Remission of Interest Rules, 2013

L.N. 361 of 2013

INCOME TAX MANAGEMENT ACT

(Cap. 372)

Remission of Interest Rules, 2013

IN exercise of the powers conferred by articles 44(2D) and 58 of

the Income Tax Management Act, the Minister for Finance has made

the following rules:-

The title of these rules is the Remission of Interest Rules, Citation.

2013.

The Commissioner may, at his discretion, remit wholly or Remission.

in part, any interest chargeable on any person under the provisions of

article 44(2A) of the Income Tax Management Act, hereinafter

referred to as "the Act"

Provided that the Commissioner may only remit such

interest if he is satisfied that the tax due was not paid within the

prescribed period due to a reasonable cause, sohowever that reliance

placed on any other person to perform any task shall not constitute a

reasonable excuse.

(1) The Commissioner may impose any condition that Conditions.

he may consider appropriate for any remission under rule 2, including

the requirement that the person concerned shall not make a default or

omission within such period as the Commissioner may establish or

that the said person shall make a payment of tax in such amount and

within such time as the Commissioner may determine.

(2) Should any condition imposed by the Commissioner in

accordance with the provisions of subrule (1) be infringed by the

person concerned, any remission of interest granted by the

Commissioner shall be forfeited.

(3) The Commissioner shall communicate in writing to the

person concerned any condition imposed under subrule (1), the

consequences of an infringement of any such condition in accordance

with subrule (2) and, when such is the case, the fact that forfeiture has

been incurred.

(4) The use of the Commissioner’s discretion under this rule

shall not be questioned in any appeal.

Interest chargeable under the provisions of article 44(2A)

of the Act on the amount of tax payable under a payment plan not

exceeding two years shall cease to be incurred from the date a person

enters into such payment plan

Provided that if the remission is not effected due to non-

compliance with the provisions of rule 2, than the interest will be

charged as if it had never ceased.

Where a person has benefitted from a remission of interest

under these rules, the Commissioner may deduct the equivalent

amount of such remitted interest from any interest on any refund of

tax which may become due to that person within six years from the

date the remission of interest under these rules had taken place.

Nothing in these rules shall entitle any person to claim any

refund of any amount whatsoever in respect of interest already paid to

the Commissioner under the provisions of the Income Tax Acts.

€0.18