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1 2003

Capital Acquisitions Tax Consolidation Act 2003

PART 11

Miscellaneous

Certificates for probate.

[CATA 1976 s60(1) to (5)]

108. —(1) In this section “Inland Revenue affidavit” has the meaning referred to in section 48 (1).

(2) Where an Inland Revenue affidavit has been delivered to the Commissioners and they are satisfied—

(a) that an adequate payment on account of inheritance tax in respect of the property passing under the deceased person's will or intestacy or Part IX or section 56 of the Succession Act 1965 has been made, or

(b) that the payment of inheritance tax in respect of such property may be deferred for the time being,

they shall certify in writing—

(i) that the Inland Revenue affidavit was delivered to them, and

(ii)  (I) that a payment referred to in paragraph (a) has been made, or

(II) that the payment referred to in paragraph (b) has been deferred for the time being,

as the case may be.

(3) If, in the opinion of the Commissioners, the payment of inheritance tax in respect of the property passing under the deceased person's will or intestacy or Part IX or section 56 of the Succession Act 1965 can not be deferred for the time being without serious risk of such tax not being recovered, they may refuse to issue the certificate referred to in subsection (2) until the tax has been paid, or until such payment as is referred to in paragraph (a) of that subsection has been made.

(4) The certificate required by section 30 of the Customs and Inland Revenue Act 1881, to be made by the proper officer of the court, shall not be made until a certificate of the Commissioners issued under subsection (2) has been produced to such officer and shall (instead of showing that the affidavit, if liable to stamp duty, has been duly stamped) show that the Commissioners have issued a certificate under subsection (2) and shall state the substance of the certificate so issued by the Commissioners.

(5) The form of certificate required to be given by the proper officer of the court under section 30 of the Customs and Inland Revenue Act 1881 may be prescribed by rule of court in such manner as may be necessary for giving effect to this Act.

Payment of money standing in names of 2 or more persons.

[CATA 1976 s61(1) to (5) and (7) and (8)]

109. —(1) In this section—

“banker” means a person who carries on banking business in the State and includes a friendly society, an industrial and provident society, a building society, the Post Office Savings Bank, a trustee savings bank and any person with whom money is lodged or deposited;

“pay” includes transfer in the books of a banker and any dealings with any moneys which were lodged or deposited in the name of a person who died after the time of the lodgment or deposit and any other person or persons;

“current account” means an account which is customarily operated on by means of a cheque or banker's order;

“banking business” has the meaning assigned to it by section 2 of the Central Bank Act 1971 ;

references to moneys lodged or deposited include references to shares of a building society, friendly society or industrial and provident society.

(2) Where, either before or after the passing of this Act, a sum of money exceeding €31,750 is lodged or deposited (otherwise than on a current account) in the State with a banker, in the joint names of 2 or more persons, and one of such persons (in this section referred to as the deceased) dies on or after the date of the passing of this Act, the banker shall not pay such money or any part of such money to the survivor or all or any of the survivors of such persons, or to any other person, unless or until there is furnished to such banker a certificate by the Commissioners certifying that there is no outstanding claim for inheritance tax in connection with the death of the deceased in respect of such money or any part of such money or a consent in writing by the Commissioners to such payment pending the ascertainment and payment of such tax.

(3) Notwithstanding anything contained in this Act, tax chargeable on the death of the deceased is deemed for the purposes of this section to become due on the day of the death of the deceased.

(4) A banker who, after the passing of this Act, pays money in contravention of this section is liable to a penalty of €1,265.

(5) Where a penalty is demanded of a banker under this section, the onus of proving that such certificate or such consent as is mentioned in this section was furnished to such banker before that banker paid such money shall lie on such banker.

(6) Where a penalty is demanded of a banker under this section, it shall be a good defence to prove that, at the time when such banker paid such money, that banker had reasonable ground for believing that none of the persons in whose joint names such money was lodged or deposited with that banker was dead.

(7) This section shall not apply where the sum of money referred to in subsection (2) is lodged or deposited in the joint names of 2 persons, one of whom dies on or after the date of the passing of this Act and is at the time of that person's death the spouse of that other person.

Court to provide for payment of tax.

[CATA 1976 s62]

110. —Where any suit is pending in any court for the administration of any property chargeable with tax under this Act, such court shall provide, out of any such property which may be in the possession or control of the court, for the payment to the Commissioners of any of the tax or the interest on that tax which remains unpaid.

Liability to tax in respect of certain sales and mortgages.

[CATA 1976 s64]

111. —(1) In this section—

“death duties” has the meaning assigned to it by section 30 of the Finance Act 1971 ; and

“purchaser or mortgagee” includes a person deriving title from or under a purchaser or mortgagee in the case of such a sale or mortgage as is referred to in this section.

