Capital Acquisitions Tax Consolidation Act 2003 (2003_act_1) | IE

ISB Act 2003-02-21

Schedule 1 Capital Acquisitions Tax Consolidation Act 2003 Open official source

SCHEDULE 1 Valuation of Limited Interests

Valuation of Limited Interests

Sections 28, 35 and 51.

[CATA 1976 First Sch.]

PART 1 Rules relating to the valuation of limited interests utilising Tables A and B in Parts 2 and 3 of this Schedule

PART 1

Rules relating to the valuation of limited interests utilising Tables A and B in Parts 2 and 3 of this Schedule

1. The value of an interest for a single life in a capital sum shall be that sum multiplied by the factor, contained in column (3) or (4) respectively of Table A, which is appropriate to the age and sex of the person in respect of the duration of whose life the interest is to be valued.

2. The value of an interest in a capital sum for the joint continuance of 2 lives shall be the value of an interest in that sum for the older life, ascertained in accordance with rule 1, multiplied by the joint factor in column (2) of Table A which is appropriate to the younger life.

3. The value of an interest in a capital sum for the joint continuance of 3 or more lives shall be the value of an interest in that sum for the joint continuance of the 2 oldest of those lives, ascertained in accordance with rule 2, multiplied by the joint factor of the youngest of those lives.

4. The value of an interest in a capital sum for the longer of 2 lives shall be ascertained by deducting from the total of the values of an interest in that sum for each of those lives, ascertained in accordance with rule 1, the value of an interest in the capital sum for the joint continuance of the same 2 lives, ascertained in accordance with rule 2.

5. Where an interest is given for the longest of more than 2 lives, it shall be valued, in accordance with rule 4, as if it were for the longer of the 2 youngest of those lives.

6. The value of an interest in a capital sum for a period certain shall be the aggregate of—

(a) the value of the capital sum, multiplied by the factor in Table B which is appropriate to the number of whole years in that period (or zero if that period is less than a whole year); and

(b) where the period is not an integral number of years, a fraction (of which the numerator is the number of days in excess of the number of whole years, if any, in that period and the denominator is 365) of the difference between—

(i) the value of an interest in the capital sum for one year longer than the number of whole years, if any, in the period; and

(ii) the value ascertained under the provisions of paragraph (a) (or zero, where so provided in that paragraph).

7. In the case of a limited interest where the interest is for a life or lives, but is guaranteed for a period certain, the value shall be the higher of—

(a) the value of an interest for such life or lives, ascertained in accordance with the appropriate rule in this Part of this Schedule; and

(b) the value of an interest for the period certain, ascertained in accordance with rule 6.

8. The value of a limited interest for which the other rules in this Part of this Schedule provide no method of valuing shall be ascertained as if the interest taken were a series of absolute interests in the property applied in satisfaction of the interest from time to time, taken as separate gifts or inheritances as the case may be.

PART 2

TABLE A

Years of age

Joint Factor

Value of an interest in a capital of €1 for a male life aged as in column 1

Value of an interest in a capital of €1 for a female life aged as in column 1

(1)

(2)

(3)

(4)

