No. 24/1993:

WAIVER OF CERTAIN TAX, INTEREST AND PENALTIES ACT, 1993

ARRANGEMENT OF SECTIONS

Section

1. Interpretation.

2. Waiver of certain tax and related interest and penalties.

3. Waiver of certain interest and penalties in respect of certain tax.

4. Non-application of sections 2 (5) and 3 (4).

5. Enquiries or action by inspector or other officer.

6. Demands or other requests for payment.

7. Confidentiality.

8. Remittances.

9. Penalty for failure to comply with section 2 (3) (a) or 3 (6) (b).

10. Amendment of section 512 (mitigation and application of fines and penalties) of Income Tax Act, 1967.

11. Penalty for false statement made to obtain allowance.

12. Amendment of Schedule 15 to Income Tax Act, 1967.

13. Furnishing of certain information by financial institutions.

14. Care and management.

15. Short title, construction and collective citation.

SCHEDULE

ACTS REFERRED TO

Number 24 of 1993

WAIVER OF CERTAIN TAX, INTEREST AND PENALTIES ACT, 1993

AN ACT TO WAIVE CERTAIN TAX AND INTEREST AND PENALTIES ON CERTAIN TAX, TO AMEND THE PROVISIONS OF THE INCOME TAX ACT, 1967 , BY AMENDING SECTION 512 AND SCHEDULE 15 TO THAT ACT AND BY SUBSTITUTING A NEW PROVISION FOR SECTION 516 OF THAT ACT, TO PROVIDE FOR THE FURNISHING OF CERTAIN INFORMATION BY FINANCIAL INSTITUTIONS TO INSPECTORS OF THE REVENUE COMMISSIONERS AND TO PROVIDE FOR CONNECTED MATTERS.

[14th July, 1993]

BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:

1.—( a ) In this Act, except where the context otherwise requires—

"arrears of tax", subject to section 2 (5) (a), has the meaning assigned to it by section 3 (2);

"Chief Special Collector" has the meaning assigned to it by section 7 (3);

"the declared amounts" has the meaning assigned to it by section 2 (3) (a) (iii);

"estimate" means an estimate of, or an assessment to, tax made in accordance with the provisions of—

(i) section 7 or 8 of the Finance Act, 1968 ,

(ii) section 17 of the Finance Act, 1970 , and the regulations made thereunder, or

(iii) section 22 or 23 of the Value-Added Tax Act, 1972 ,

as the case may be;

"functions" includes powers and duties;

"inspector" means an inspector of taxes appointed under section 161 of the Income Tax Act, 1967 ;

"the Minister" means the Minister for Finance;

"relevant interest" means interest payable in accordance with the specified provisions;

"the relevant period" means any period ending on or before the 5th day of April, 1991;

"relevant tax" has the meaning assigned to it by section 2 (2);

"settlement amount "has the meaning assigned to it by section 2 (3) (b);

"the specified period" means the period beginning with the passing of this Act and ending on the 30th day of November, 1993;

"the specified provisions" means any provision of the Acts (within the meaning of section 2 or 3, as the case may be) pursuant to which a person may be liable—

(i) to interest in respect of tax (within the aforesaid meaning) which is unpaid, including interest on an undercharge of such tax which is attributable to fraud or neglect, or

(ii) to a fine or other penalty in respect of an offence or default.

( b ) References in this Act to tax (within the meaning of section 2 or 3, as the case may be) being due and payable by a person include references to such tax which would have been due and payable by him if any return, statement or declaration (being a return, statement or declaration, as the case may be, which should have, but had not, been made by him in accordance with any provision of the Acts (within the aforesaid meaning)) had been so made and if that tax had been contained in an assessment made on the person or in an estimate issued to the person.

2.—(1) In this section—

"the Acts" means—

( a ) the Income Tax Acts (other than Chapter IV of Part V of the Income Tax Act, 1967 , and section 17 of the Finance Act, 1970 ),

( b ) the Capital Gains Tax Acts,

( c ) section 16 of the Finance Act, 1983 ,

( d ) the Health Contributions Act, 1979 , and

( e ) the Youth Employment Agency Act, 1981 ,

and any instruments made thereunder;

"income" means total income from all sources as estimated in accordance with the provisions of the Income Tax Acts after deducting from the income so much of any deduction allowed by virtue of the provisions referred to in section 33 of the Finance Act, 1975 , as is to be deducted from or set off against that income in charging it to income tax;

"tax" means any tax, levy or contributions payable in accordance with any provision of the Acts.