(2) Where an interest in expectancy has, prior to 1 April 1975, been bona fide sold or mortgaged for full consideration in money or money's worth, and that interest comes into possession on a death occurring on or after the date of the passing of this Act, the following provisions shall apply, that is—

(a) the purchaser or mortgagee shall not be liable in respect of inheritance tax on the inheritance referred to in paragraph (b) for an amount greater than that referred to in paragraph (c);

(b) the inheritance referred to in paragraph (a) is the inheritance of property in which the interest so sold or mortgaged subsists and which arises in respect of the interest of the remainderman referred to in section 32 so coming into possession;

(c) the amount referred to in paragraph (a) shall be the amount that would then have been payable by the purchaser or mortgagee in respect of death duties on the property in which the interest subsists as property passing under the same disposition as that under which the inheritance is taken, if the property, on so coming into possession, had been chargeable to death duties—

(i) under the law in force, and

(ii) at the rate or rates having effect,

at the date of the sale or mortgage;

(d) where such an interest is so mortgaged, any amount of inheritance tax payable in respect of the inheritance referred to in paragraph (b), and from the payment of which the mortgagee is relieved under this section, shall, notwithstanding the priority referred to in section 60 (1), rank, in relation to property charged with such tax under that section, as a charge subsequent to the mortgage;

(e) any person, other than the purchaser or mortgagee, who is accountable for the payment of so much of the inheritance tax as is not the liability of the purchaser or mortgagee by virtue of the relief given by this section, shall not be liable for the payment of any amount in respect of such inheritance tax in excess of the amount which is available to that person for such payment by reason of there being, at the time when the interest comes into possession, other property, or an equity of redemption, or both, subject to the same trusts, under the disposition referred to in paragraph (c), as the property in which the interest in expectancy subsists; and

(f) nothing in section 45 (7) or (8) or section 60 (1) shall be construed as derogating from the relief given by this section to a purchaser or mortgagee.

References in deeds and wills, etc. to death duties.

[CATA 1976 s65]

112. —In so far as a provision in a document refers (in whatever terms) to any death duty to arise on any death occurring on or after the date of the passing of this Act, it shall apply, as far as may be, as if the reference included a reference to inheritance tax—

(a) if that document was executed prior to 31 March 1976, and the reference is to legacy duty and succession duty or either of them,

(b) if that document was so executed, and the reference is to estate duty, and it may reasonable be inferred from all the circumstances (including any similarity of the incidence of inheritance tax to that of estate duty) that the inclusion of the reference to inheritance tax would be just, and

(c) whether the document was executed prior to, on or after 31 March 1976, if the reference is to death duties, without referring to any particular death duty.

Tax, in relation to certain legislation.

[CATA 1976 s68]

113. —(1) Inheritance tax shall not be a duty or a death duty for the purposes of section 9 of the Succession Act 1965 , but it shall be a death duty for the purposes of—

(a) section 34(3) of that Act,

(b) the definition of pecuniary legacy in section 3(1) of that Act, and

(c) paragraph 8 of Part II of the First Schedule to that Act.

(2) Section 72 of the Registration of Title Act 1964 shall apply as if gift tax and inheritance tax were mentioned in that Act as well as estate duty and succession duty.

Delivery, service and evidence of notices and forms, etc.

[CATA 1976 s70]

114. —(1) Any notice which under this Act is authorised or required to be given by the Commissioners may be served by post.

(2) A notice or form which is to be served on a person may be either delivered to that person or left at that person's usual or last known place of abode.

(3) Prima facie evidence of any notice given under this Act by the Commissioners or by an officer of the Commissioners may be given in any proceedings by production of a document purporting—

(a) to be a copy of that notice, or

(b) if the details specified in that notice are contained in an electronic, photographic or other record maintained by the Commissioners, to reproduce those details in so far as they relate to that notice,

and it shall not be necessary to prove the official position of the person by whom the notice purports to be given or, if it is signed, the signature, or that the person signing and giving it was authorised so to do.

(4) In any case where a time limit is specified by or under this Act, other than Part 8 of this Act, for the doing of any act required by or under this Act, other than Part 8 of this Act, to be done by any person other than the Commissioners, the Commissioners may, in their discretion, extend such time limit.

Extension of certain Acts.

[CATA 1976 s69]

115. —(1) Section 1 of the Provisional Collection of Taxes Act 1927 is hereby amended by the insertion of “and gift tax and inheritance tax” before “but no other tax or duty”.

(2) Section 39 of the Inland Revenue Regulation Act 1890, is hereby amended by the insertion of “gift tax and inheritance tax,” before “stamp duties”.

Regulations.

[CATA 1976 s71]

116. —(1) The Commissioners shall make such regulations as seem to them to be necessary for the purpose of giving effect to this Act and of enabling them to discharge their functions under the Act.

(2) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done under that regulation.

Care and management.

[CATA 1976 s72]

117. —(1) Tax is hereby placed under the care and management of the Commissioners.

(2) Subject to the direction and control of the Commissioners, any power, function or duty conferred or imposed on the Commissioners by this Act may be exercised or performed on their behalf by an officer of the Commissioners.