0

.99

.9519

.9624

1

.99

.9767

.9817

2

.99

.9767

.9819

3

.99

.9762

.9817

4

.99

.9753

.9811

5

.99

.9742

.9805

6

.99

.9730

.9797

7

.99

.9717

.9787

8

.99

.9703

.9777

9

.99

.9688

.9765

10

.99

.9671

.9753

11

.98

.9653

.9740

12

.98

.9634

.9726

13

.98

.9614

.9710

14

.98

.9592

.9693

15

.98

.9569

.9676

16

.98

.9546

.9657

17

.98

.9522

.9638

18

.98

.9497

.9617

19

.98

.9471

.9596

20

.97

.9444

.9572

21

.97

.9416

.9547

22

.97

.9387

.9521

23

.97

.9356

.9493

24

.97

.9323

.9464

25

.97

.9288

.9432

26

.97

.9250

.9399

27

.97

.9209

.9364

28

.97

.9165

.9328

29

.97

.9119

.9289

30

.96

.9068

.9248

31

.96

.9015

.9205

32

.96

.8958

.9159

33

.96

.8899

.9111

34

.96

.8836

.9059

35

.96

.8770

.9005

36

.96

.8699

.8947

37

.96

.8626

.8886

38

.95

.8549

.8821

39

.95

.8469

.8753

40

.95

.8384

.8683

41

.95

.8296

.8610

42

.95

.8204

.8534

43

.95

.8107

.8454

44

.94

.8005

.8370

45

.94

.7897

.8283

46

.94

.7783

.8192

47

.94

.7663

.8096

48

.93

.7541

.7997

49

.93

.7415

.7896

50

.92

.7287

.7791

51

.91

.7156

.7683

52

.90

.7024

.7572

53

.89

.6887

.7456

54

.89

.6745

.7335

55

.88

.6598

.7206

56

.88

.6445

.7069

57

.88

.6288

.6926

58

.87

.6129

.6778

59

.86

.5969

.6628

60

.86

.5809

.6475

61

.86

.5650

.6320

62

.86

.5492

.6162

63

.85

.5332

.6000

64

.85

.5171

.5830

65

.85

.5007

.5650

66

.85

.4841

.5462

67

.84

.4673

.5266

68

.84

.4506

.5070

69

.84

.4339

.4873

70

.83

.4173

.4679

71

.83

.4009

.4488

72

.82

.3846

.4301

73

.82

.3683

.4114

74

.81

.3519

.3928

75

.80

.3352

.3743

76

.79

.3181

.3559

77

.78

.3009

.3377

78

.76

.2838

.3198

79

.74

.2671

.3023

80

.72

.2509

.2855

81

.71

.2353

.2693

82

.70

.2203

.2538

83

.69

.2057

.2387

84

.68

.1916

.2242

85

.67

.1783

.2104

86

.66

.1657

.1973

87

.65

.1537

.1849

88

.64

.1423

.1730

89

.62

.1315

.1616

90

.60

.1212

.1509

91

.58

.1116

.1407

92

.56

.1025

.1310

93

.54

.0939

.1218

94

.52

.0858

.1132

95

.50

.0781

.1050

96

.49

.0710

.0972

97

.48

.0642

.0898

98

.47

.0578

.0828

99

.45

.0517

.0762

100 or over

.43

.0458

.0698

PART 3

TABLE B

(Column (2) shows the value of an interest in a capital of €1 for the number of years shown in column (1))

Number of years

Value

Number of years

Value

(1)

(2)

(1)

(2)

1

.0654

26

.8263

2

.1265

27

.8375

3

.1836

28

.8480

4

.2370

29

.8578

5

.2869

30

.8669

6

.3335

31

.8754

7

.3770

32

.8834

8

.4177

33

.8908

9

.4557

34

.8978

10

.4913

35

.9043

11

.5245

36

.9100

12

.5555

37

.9165

13

.5845

38

.9230

14

.6116

39

.9295

15

.6369

40

.9360

16

.6605

41

.9425

17

.6826

42

.9490

18

.7032

43

.9555

19

.7225

44

.9620

20

.7405

45

.9685

21

.7574

46

.9750

22

.7731

47

.9815

23

.7878

48

.9880

24

.8015

49

.9945

25

.8144

50 and over

1.0000

ISB Act 2003-02-21

Schedule 2 Capital Acquisitions Tax Consolidation Act 2003 Open official source

SCHEDULE 2 Computation of tax

Computation of tax

Sections 46, 50, 69 and 76.

[CATA 1976 Second Sch., Pt.I, paras. 1 to 5 and 8 to 11 and Pt.II; FA 2001 ss. 221 and 222]

PART 1 Preliminary

PART 1

Preliminary

1. In this Schedule—

“group threshold”, in relation to a taxable gift or a taxable inheritance taken on a particular day, means—

(a) €381,000, where—

(i) the donee or successor is on that day the child, or minor child of a deceased child, of the disponer, or

(ii) the successor is on that day a parent of the disponer and—

(I) the interest taken is not a limited interest, and

(II) the inheritance is taken on the death of the disponer;