(2) This section applies to an individual who, for the relevant period, was in receipt of income or had chargeable gains in respect of which any tax (referred to in this Act as "relevant tax") due and payable by him in accordance with any provision of the Acts has not been paid:

Provided that—

( a ) this section shall not apply to an individual if, before the 25th day of May, 1993 (hereafter in this proviso referred to as "the designated date"), he had been notified in writing by an inspector—

(i) that the inspector intended to make any enquiries or take any actions as are specified in section 15 of the Finance Act, 1988 , in relation to the liability to tax of the individual for the relevant period, or

(ii) that any matter which occasions or may occasion a liability or further liability to tax of the individual for the relevant period is under investigation or enquiry by the inspector,

and such enquiries or actions, or investigation or enquiry, as the case may be, had not been concluded on or before the designated date, and for the purposes of this paragraph the aforesaid enquiries or actions, or investigation or enquiry, shall be deemed not to have been concluded unless an agreement has been reached between the individual and the inspector as to the liability to tax of the individual for the relevant period,

( b ) relevant tax shall not include any sum—

(i) which, before the designated date, was certified in a certificate issued, and not withdrawn, under section 485 of the Income Tax Act, 1967 ,

(ii) which, before the designated date, was the subject of proceedings initiated, and not withdrawn, as a debt due to the Minister, in any court of competent jurisdiction,

(iii) which was tax contained in an assessment which was on the designated date the subject of an appeal to which the provisions of Part XXVI of the Income Tax Act, 1967 , apply,

(iv) which, before the designated date, was entered as a specified amount in a notice of attachment issued, and not revoked, under section 73 of the Finance Act, 1988 ,

(v) which was not paid on or before the designated date by virtue of an arrangement or scheme the main purpose, or one of the main purposes, of which was the avoidance of liability to tax,

(vi) which, following enquiries made, or action taken, by an inspector pursuant to section 15 of the Finance Act, 1988 , or any other investigation by an inspector, had been agreed before the designated date by an individual and an inspector as being the individual's tax liability,

(vii) being tax in respect of income or chargeable gains which arose from, or by reason of, an illegal source or activity (other than the evasion of tax or the non-compliance with the provisions relating to exchange control), or

(viii) paid or remitted in accordance with the provisions of section 3 in respect of arrears of tax.

(3) An individual to whom this section applies shall—

( a ) within the specified period give a declaration in writing to the Chief Special Collector which—

(i) is made and signed by the individual,

(ii) is in a form prescribed by the Revenue Commissioners and approved of by the Minister,

(iii) contains, in relation to the individual, a full and true statement of the respective amounts (referred to in this Act as "the declared amounts") of—

(I) the income, and

(II) the chargeable gains,

referred to in subsection (2), and

(iv) declares that neither the declared amounts nor any part of those amounts arose from, or by reason of, an unlawful source or activity (other than the evasion of tax or the non-compliance with the provisions relating to exchange control), and

( b ) not earlier than the giving of the declaration referred to in paragraph (a) but on or before the 14th day of January, 1994, remit to the Chief Special Collector an amount (referred to in this Act as "the settlement amount") equal to 15 per cent. of the declared amounts.

(4) On receipt by him of the declaration referred to in subsection (3) and the settlement amount, the Chief Special Collector shall give to the individual concerned—

( a ) a certificate, in a form prescribed by the Revenue Commissioners and approved of by the Minister, stating, in relation to that individual—

(i) his name and address,

(ii) the settlement amount paid by him, and

(iii) the respective amounts of the declared amounts, and

( b ) evidence, in a form prescribed by the Revenue Commissioners and approved of by the Minister, that such a certificate has been given.

(5) Notwithstanding any other provision of the Acts but subject to section 4, where an individual to whom this section applies complies with the provisions of subsection (3)—

( a ) his liability to relevant tax in respect of the declared amounts—

(i) shall be deemed to be satisfied by the settlement amount, and

(ii) shall not be arrears of tax,

( b ) any amount of relevant interest which the individual may have become liable for in relation to relevant tax in respect of the declared amounts shall be waived, and

( c ) proceedings shall not be initiated or continued for the recovery of any fine or penalty to which the individual may be liable under any of the specified provisions in relation to relevant tax in respect of the declared amounts, nor shall the Revenue Commissioners seek or demand from the individual payment of any sum in lieu of such fine or penalty.

