891DA Returns of certain payment card transactions by payment card providers

Summary

This section is an enabling provision. It authorises the Revenue Commissioners to make regulations, with the consent of the Minister for Finance, to require Debit/Credit Card issuers to make returns in respect of Cross-Border payments.

Details

Definitions

(1) The meaning of certain terms used in section 891DA are defined as follows:

“the Acts” has the same meaning as in section 851A which is as follows:

(a) the Tax Acts,

(aa) the Customs Acts,

(b) Parts 18A, 18B, 18C and 18D, (of the TCA 1997)

(c) the statutes relating to the duties of excise and to the management of those duties,

(d) the Capital Gains Tax Acts,

(e) the Value-Added Tax Acts,

(f) the Capital Acquisitions Tax Consolidation Act 2003, and the enactments amending or extending that Act,

(g) the statutes relating to stamp duty and the management of that duty, and

(h) the Finance (Local Property Tax) Act 2012,

and any instruments made thereunder and any instruments made under any other enactment and relating to tax.

“authorised officer” means an officer of the Revenue Commissioners who is authorised by the Revenue Commissioners in writing to exercise the powers conferred by section 891DA.

“cross-border payment card transaction” is a payment card transaction where the payee is located in outside the State.

“payee” means the person that accepts the payment under a “cross-border payment card transaction”.

“EEA Agreement” means the Agreement on the European Economic Area signed at Oporto on 2 May 1992 as adjusted by all subsequent amendments to that Agreement.

“EEA state” means a state which is a contracting party to the EEA Agreement.

“payment card” means any card which is issued by a “payment card provider”.

“payee” in relation to a “cross-border payment card transaction” means the person accepting the payment concerned.

“payment card provider” means –

1. a person who -
   1. is a holder of a licence granted under section 9 of the Central Bank Act 1971 or an authorisation granted under section 9A of that Act, or
   2. holds a licence or other similar authorisation under the law of an EEA state, other than the State, which corresponds to a licence granted under section 9 of the Central Bank Act 1971,
2. a payment institution (within the meaning of Regulation 18 of the European Union (Payment Services) Regulations 2018 (S.I. No. 6 of 2018)) which has been authorised by the Central Bank of Ireland to carry on the business of a payment institution, or
3. the Post Office Savings Bank.

“payment card transaction” means any transaction in which a “relevant payment card” is accepted as payment and the “relevant payment card” is not physically presented to the payee.

“relevant payment card” means a payment card which is issued to a person whose postal address for the purpose of the issue of the card is in the State.

“tax” has the same meaning as in section 851B and means any tax, duty, levy or charge under the care and management of the Revenue Commissioners.

“TIN” means Taxpayer Identification Number

(2) The Revenue Commissioners are authorised to make regulations, with the consent of the Minister for Finance, to provide that a “payment card provider” is required to make a return in relation to “cross-border payment card transactions”.

Return

(3) The regulations made under this section may specify the information that is to be included in the return.

(3)(a) In respect of a return to be made the regulations will state

(3)(a)(i) the period for which the return is to be made,

(3)(a)(ii) the date by which the return is to be made, and

(3)(a)(iii) the manner in which the return is to be made,

Information to be included on the return

(3)(b) The information in respect of the “payee” to be included on the return shall include

(3)(b)(i) the name or business name of each “payee”,

(3)(b)(ii) the address or email address of each “payee”,

(3)(b)(iii) the TIN of each “payee”,

(3)(b)(iv) the International Bank Account Number [IBAN], or equivalent, of each “payee”,

(3)(b)(v) the Bank Identifier Code [BIC], or equivalent identifier, of each “payee,

(3)(b)(vi) other details that the Revenue Commissions consider to be necessary and appropriate for the purposes of determining the identity of each “payee”.

(3)(c) The information in respect of “cross-border payment card transaction” to be included on the return shall include

(3)(c)(i) the date and time of each payment,

(3)(c)(ii) the amount of each payment and the currency in which each payment was made.

