Recovery of tax from trustee and payment to trustee of excess tax recoupment

(1) A person who has been charged to, and has paid, income tax on any income treated as his/her income by virtue of section 792 is entitled to recover that tax from the trustee or other person to whom the income is payable and, for this purpose, the person is also entitled to require the Revenue Commissioners to furnish him/her with a certificate specifying the amount of income so treated as his/hers and the amount of the tax so paid. Any such certificate is evidence of those facts until the contrary is proved.

(2) Conversely, if a disponer obtains a refund of tax as a result of income under a disposition being treated as his/hers, he/she must pay over the tax repaid to the trustee or other person to whom the income is payable. Where there is more than one disponee, the tax repaid must be apportioned among them.

(3) If any question arises as to the amount of any payment or apportionment to be so made, that question is to be decided by the Appeal Commissioners whose decision on the matter is final.

(4) In determining the amount recoverable from, or payable to, the trustee or other person by the disponer, the income deemed to the disponer’s income by virtue of section 792 is treated as the highest part of his/her income.

Relevant Date: Finance Act 2021