3.—(1) ( a ) In this section—

"the Acts" means—

(i) the Acts within the meaning of section 2,

(ii) Chapter IV of Part V of the Income Tax Act, 1967 ,

(iii) section 17 of the Finance Act, 1970 ,

(iv) the Corporation Tax Acts,

(v) Part V of the Finance Act, 1920, and the enactments amending or extending that Part,

(vi) the Value-Added Tax Act, 1972 , and the enactments amending or extending that Act,

(vii) the Capital Acquisitions Tax Act, 1976 , and the enactments amending or extending that Act,

(viii) the Stamp Act, 1891, and the enactments amending or extending that Act, and

(ix) Part VI of the Finance Act, 1983 , and the enactments amending or extending that Part,

and any instruments made thereunder;

"the due date" means, in relation to an amount of tax, the date on which a person becomes liable to interest under any of the specified provisions in respect of the late payment of that tax;

"tax" means any tax, duty, levy or contributions payable in accordance with any provision of the Acts.

( b ) The reference in subsection (2) to an amount of tax due and payable shall, in a case where tax is assessed or estimated in an assessment or estimate against which an appeal has been made, be construed as a reference to the amount of tax which becomes due and payable on the determination of the appeal (within the meaning of section 550 (2A) (c) of the Income Tax Act, 1967 ) or, pending such determination, the tax as assessed or estimated.

(2) This section applies to a person who had not paid or remitted before the due date an amount of tax (in this Act referred to as "arrears of tax") due and payable by him, or chargeable, in accordance with any provision of the Acts in respect of or during the relevant period.

(3) Where a person to whom this section applies has unpaid arrears of tax on the passing of this Act, he shall on or before the 14th day of January, 1994, and subject to the provisions of subsection (6), pay or remit those arrears of tax.

(4) Notwithstanding any other provision of the Acts but subject to the provisions of subsection (5) and section 4, where a person has paid or remitted, on or before the 14th day of January, 1994, his arrears of tax—

( a ) any amount of relevant interest to which the person may be liable in relation to arrears of tax and which is unpaid at the date of the payment or remittance referred to in subsection (3) shall be waived,

( b ) any amount of relevant interest in relation to arrears of tax which is paid by the person on or after the 26th day of May, 1993, shall be refunded to him, and

( c ) proceedings shall not be initiated or continued for the recovery of any fine or penalty to which the person may be liable under any of the specified provisions in relation to arrears of tax, nor shall the Revenue Commissioners seek or demand from the person payment of any sum in lieu of such fine or penalty.

(5) This section shall not apply to any interest, fine or other penalty that—

( a ) in the case of a fine or other penalty, is imposed by a court under any of the Acts,

( b ) in the case of interest, is ordered by a court in any proceedings for the recovery of tax or interest to be paid by a person, or

( c ) in any case, is included in a specified sum such as is referred to in subsection (2) (c) of section 23 of the Finance Act, 1983 , where the full amount of the specified sum was not paid on or before the 25th day of May, 1993.

( 6 ) ( a ) Where a payment or remittance in accordance with the provisions of subsection (3) is made by an individual who also remits a settlement amount, then, without prejudice to the amount of that payment or remittance, so much of that payment or remittance as is referable to value-added tax may be remitted to the Chief Special Collector.

( b ) Where, in accordance with paragraph (a), an individual makes a remittance to the Chief Special Collector, the individual by whom the remittance is made shall on the earlier of—

(i) the date of payment, or

(ii) a date within the specified period,

give a declaration in writing to the Chief Special Collector which—

(I) is made and signed by the individual,

(II) is in a form prescribed by the Revenue Commissioners and approved of by the Minister, and

(III) contains, in relation to that individual, a full and true statement of the amount of value-added tax comprised in the arrears of tax.

( c ) On receipt by him of the declaration referred to in paragraph (b) and the remittance referred to in paragraph (a), the Chief Special Collector shall give to the individual by whom the remittance is made—

(i) a certificate, in a form prescribed by the Revenue Commissioners and approved of by the Minister, stating, in relation to that individual—

(I) his name and address, and

(II) the amount of the said remittance, and

(ii) evidence, in a form prescribed by the Revenue Commissioners and approved of by the Minister, that such a certificate has been given.

(7) Section 23 (4) of the Finance Act, 1983 , is hereby amended by the substitution of the following paragraph for paragraph (aa) (inserted by section 72 of the Finance Act, 1988 ):

"( aa ) the provisions of section 72 of the Finance Act, 1988 , or section 3 of the Waiver of Certain Tax, Interest and Penalties Act, 1993 , apply, or".