(b) €38,100, where the donee or successor is on that day, a lineal ancestor, a lineal descendant (other than a child, or a minor child of a deceased child), a brother, a sister, or a child of a brother or of a sister of the disponer;

(c) €19,050, where the donee or successor (who is not a spouse of the disponer) does not, on that day, stand to the disponer in a relationship referred to in subparagraph (a) or (b);

“the consumer price index number”, in relation to a year, means the All Items Consumer Price Index Number for that year as compiled by the Central Statistics Office and expressed on the basis that the consumer price index number at mid-November 1996 is 100;

“Table” means the Table contained in Part 2 of this Schedule;

“threshold amount” in relation to the computation of tax on any aggregate of taxable values under paragraph 3, means the group threshold that applies in relation to all of the taxable gifts and taxable inheritances included in that aggregate but, in computing under this Schedule the tax chargeable on a taxable gift or taxable inheritance, that group threshold shall, for the purposes of this definition, be multiplied by the figure, rounded to the nearest third decimal place, determined by dividing by 104.8 the consumer price index number for the year immediately preceding the year in which that taxable gift or taxable inheritance is taken.

2. In the Table “Value” means the appropriate aggregate referred to in paragraph 3.

3. The tax chargeable on the taxable value of a taxable gift or a taxable inheritance (in this Schedule referred to as the first-mentioned gift or inheritance) taken by a donee or successor shall be of an amount equal to the amount by which the tax computed on aggregate A exceeds the tax computed on aggregate B, where—

(a) aggregate A is the aggregate of the following

(i) the taxable value of the first-mentioned gift or inheritance, and

(ii) the taxable value of each taxable gift and taxable inheritance taken previously by that donee or successor on or after 5 December 1991, which has the same group threshold as the first-mentioned gift or inheritance,

(b) aggregate B is the aggregate of the taxable values of all such taxable gifts and taxable inheritances so previously taken which have the same group threshold as the first-mentioned gift or inheritance, and

(c) the tax on an aggregate is computed at the rate or rates of tax applicable under the Table to that aggregate, but where—

(i) in a case where no such taxable gift or taxable inheritance was so previously taken, the amount of the tax computed on aggregate B shall be deemed to be nil, and

(ii) the amount of an aggregate that comprises only a single taxable value shall be equal to that value.

4. In the Table any rate of tax shown in the second column is that applicable to such portion of the value (within the meaning of paragraph 2) as is shown in the first column.

5. For the purposes of this Schedule, all gifts and inheritances which have the same group threshold and which are taken by a donee or successor on the same day shall count as one, and to ascertain the amount of tax payable on one such gift or inheritance of several so taken on the same day, the amount of tax computed under this Schedule as being payable on the total of such gifts and inheritances so taken on that day shall be apportioned rateably, according to the taxable values of the several taxable gifts and taxable inheritances so taken on that day.

6. Where any donee or successor is, at the date of the gift or at the date of the inheritance, the surviving spouse of a deceased person who, at the time of that deceased spouse's death, was of nearer relationship than such donee or successor to the disponer, then such donee or successor is, in the computation of the tax payable on such taxable gift or taxable inheritance, deemed to bear to the disponer the relationship of that deceased person.

7. (1) In this paragraph—

“company” means a private company which, for the relevant period—

(a) is a private company controlled by the disponer and of which the disponer is a director, and

(b) is not a private non-trading company;

“control”, in relation to a company, is construed in accordance with section 27(4)(b);

“investment income”, in relation to a private company, means income which, if the company were an individual, would not be earned income within the meaning of section 3 of the Taxes Consolidation Act 1997;

“nominee” has the same meaning as it has in section 27;

“private company” has the meaning assigned to it by section 27;

“private company controlled by the disponer” means a private company that is under the control of any one or more of the following, that is—

(a) the disponer,

(b) nominees of the disponer,

(c) the trustees of a settlement made by the disponer;

“private non-trading company” means a private company—

(a) whose income (if any) in the 12 months preceding the date at which a share in that company is to be valued consisted wholly or mainly of investment income; and

(b) whose property, on the date referred to in paragraph (a), consisted wholly or mainly of property from which investment income is derived;

