19 Schedule E

Summary

Schedule E charges income tax in respect of every public office or employment of profit and every annuity, pension or stipend payable out of the public revenue of the State (apart from annuities chargeable under Schedule C) and also in respect of all other offices, employments and pensions which would have been chargeable under Schedule D but for paragraph 2 of that Schedule.

Details

Definitions

(1) par 1 “annuity” and “pension” include respectively an annuity and a pension paid voluntarily and an annuity and pension capable of being discontinued.

The Schedule E charge

par 2 Tax under Schedule E is charged in respect of every public office or employment of profit and in respect of every annuity, pension or stipend payable out of the public revenue of the State (apart from annuities charged under Schedule C). The tax is charged for every euro of the annual amount of the Schedule E source.

par 3 Tax under Schedule E is also charged in respect of any office, employment or pension the profits/gains arising or accruing from which would be chargeable to tax under Schedule D but for paragraph 2 of that Schedule. That paragraph removed offices, employments and pensions from the Schedule D charge unless liable to tax under Case III of that Schedule.

par 4 The charging provisions of Schedule E are without prejudice to any other provision of the Income Tax Acts directing tax to be charged under that Schedule. The principal provisions directing that tax be charged under Schedule E are to be found in Chapters 3 and 4 (benefit in kind) and 5 (miscellaneous charging provisions) of Part 5 and Part 17 (profit sharing schemes).

par 5 Finally, the Schedule applies subsection (2) and sections 114 and 115 (which provide rules as to permissible deductions for Schedule E purposes) and section 925 (which provides for special assessment rules for Schedule E) for the purposes of tax charged under the Schedule.

(2) Tax under Schedule E is to be paid in respect of all public offices and employments of profit in the State. In addition to the public offices and employments actually listed, “public office or employment of profit in the State” has been held by the courts to be an office or employment which owes its existence to Irish law.

Relevant Date: Finance Act 2021