4.—(1) The provisions of sections 2 (5) and 3 (4) shall not apply, and those provisions shall be deemed never to have applied, to a person where—

( a ) such person fails—

(i) if he is an individual, for the year of assessment 1992-93, or

(ii) in any other case, for any accounting period ending in the year beginning on the 1st day of January, 1993, and ending on the 31st day of December, 1993,

to duly deliver a return of income on or before the specified date in relation to that return, or

( b ) (i) a declaration given by such person to the Chief Special Collector under subsection (3) (a) of section 2—

(I) did not contain a full and true statement of the kind referred to in subparagraph (iii) of the said subsection, or

(II) is proven to be false in so far as the requirements of subparagraph (iv) of the said subsection are concerned,

or

(ii) a declaration given by him to the Chief Special Collector under subsection (6) (b) of section 3 did not contain a full and true statement of the kind referred to in subparagraph (III) of the said subsection, or

( c ) the amount paid or remitted by him in respect of arrears of tax was less than the arrears of tax due and payable by him,

and any certificate issued to that person pursuant to section 2 (4) or section 3 (6) (c) shall be null and void.

(2) Where, by virtue of this section, section 2 (5) does not apply and is deemed never to have applied to an individual, the amount paid by him as the settlement amount shall be treated as a payment on account of relevant tax.

( 3 ) ( a ) In subsection (1) "return of income" and "specified date" have the meanings assigned to them by section 48 of the Finance Act, 1986 .

( b ) The provisions of subsection (1) (b) of section 48 of the Finance Act, 1986 , shall apply for the purposes of subsection (1) (a) of this section as they apply for the purposes of that section.

5.—(1) Where, in relation to any liability to tax (within the meaning of section 2 or 3, as the case may be) of an individual for the relevant period, being tax which has been remitted to the Chief Special Collector, an inspector or other officer of the Revenue Commissioners commences to make such enquiries, or take such action, as are within his powers, or gives a notice in writing to an individual of his intention to make such enquiries or take such action in relation to such liability to tax and the individual produces to the inspector or other officer, not later than 30 days from the commencement of the said enquiries or the taking of the said action, or the giving of the notice as aforesaid, a certificate referred to in section 2 (4) or 3 (6) (c), as the case may be, in respect of such liability to tax given to him by the Chief Special Collector, the inspector or other officer shall, on production to him of the said certificate and on validation of that certificate in accordance with the provisions of paragraph (a) of the proviso to section 7 (4), be precluded from continuing with or commencing the said enquiries or continuing with or commencing the said action unless, on application by him to the Appeal Commissioners, he shows to the satisfaction of those Commissioners that—

( a ) enquiries made or action taken in relation to the liability to tax (within the aforesaid meaning) of the individual for any period commencing on or after the 6th day of April, 1991, indicate, or

( b ) there are other reasonable grounds which indicate,

that a declaration made by the individual to the Chief Special Collector under section 2 (3) (a) or 3 (6) (b) did not contain a full and true statement of the declared amounts or the amount of value-added tax comprised in the arrears of tax, as the case may be.

( 2 ) ( a ) An application by the inspector or other officer under subsection (1) shall be made by him by notice in writing to the Appeal Commissioners within 30 days of the receipt by him from the individual concerned of the certificate referred to in section 2 (4) or 3 (6) (c), as the case may be, given to that individual by the Chief Special Collector, and a copy of the application shall be furnished as soon as practicable by the inspector or other officer to the individual concerned.

( b ) An application under subsection (1) shall, with any necessary modifications, be heard by the Appeal Commissioners as if it were an appeal against an assessment to income tax.

( c ) Any action required to be taken by the individual and any further action proposed to be taken by the inspector or other officer pursuant to the inspector's or other officer's enquiry or action shall be suspended pending decision by the Appeal Commissioners on the application.

( d ) Where, on the hearing of the application by an inspector or other officer under subsection (1), the Appeal Commissioners—

(i) decide that there are no reasonable grounds to suggest that the declaration made by the individual to the Chief Special Collector under section 2 (3) (a) or 3 (6) (b) did not contain a full and true statement of the declared amounts or the amount of value-added tax comprised in the arrears of tax, as the case may be, then the individual shall not be required to take any action pursuant to the inspector's or other officer's enquiry or action and the inspector or other officer shall be prohibited from pursuing his enquiry or action, or

(ii) decide that there are such reasonable grounds, then the inspector or other officer may continue with his enquiry or action.

6.—Where, in relation to an individual

( a ) the Revenue Commissioners, the Collector-General or any of their or his officers authorised in that behalf, have demanded or otherwise requested the payment of any tax—

(i) in respect of which a settlement amount has been remitted to the Chief Special Collector, or

(ii) which is value-added tax in respect of which a remittance has been made to the Chief Special Collector in accordance with section 3 (6) (a), and

( b ) the individual has been given a certificate as is referred to in section 2 (4) or 3 (6) (c) in respect of such tax,

the individual shall produce to the Revenue Commissioners, the Collector-General or the authorised officer, as the case may be, within 30 days of—

(i) the date of the making of the demand or request, or

(ii) if later, the date he received the certificate,

the evidence referred to in section 2 (4) (b) or section 3 (6) (c), as the case may be, and the demand or request shall be withdrawn and the amount of tax specified in the demand or request shall be discharged:

Provided that, where subsection (5) of section 2 and subsection (4) of section 3 do not apply by virtue of the provisions of section 4—

(i) the amount of tax discharged shall be reinstated, and

(ii) any additional assessments or estimates necessary to give effect to this proviso shall be made.