(3)(d) The class or classes of “payees” to be included in the return.

(3)(e) The class or classes of “payment card providers” required to make a return.

Class or classes of “payees” to be included on the return

(4)(a) In determining the class or classes of “payees” to be included on the return the regulations will refer to the number and aggregate value of “cross-border payments card transactions” that are associated with the “relevant payment cards” issued by a “payment card provider”.

(4)(b) The class or classes of “payees” to be included in a return will not include a “payee” who either

(4)(b)(i) accepts payment of less than 100 “cross-border payment card transactions” with “relevant payment cards” issued by the “payment card provider” who is making the return in the period specified in regulations made under this section, or

(4)(b)(ii) the aggregate value of the “cross-border payment card transactions” in respect of

which the payee accepts payment associated with “relevant payment cards” issued

by the “payment card provider” who is making the return is less than €10,000.

(4)(b)(c) Where the period for which the return is required specified in the regulations is less than

12 months the 100 “cross border payment card transactions” and the €10,000 aggregate

value of “cross border payment card transactions” should be reduced on a pro-rata basis.

Class or classes of “payment card providers” required to make a return

(5) The regulations shall specify the class or classes of “payment card providers” required to

make a return and reference will be made to the number of “relevant payment cards” issued by a “payment card provider” and the aggregate value of “payment card transactions” associated with the “relevant payment cards” when determining the class

or classes of “payment card providers” required to make a return.

Audit

(6) An “authorised officer” may enter any premises or place of business of a payment card

provider to either

(6)(a) determine whether

(6)(a)(i) the information included on the return, made under the regulations made under this

section, by the “payment card provider” is correct and complete, or information that was not included on the return was correctly excluded.

(6)(b) examine the procedures put in place by that “payment card provider” for the purposes of ensuring compliance with that provider’s obligations under this section or regulations

made under this section.

(7) An “authorised officer” shall not, other than with the consent of the occupier, enter a private dwelling without a warrant authorising the entry.

District Court Warrant

(8) A judge of the District Court, if satisfied on the sworn evidence of an “authorised officer” that

(8)(a) there are reasonable grounds for suspecting that information or records, that the “authorised officer may require for the purposes of his or her functions under this

(8)(b) section, is or are held on any premises or part of any premises, and (8)(a) the “authorised officer” in the performance of his or her functions under this section has been prevented from entering the premises or any part of the premises,

may issue a warrant authorising the” authorised officer”, accompanied by other persons

if necessary, to enter, if needs be by reasonable force, at any time or times within 30 days from the date of issue of the warrant and on production of the warrant if so requested, the premises or part of the premises concerned and perform all or any of the functions conferred on the authorised officer under this section.

Penalties

(9)(a) The provisions of Section 898O shall apply to

(9)(a)(i) a failure by a payment card provider to deliver a return required to be made under regulations made under this section, and to each and every such failure, and

(9)(a)(ii) the making of an incorrect or incomplete return,

as it applies to a failure to deliver a return or to the making of an incorrect or incomplete

return referred to in section 898O.

(9)(b) A “payment card provider” who does not comply with

(9)(b)(i) the requirements of an “authorised officer” in the exercise or performance of the officer's powers or duties under this section, or

(9)(b)(ii) any requirement imposed on the “payment card provider” by this section or regulations made under this section,

shall be liable to a penalty of €1,265.

Override of restriction on disclosure of information – Post Office Savings Bank Act 1861

(10) Section 4 of the Post Office Savings Bank Act 1861 (which restricts the disclosure of information) will not apply to the disclosure of information required to be included in a return made under the regulations made under this section.

Requirement to lay regulations before Dáil Éireann

(11) Every regulation made under this section shall be laid before Dáil Éireann and if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on

which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be

annulled accordingly, but without prejudice to the validity of anything previously done thereunder.”.

Relevant Date: Finance Act 2021