“relevant period” means—

(a) the period of 5 years ending on the date of the disposition; or

(b) where, at the date of the disposition,

(i) an interest in possession in—

(I) the property referred to in subparagraph (2)(a), or

(II) the shares referred to in subparagraph (2)(b),

as the case may be, is limited to the disponer under the disposition, and

(ii) such property is not, or such shares are not, property consisting of the appropriate part of property, within the meaning of section 5(5), on which is charged or secured an annuity or other annual right limited to cease on the death of the disponer,

the period of 5 years ending on the coming to an end of that interest,

subject, in relation to work, to the exclusion of reasonable periods of annual or sick leave from that period of 5 years.

(2) For the purpose of computing the tax payable on a gift or inheritance, the donee or successor is deemed to bear to the disponer the relationship of a child in any case where the donee or successor is a child of a brother, or a child of a sister, of the disponer and either—

(a) the donee or successor has worked substantially on a fulltime basis for the disponer for the relevant period in carrying on, or in assisting in carrying on, the trade, business or profession of the disponer, and the gift or inheritance consists of property which was used in connection with that business, trade or profession; or

(b) the donee or successor has worked substantially on a full-time basis for a company for the relevant period in carrying on, or in assisting in carrying on, the trade, business or profession of the company, and the gift or inheritance consists of shares in that company.

(3) Without prejudice to the generality of subparagraph (2), a donee or successor is not deemed to be working substantially on a full-time basis for a disponer or a company unless—

(a) where the gift or inheritance consists of property which was used in connection with the business, trade or profession of the disponer, the donee or successor works—

(i) more than 24 hours a week for the disponer, at a place where that business, trade or profession is carried on, or

(ii) more than 15 hours a week for the disponer, at a place where that business, trade or profession is carried on, and such business, trade or profession is carried on exclusively by the disponer, any spouse of the disponer, and the donee or successor,

or

(b) where the gift or inheritance consists of shares in the company, the donee or successor works—

(i) more than 24 hours a week for the company, at a place where the business, trade or profession of the company is carried on, or

(ii) more than 15 hours a week for the company, at a place where the business, trade or profession of the company is carried on, and such business, trade or profession is carried on exclusively by the disponer, any spouse of the disponer, and the donee or successor.

(4) This paragraph shall not apply to a gift or inheritance taken by a donee or successor under a discretionary trust.

8. (a) In this paragraph “specified disposition” means a disposition—

(i) the date of which is a date prior to 1 April 1975,

(ii) in relation to which the disponer is a grandparent of the donee or successor, and

(iii) in which the marriage of the parents of the donee or successor was, at the date of the disposition, expressed to be consideration.

(b) Where, on the cesser of a limited interest to which a parent of the donee or successor was entitled in possession, the donee or successor takes a gift or an inheritance under a specified disposition, then, for the purpose of computing the tax payable on the gift or inheritance, the donee or successor is deemed to bear to the disponer the relationship of a child.

9. (1) In this paragraph—

“the appropriate period” means periods which together comprised at least 5 years falling within the 18 years immediately following the birth of the donee or successor.

(2) Where, on a claim being made to them in that behalf, the Commissioners are, subject to subparagraph (3), satisfied—

(a) where the inheritance is taken by a successor on the date of death of the disponer, that the successor had, prior to the date of the inheritance, been placed in the foster care of the disponer under the Child Care (Placement of Children in Foster Care) Regulations 1995 (S.I. No. 260 of 1995), or the Child Care (Placement of Children with Relatives) Regulations 1995 (S.I. No. 261 of 1995), or

(b) that throughout the appropriate period the donee or successor—

(i) has resided with the disponer, and

(ii) was under the care of and maintained by the disponer at the disponer's own expense,

then, subject to subparagraph (3), for the purposes of computing the tax payable on that gift or inheritance, that donee or successor is deemed to bear to that disponer the relationship of a child.

(3) Relief under subparagraph (2) shall not apply where the claim for such relief is based on the uncorroborated testimony of one witness.