7.—(1) In this section—

"declaration of confidentiality" means the declaration of confidentiality contained in the Schedule to this Act;

"special collection function" means any function or duty related to—

( a ) the receipt and retention of declarations referred to in section 2 (3) (a) or 3 (6) (b),

( b ) the receipt, recording and lodgement of—

(i) settlement amounts, or

(ii) so much of any payment or remittance referred to in section 3 (6) (a) as is referable to value-added tax, or

( c ) the issue and recording of certificates referred to in section 2 (4) or 3 (6) (c),

which could result in the person or persons discharging that function or performing that duty acquiring, or having access to, any information in respect of such declarations, amounts or certificates, and a reference to the discharge of a special collection function shall be construed as a reference to the discharge of such a function or performance of such a duty;

"special collector" means any officer or employee of the Revenue Commissioners who—

( a ) has been nominated by the Revenue Commissioners to discharge a special collection function, and has not had his nomination revoked, and

( b ) has made and subscribed the declaration of confidentiality.

( 2 ) ( a ) Special collection functions may only be discharged by special collectors.

( b ) Every person nominated by the Revenue Commissioners to be a special collector shall, upon making and subscribing to the declaration of confidentiality, become a special collector.

( c ) Declarations of confidentiality shall be made before a peace commissioner or other person duly authorised to take and receive statutory declarations.

( 3 ) ( a ) Special collection functions shall be under the control and direction of a special collector, to be known as and is referred to in this Act as "the Chief Special Collector", who is designated to be such by the Revenue Commissioners.

( b ) Whenever there is no Chief Special Collector, the Revenue Commissioners shall designate as soon as is practicable thereafter a special collector to be the Chief Special Collector and all other special collectors shall observe and follow the orders, instructions and directions of the Chief Special Collector in relation to any special collection function:

Provided that nothing in paragraph (b) shall be construed so as to affect the proviso to subsection (6).

( c ) For the purposes of the receipt of any declaration, amount or remittance, or the issue of any certificate or evidence, in accordance with section 2 or 3, references to the Chief Special Collector shall be construed as including a reference to any other special collector acting on behalf of the Chief Special Collector in that matter.

( d ) If and so long as the Chief Special Collector is unable through illness, absence or other cause to fulfil his duties, another special collector designated in that behalf by the Revenue Commissioners shall act as Chief Special Collector, and any reference in this Act to the Chief Special Collector shall be construed as including, where appropriate, a reference to a special collector designated under this para-graph.

(4) A special collector shall be deemed to have contravened his declaration of confidentiality if he discloses, or causes to be disclosed, to a person who is not a special collector, any information which he could have acquired, or had access to, only by virtue of being a special collector:

Provided that a special collector shall not be deemed to have contravened his declaration of confidentiality where

( a ) having been requested to validate a certificate or evidence referred to in section 2 (4) or 3 (6) (c) by an officer of the Revenue Commissioners to whom that certificate or evidence has been produced for the purposes of section 5 or 6, as the case may be, he informs that officer whether or not that certificate or evidence, as the case may be, was given by a special collector,

( b ) he provides to the Minister or the Revenue Commissioners such information, in the form of aggregates and in that form only, as the Minister or the Commissioners, as the case may be, may request in relation to—

(i) the total amount of—

(I) the declared amounts,

(II) settlement amounts, or

(III) such amounts of any payments or remittances referred to in section 3 (6) (a) as are referable to value-added tax remitted to the Chief Special Collector,

and

(ii) the total respective numbers of individuals who remitted amounts to the Chief Special Collector in respect of income, chargeable gains or value-added tax,

or

( c ) he provides to the Comptroller and Auditor General or the Accounting Officer of the Revenue Commissioners such information as the Comptroller and Auditor General or that Accounting Officer, as the case may be, may request and reasonably require to ensure that any special collection function has been discharged in accordance with this Act.

(5) Any information acquired by the Comptroller and Auditor General or the Accounting Officer of the Revenue Commissioners by virtue of paragraph (c) of the proviso to subsection (4) shall be used by the Comptroller and Auditor General or that Accounting Officer, as the case may be, only for the purpose of ensuring that any special collection function has been discharged in accordance with this Act:

Provided that the foregoing provisions of this subsection shall not prevent the Comptroller and Auditor General from carrying out his functions, including exercising his reporting duty to Dáil Éireann.

