Taxes Consolidation Act, 1997 (Number 39 of 1997)
652 Non-application of reliefs on replacement of assets in case of relevant disposals.
[FA82 s39; FA95 s73(1); FA97 s77(1)]
(1) Consideration obtained for a relevant disposal shall not be regarded for the purposes of relief under section 597 as having been obtained for the disposal of old assets within the meaning of that section.
(2)[4]>(a) In this subsection, “the relevant local authority”, in relation to a relevant disposal, means the council of a county or the corporation of a county or other borough or, where appropriate, the urban district council, in whose functional area the land being disposed of is situated.<[4][4]>(a) In this subsection ‘the relevant local authority’, in relation to a relevant disposal, means the local authority for the purposes of the Local Government Act 2001 (as amended by the Local Government Reform Act 2014) in whose functional area the land being disposed of is situated.<[4]
(b) Subsection (1) shall not apply to a relevant disposal where the relevant local authority gives a certificate in writing to the person making the disposal stating that the land being disposed of is subject to a use which, on the basis of guidelines issued by the Minister for the Environment and Local Government, is inconsistent with the protection and improvement of the amenities of the general area within which that land is situated or is otherwise damaging to the local environment.
(3)(a) In this subsection—
“assets of an authorised racecourse” means assets of a racecourse which is an authorised racecourse where the assets are used for the provision of appropriate facilities or services to carry on horseracing at race meetings or to accommodate persons associated with horseracing, including members of the public;
“authorised racecourse” has the same meaning as in section 2 of the Irish Horseracing Industry Act, 1994.
(b) Subject to paragraph (c), subsection (1) shall not apply to consideration obtained for a relevant disposal where—
(i) throughout a period of 5 years ending with the time of disposal the old assets, and
(ii) the new assets within the meaning of section 597,
are assets of an authorised racecourse.
(c) Section 597 shall apply in relation to assets of an authorised racecourse as if—
(i) references in subsection (4) and (5) of that section to new assets ceasing to be used for the purposes of a trade included a reference to new assets ceasing to be assets of an authorised racecourse, and
(ii) subsection (11)(b) had not been enacted.
[1]>
(3A) (a) In this subsection—
“greyhound race”, “greyhound race track” and “greyhound race track licence” have the same meanings respectively as in section 2 of the Greyhound Industry Act, 1958;
“assets of an authorised greyhound race track” means assets of a greyhound race track which is an authorised greyhound race track where the assets are used for the provision of appropriate facilities or services to hold greyhound races or to accommodate persons associated with greyhound racing, including members of the public;
“authorised greyhound race track” means a greyhound race track in respect of which a greyhound race track licence has been granted, and that licence has not been revoked.
(b) Subject to paragraph (c), subsection (1) shall not apply to consideration obtained for a relevant disposal where—
(i) throughout a period of 5 years ending with the time of disposal the old assets, and
(ii) the new assets within the meaning of section 597,
are assets of an authorised greyhound race track.
(c) Section 597 shall apply in relation to assets of an authorised greyhound race track as if—
(i) references in subsections (4) and (5) of that section to new assets ceasing to be used for the purposes of a trade included a reference to new assets ceasing to be assets of an authorised greyhound race track, and
(ii) subsection (11)(b) had not been enacted.
(3B) Subsection (1) shall not apply to consideration obtained for a relevant disposal effected by an order made under section 28(1) of the Dublin Docklands Development Authority Act, 1997.
<[1]
(4) Section 605 shall not apply to a relevant disposal.
[2]>
(5)(a) In this subsection, “farming” has the same meaning as in section 654.
(b) Subsection (4) shall not apply to a relevant disposal made to an authority possessing compulsory purchase powers where—
(i) at the time of the disposal the original assets (within the meaning of section 605) consist of land occupied and used only for the purposes of farming, and
(ii) the disposal is made—
(I) for the purposes of enabling the authority to construct, widen or extend a road or part of a road, or
(II) for a purpose connected with or ancillary to the construction, widening or extension of a road or part of a road by the authority.
<[2]
[2]>
(5) (a) Subsection (4) shall not apply to a relevant disposal made to an authority possessing compulsory purchase powers where the disposal is made—
(i) for the purposes of enabling the authority to construct, widen or extend a road or part of a road, or
(ii) for a purpose connected with or ancillary to the construction, widening or extension of a road or part of a road by the authority.
(b) Where section 605 applies to a relevant disposal by virtue of this subsection that section shall be construed as if for subsection (4) of that section the following were substituted:
“(4) This section shall apply only if the acquisition of the replacement assets takes place, or an unconditional contract for the acquisition is entered into, in the period beginning 2 years before and ending 8 years after the disposal of the original assets, or at such earlier or later time as the Revenue Commissioners may by notice in writing allow; but, where an unconditional contract for the acquisition is so entered into, this section may be applied on a provisional basis without ascertaining whether the replacement assets are acquired in pursuance of the contract, and when that fact is ascertained all necessary adjustments shall be made by making assessments or by repayment or discharge of tax, and shall be so made notwithstanding any limitation in the Capital Gains Tax Acts on the time within which assessments may be made [3]>or any limitation in section 865(4) on the time within which a claim for a repayment of tax is required to be made<[3].”.
<[2]
(6) Subsections (1) and (4) shall not apply to a relevant disposal made by a body of persons established for the sole purpose of promoting athletic or amateur games or sports, being a disposal which is made in relation to such of the activities of that body as are directed to that purpose.
[1]
Inserted by FA98 s73(1). This section shall apply in respect of relevant disposals made on or after the 6th day of April, 1998.
[2]
Substituted by FA01 s95(1). Applies to relevant disposals made on or after 6 December 2000.