10. Where, on a claim being made to them in that behalf, the Commissioners are satisfied that—

(a) the donee or successor had at the date of the gift or the date of the inheritance been adopted in the manner referred to in paragraph (b) of the definition of “child” contained in section 2(1), and

(b) the disponer is the natural mother or the natural father of the donee or successor,

then, notwithstanding section 2(5), for the purpose of computing the tax payable on that gift or inheritance, that donee or successor is deemed to bear to that disponer the relationship of a child.

11. For the purposes of this Schedule, a reference to a gift or an inheritance, or to a taxable gift or a taxable inheritance, includes a reference to a part of a gift or an inheritance, or to a part of a taxable gift or a taxable inheritance, as the case may be.

PART 2

TABLE

Portion of Value

Rate of tax Per cent

The threshold amount

Nil

The balance

20

ISB Act 2003-02-21

Schedule 3 Capital Acquisitions Tax Consolidation Act 2003 Open official source

SCHEDULE 3 Consequential Amendments

SCHEDULE 3

Consequential Amendments

In the enactments specified in column (1) of the following Table for the words set out or referred to in column (2), there shall be substituted the words set out in the corresponding entry in column (3).

Enactment Amended

Words to be replaced

Words to be substituted

(1)

(2)

(3)

Value-Added Tax Act 1972

section 30(5)(b)(i)

section 38 of the Capital Acquisitions Tax Act 1976

section 48 of the Capital Acquisitions Tax Consolidation Act 2003

section 30(5)(b)(ii)

section 38

section 48

The Rules of the Superior Courts (S.I. No. 15 of 1986)

Order 79, rule 84

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

Order 80, rule 85

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

Ethics in Public Office Act 1995

section 2(4)

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

Taxes Consolidation Act 1997

section 8(1)(c)

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 176(1)(b)(i)(I)

section 21 of the Capital Acquisitions Tax Act 1976

section 30 of the Capital Acquisitions Tax Consolidation Act 2003

section 577(5)(a)(ii)(I)

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 577(5)(a)(ii)(II)

section 55

section 77

section 39 of the Finance Act 1978

section 77(6) and (7) of the Capital Acquisitions Tax Consolidation Act 2003

section 730GB

section 63 of the Finance Act 1985

section 104 of the Capital Acquisitions Tax Act 2003

section 739G(5)

section 63 of the Finance Act 1985

section 104 of the Capital Acquisitions Tax Consolidation Act 2003

section 747E(5)(a)

section 63 of the Finance Act 1985

section 104 of the Capital Acquisitions Tax Consolidation Act 2003

section 811(1)(a), in paragraph (iv) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 818(c)

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 825(1)(c)

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 858(1)(a), in paragraph (vi) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 859(1), in paragraph (f) of the definition of “the Revenue Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 887(1), in paragraph (d) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 912(1), in paragraph (f) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 917D(1), in paragraph (e) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1002(1)(a), in paragraph (vi) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1003(1)(a), in paragraph (iii) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1006(1), in paragraph (d) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1006A(1), in paragraph (e) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1078(1), in paragraph (f) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1079(1), in paragraph (f) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1086(1), in paragraph (d) of the definition of “the Acts”

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

section 1089(2)

section 41 of the Capital Acquisitions Tax Act 1976

section 51 of the Capital Acquisitions Tax Consolidation Act 2003

section 1104(5)

Capital Acquisitions Tax Act 1976

Capital Acquisitions Tax Consolidation Act 2003

Stamp Duties Consolidation Act 1999

section 19

section 15 of the Capital Acquisitions Tax Act 1976

section 26 of the Capital Acquisitions Tax Consolidation Act 2003

section 91(2)(b)(ii)

section 16 of the Capital Acquisitions Tax Act 1976

section 27 of the Capital Acquisitions Tax Consolidation Act 2003

section 92(1)(b)(ii)

section 16 of the Capital Acquisitions Tax Act 1976

section 27 of the Capital Acquisition Tax Consolidation Act 2003

section 92B(3)(b)(ii)

section 16 of the Capital Acquisitions Tax Act 1976

section 27 of the Capital Acquisitions Tax Consolidation Act 2003

Capital Acquisitions Tax Consolidation Act 2003

Statutory Text (3 Articles)

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