(6) The Revenue Commissioners may make such nominations as are required for the purposes of this section and may at any time also revoke any such nomination:

Provided that the Revenue Commissioners may only revoke at any time the nomination of the special collector who is the Chief Special Collector where they also designate, with effect from that time, a special collector to be his successor as Chief Special Collector.

8.—Any remittance made to the Chief Special Collector under section 2 (3) (b) or 3 (6) (a) shall—

( a ) where it is made otherwise than in cash, be made payable to the Revenue Commissioners, and

( b ) be lodged to the General Account of the Revenue Commissioners in the Central Bank of Ireland as soon as prompt recording, and secure transmission to that account, of that remittance permits.

9.—(1) Where an individual, being an individual to whom section 2 applies, or a person to whom section 3 applies—

( a ) (i) has knowingly or wilfully failed to comply with any provision of the Acts requiring—

(I) the furnishing of a return of income, profits or gains, or of sources of income, profits or gains, for the purposes of any tax,

(II) the furnishing of any other return, certificate, notification, particulars, or any statement or evidence, for the purposes of any tax, or

(ii) has knowingly or wilfully delivered any incorrect return, statement or accounts or knowingly or wilfully furnished any incorrect information in connection with any tax,

in respect of the relevant period, and

( b ) (i) fails to give a declaration required by section 2 (3) (a), or

(ii) gives such a declaration as aforesaid or a declaration under section 3 (6) (b) which is false or fails to comply with the requirements of subparagraph.(iii) or (iv) of the said section 2 (3) (a) or subparagraph (III) of the said section 3 (6) (b) to the extent that any of the said subparagraphs apply to him,

he shall, without prejudice to any other penalty to which he may be liable, be guilty of an offence and shall be liable—

(I) on summary conviction where the amount of the specified difference is—

(A) less than £1,200, to a fine not exceeding 25 per cent. of the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 12 months or to both,

(B) equal to or greater than £1,200, to a fine not exceeding £1,200 or, at the discretion of the court, to a term of imprisonment not exceeding 12 months or to both,

or

(II) on conviction on indictment where the amount of the specified difference is—

(A) less than £5,000, to a fine not exceeding 25 percent. of the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 2 years or to both,

(B) equal to or greater than £5,000 but less than £10,000, to a fine not exceeding 50 per cent. of the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 3 years or to both,

(C) equal to or greater than £10,000 but less than £25,000, to a fine not exceeding the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 4 years or to both,

(D) equal to or greater than £25,000 but less than £100,000, to a fine not exceeding twice the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 8 years or to both,

(E) equal to or greater than £100,000, to a fine not exceeding twice the amount of the specified difference and to a term of imprisonment not exceeding 8 years.

(2) Subsections (4), (6), (7) and (8) of section 94 of the Finance Act, 1983 , shall, with any necessary modifications, apply and have effect for the purposes of this section as they apply and have effect for the purposes of that section.

(3) In this section—

"the Acts" and "tax" have the meanings assigned to them, respectively, by section 2 or 3, as appropriate;

"the specified difference" means the difference between—

( a ) the amount of tax payable for the relevant period by the individual, and

( b ) the amount which would have been so payable if—

(i) any return, certificate, notification or particulars or any statement of evidence, referred to in subsection (1) (a) (i), not furnished by him, had, in fact, been so furnished and the details therein had been correct, or

(ii) any incorrect return, statement or accounts, or any incorrect information, referred to in subsection (1) (a) (ii), in connection with any tax had, in fact, been correct.

10.— Section 512 of the Income Tax Act, 1967 , is hereby amended in subsection (1)—

( a ) by the deletion of the references to "entirely remit" or ',remit", and

( b ) by the addition of the following proviso to that subsection:

"Provided that—

( a ) where a fine or penalty is mitigated or further mitigated, as the case may be, after judgement, the amount or amounts so mitigated shall, subject to paragraph (b), not be greater than 50 per cent. of the amount of the fine or penalty, and

( b ) in relation to an individual, being an individual referred to in subsection (2) of section 2, or a person referred to in subsection (2) of section 3, of the Waiver of Certain Tax, Interest and Penalties Act, 1993 , who—

(i) fails to give a declaration required by subsection (3) (a) of the said section 2, or

(ii) gives such a declaration as aforesaid or a declaration under subsection (6) (b) of the said section 3 which is false or fails to comply with the requirements of subparagraph (iii) or (iv) of the said subsection (3) (a) or subparagraph (III) of the said subsection (6) (b) to the extent that any of the said subparagraphs apply to him,

no mitigation shall be allowed.".

