530H Standard rate subcontractor

Summary

Section 530H sets out the conditions that a subcontractor must satisfy to qualify for the 20% deduction rate.

Details

(1) This section applies, subject to subsections (2) and (3), to a person who satisfies the Revenue Commissioners that the person -

(1)(a) Is or is about to become a subcontractor carrying out relevant operations.

(1)(b) Carries on a business from a permanent building and has the necessary equipment and facilities for the business

(1)(c) Keeps and will continue to keep adequate records as required by section 886(2).

(1)(d) Has throughout the previous 3 years complied substantially with all their tax obligations in relation to the payment or remittance of taxes, the filing of returns and the supply of accounts or other information to a Revenue officer.

(1)(e) In the case of a subcontractor who was resident outside of the state during the 3 years, has complied with obligations comparable to paragraphs (c) and (d) in the country in which they were resident.

(1)(f) Has provided the Revenue Commissioners with whatever information is needed to register the person for tax purposes.

(1)(g) Is not eligible for the zero per cent rate.

(2) The Revenue Commissioners may make regulations identifying matters to be taken into account for the purposes of subsection (1)(d).

This section does not apply to a subcontractor -

(3)(a) Who is a partner, unless the partnership has complied with the obligations in subsection (1).

(3)(b) Where the Revenue Commissioners form an opinion that deductions from relevant payments at the standard rate of tax will be insufficient to fully satisfy the income tax liability of the subcontractor for that year.

(4) This section also applies to a subcontractor who satisfies the Revenue Commissioners s that the matters referred to in subsection (1), (2) or (3), should be disregarded for the purposes of this section.

Relevant Date: Finance Act 2025