certain interest arising on or after the 30th of January, 1986, under the Corporation Tax Acts.