11.—In relation to offences committed on or after the passing of this Act, the Income Tax Act, 1967 , is hereby amended by the substitution of the following section for section 516:

"516.—(1) A person shall, without prejudice to any other penalty to which he may be liable, be guilty of an offence under this section if—

( a ) in relation to his liability to tax for a year of assessment, he knowingly makes any false statement or false representation—

(i) in any return, statement or declaration made with reference to tax, or

(ii) for the purpose of obtaining any allowance, reduction, rebate or repayment of tax, or

( b ) in relation to liability to tax of any other person for a year of assessment, he knowingly and wilfully aids, abets, assists, incites or induces that other person—

(i) to make or deliver a false or fraudulent account, return, list, declaration or statement with reference to property, profits or gains or to tax, or

(ii) unlawfully to avoid liability to tax by failing to disclose the full amount of his income from all sources.

(2) A person guilty of an offence under this section shall be liable—

( a ) on summary conviction where the amount of the specified difference is—

(i) less than £1,200, to a fine not exceeding 25 per cent. of the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 12 months or to both,

(ii) equal to or greater than £1,200, to a fine not exceeding £1,200 or, at the discretion of the court, to a term of imprisonment not exceeding 12 months or to both,

or

( b ) on conviction on indictment where the amount of the specified difference is—

(i) less than £5,000, to a fine not exceeding 25 per cent. of the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 2 years or to both,

(ii) equal to or greater than £5,000 but less than £10,000, to a fine not exceeding 50 per cent. of the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 3 years or to both,

(iii) equal to or greater than £10,000 but less than £25,000, to a fine not exceeding the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 4 years or to both,

(iv) equal to or greater than £25,000 but less than £100,000, to a fine not exceeding twice the amount of the specified difference or, at the discretion of the court, to a term of imprisonment not exceeding 8 years or to both,

(v) equal to or greater than £100,000, to a fine not exceeding twice the amount of the specified difference and to a term of imprisonment not exceeding 8 years.

(3) Subsections (4), (6), (7) and (8) of section 94 of the Finance Act, 1983 , shall, with any necessary modifications, apply for the purposes of this section as they apply for the purposes of that section.

(4) This section shall not apply to a declaration given under section 2 or 3 of the Waiver of Certain Tax, Interest and Penalties Act, 1993 , by reason only of any false statement or false representation being made in relation to subsection (3) (a) (iii) of the said section 2 or subsection (6) (b) (III) of the said section 3, as the case may be.

(5) In this section 'the specified difference' means the difference between—

( a ) the amount of tax payable in relation to his or that other person's liability to tax, as the case may be, for a year of assessment, and

( b ) the amount which would have been the amount so payable if—

(i) any statement or representation, referred to in subsection (1) (a), had not been false,

(ii) any account, return, list, declaration or statement, referred to in subsection (1) (b) (i), had not been false or fraudulent, or

(iii) the full amount of income, referred to in subsection (1) (b) (ii), had been disclosed.".

12.—Schedule 15 to the Income Tax Act, 1967 , is hereby amended by the insertion in Columns 1 and 3 of "Waiver of Certain Tax, Interest and Penalties Act, 1993 , sections 2 (3) (a) and 3 (6) (b) ".

13.—(1) In this section "authorised officer", "books", "financial institution" and "person" have the same meaning as in section 18 of the Finance Act, 1983 .

(2) Notwithstanding any other provision of the Tax Acts, where—

( a ) a person who, for the purposes of tax, has been duly required by an inspector to deliver a statement of the profits or gains arising to him from any trade or profession or to deliver to the inspector a return of income, fails to deliver that statement or that return to the inspector, or

( b ) the inspector is not satisfied with such a statement or return so delivered,

an authorised officer may, if he—

(i) has reasonable grounds to believe that the person maintains or maintained an account or accounts (being an account or accounts from which the person may withdraw monies), the existence of which has not been disclosed to the Revenue Commissioners, With a financial institution or that there is likely to be information in the books of that institution indicating that the said statement of profits or gains or the said return of income is false to a material extent, and

(ii) on application by him to the Appeal Commissioners, they determine that, in all the circumstances, he is justified in requiring the financial institution to furnish him—

(I) with particulars of all accounts maintained by that person, either solely or jointly with any other person or persons, in that institution during a period not exceeding 10 years immediately preceding the date of the application, and

(II) with such information as may be specified by the authorised officer with the consent of the Appeal Commissioners relating to the financial transactions of that person, being information recorded in the books of that institution which would be material in determining the correctness of the statement of profits or gains or the return of income delivered by that person, or, in the event of failure to deliver such statement or return, would be material in determining the liability of that person to tax,

require that financial institution to furnish such particulars or information.

(3) An application by an authorised officer under subsection (2) shall, with any necessary modifications, be heard by the Appeal Commissioners as if it were an appeal against an assessment to income tax, and a copy of the application shall, as soon as is practicable, be furnished by the authorised officer to the financial institution concerned and the person concerned, and the said financial institution and person shall be entitled—

( a ) to be present during all the time of the hearing of the application, and

( b ) to produce lawful evidence, and

( c ) to be represented by—

(i) a barrister,

(ii) a solicitor,

(iii) an accountant (being any person who has been admitted and is a member of an incorporated society of accountants),

(iv) a person who has been admitted and is a member of the body incorporated under the Companies Act, 1963 , on the 31st day of December, 1975, as "The Institute of Taxation in Ireland, or

(v) such other person as the Appeal Commissioners permit,

to plead on their behalf before the Appeal Commissioners.

(4) Section 428 of the Income Tax Act, 1967 , shall, with any necessary modifications, apply to a determination by the Appeal Commissioners under subsection (2) as it applies to the determination by those Commissioners of an appeal against an assessment to income tax.

(5) Where the Appeal Commissioners have made a determination in accordance with subsection (2), the authorised officer shall, as soon as practicable but not later than 14 days from the time at which such determination was made, give a notice in writing to the financial institution and the person stating that—

( a ) such a determination has been made, and

( b ) the financial institution should, within a period of 30 days from the time at which the financial institution received such notice, furnish the particulars or information as may be specified in the notice.

(6) A financial institution which fails to comply with a request issued to it by an authorised officer in accordance with the provisions of subsection (2), shall be liable to a penalty of £15,000 and, if the failure continues after the expiry of the period specified in subsection (5) (b), a further penalty of £2,000 for each day on which the failure so continues.

14.—Subject to section 7 (3) (a), all matters relating to this Act are hereby placed under the care and management of the Revenue Commissioners.

15.—(1) This Act may be cited as the Waiver of Certain Tax, Interest and Penalties Act, 1993 .

(2) This Act shall be construed—

( a ) so far as relating to income tax and sur-tax, together with the Income Tax Acts,

( b ) so far as relating to corporation profits tax, together with Part V of the Finance Act, 1920, and the enactments amending or extending that Part,

( c ) so far as relating to corporation tax, together with the Corporation Tax Acts,

( d ) so far as relating to capital gains tax, together with the Capital Gains Tax Acts,

( e ) so far as relating to value-added tax, together with the Value Added Tax Acts, 1972 to 1993,

( f ) so far as relating to stamp duty, together with the Stamp Act, 1891, and the enactments amending or extending that Act,

( g ) so far as relating to capital acquisitions tax, together with the Capital Acquisitions Tax Act, 1976 , and the enactments amending or extending that Act,

( h ) so far as relating to residential property tax, together with Part VI of the Finance Act, 1983 , and the enactments amending or extending that Part,

( i ) so far as relating to income levy, together with section 16 of the Finance Act, 1983 , and the enactments amending or extending that section,

( j ) so far as relating to health contributions, together with the Health Contributions Act, 1979 , and the enactments amending or extending that Act, and

( k ) so far as relating to employment and training levy, together with the Youth Employment Agency Act, 1981 , and the enactments amending or extending that Act.

(3) The collective citation "the Value-Added Tax Acts, 1972 to 1993" shall include this Act in so far as it relates to value-added tax.

(4) Any reference in this Act to any other enactment shall, except so far as the context otherwise requires, be construed as a reference to that enactment as amended by or under any other enactment including this Act.

(5) In this Act, a reference to a section is to a section of this Act, unless it is indicated that reference to some other enactment is intended.

(6) In this Act, a reference to a subsection, paragraph or subparagraph is to the subsection, paragraph or subparagraph of the provision in which the reference occurs, unless it is indicated that reference to some other provision is intended.

Section 7.

SCHEDULE

Form of declaration of confidentiality to be made by special collectors

"I, A.B., do solemnly declare that I have read and understand section 7 of the Waiver of Certain Tax, Interest and Penalties Act, 1993 , and that I will not disclose, or cause to be disclosed, to a person who is not a special collector (within the meaning of that section) any information which I acquire, or have access to, in the course of discharging special collection functions (within the meaning of the said section) save where the disclosure of such information is deemed, by virtue of the proviso to subsection (4) of the said section 7, not to be a contravention of this declaration."