Taxes Consolidation Act, 1997 (Number 39 of 1997)
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23A Company residence.
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(1) (a) In this section—
“arrangements” means arrangements having the force of law by virtue of [4]>section 826<[4][5]>[4]>826(1)(a)<[4]<[5][5]>826(1)<[5];
“relevant company” means a company—
(i) which is under the control, whether directly or indirectly, of a person or persons who is or are—
(I) by virtue of the law of any relevant territory, resident for the purposes of tax in a relevant territory or relevant territories, and
(II) not under the control, whether directly or indirectly, of a person who is, or persons who are, not so resident,
or
(ii) which is, or is related to, a company the principal class of the shares of which is substantially and regularly traded on one or more than one recognised stock exchange in a relevant territory or territories;
“relevant territory” means—
(i) a Member State of the European Communities, or
(ii) not being such a Member State, a territory with the government of which arrangements have been made;
“tax”, in relation to a relevant territory other than the State, means any tax imposed in that territory which corresponds to income tax or corporation tax.
(b) For the purposes of—
(i) this section—
(I) a company shall be treated as related to another company if one company is a 50 per cent subsidiary of the other company or both companies are 50 per cent subsidiaries of a third company,
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(II) a company shall be a 50 per cent subsidiary of another company if and so long as not less than 50 per cent of its ordinary share capital is owned directly or indirectly by that other company, and
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(II) section 9 shall apply as it would apply for the purposes of the Tax Acts if in paragraph (b) of subsection (1) of that section “50 per cent” were substituted for “75 per cent” in both places where it occurs, and
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(III) sections 412 to 418 shall apply as those sections would apply for the purposes of Chapter 5 of Part 12 if—
(A) “50 per cent” were substituted for “75 per cent” in each place where it occurs in those sections, and
(B) [3]>subparagraph (iii) of<[3] section 411(1)(c) were deleted,
and
(ii) the definition of “relevant company”, control shall be construed in accordance with subsections (2) to (6) of section 432 as if in subsection (6) of that section for “5 or fewer participators” there were substituted—
(I) in so far as paragraph (i)(I) of that definition is concerned, “persons who, by virtue of the law of any relevant territory (within the meaning of section 23A), are resident for the purposes of tax in a relevant territory or relevant territories”, and
(II) in so far as paragraph (i)(II) of that definition is concerned, “persons not resident for the purposes of tax in a relevant territory (within the meaning of section 23A)”.
(2) Subject to subsections (3) and (4), a company which is incorporated in the State shall be regarded for the purposes of the Tax Acts and the Capital Gains Tax Acts as resident in the State.
(3) Subsection (2) shall not apply to a company incorporated in the State if the company is a relevant company and—
(a) carries on a trade in the State, or
(b) is related to a company which carries on a trade in the State.
(4) Notwithstanding subsection (2), a company which is regarded for the purposes of any arrangements as resident in a territory other than the State and not resident in the State shall be treated for the purposes of the Tax Acts and the Capital Gains Tax Acts as not resident in the State.
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(5) Notwithstanding subsection (3)—
(a) where a company—
(i) is incorporated in the State and, by virtue of the law of a relevant territory other than the State, would be resident in that relevant territory for the purposes of tax if it were incorporated in that relevant territory but would not otherwise be resident for tax purposes in that relevant territory, and
(ii) is managed and controlled in that relevant territory and, by virtue of the law of the State, would be resident for the purposes of tax in the State if it were so managed and controlled in the State but would not otherwise be resident for tax purposes in the State,
and
(b) accordingly, the company would not, apart from this subsection, be regarded, by virtue of the law of any territory, as resident in that territory for the purposes of tax,
that company shall be regarded for the purposes of the Tax Acts and the Capital Gains Tax Acts as resident in the State.
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(1) Subject to subsection (2), a company which is incorporated in the State shall be regarded for the purposes of the Tax Acts and the Capital Gains Tax Acts as resident in the State.
(2) Notwithstanding subsection (1), a company which is regarded for the purposes of any arrangements, having the force of law by virtue of section 826(1), as resident in a territory other than the State and not resident in the State shall be regarded for the purposes of the Tax Acts and the Capital Gains Tax Acts as not resident in the State.
(3) Nothing in subsection (1) shall prevent a company that—
(a) is not incorporated in the State, and
(b) is centrally managed and controlled in the State, being resident in the State for the purposes of the Tax Acts and the Capital Gains Tax Acts.
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Substituted by FA00 s77(1)(a). This section shall apply as on and from 10 February 2000.
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Substituted by FA04 sched3(1)(a). This section shall have effect as on and from the passing of this Act. FA04 25 March 2004
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Inserted by F(No.2)A13 s39(1). Has effect from— (a) 24 October 2013, as respects a company incorporated on or after that date, and (b) 1 January 2015, as respects a company incorporated before 24 October 2013.
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Substituted by FA14 s43(1)(a). Note: Per FA14 s43(2) certain important conditions apply with reference to the company’s ownership and date of incorporation. FA14 s43(2) cannot be consolidated but is reproduced here in full. References to the “Principle Act” are to TCA97. (a) Subject to paragraph (b), this section shall have effect from 1 January 2015. (b) As respects a company incorporated before 1 January 2015, this section shall have effect— (i) after 31 December 2020, or (ii) from the date, after 31 December 2014, of a change in ownership of the company where there is a major change in the nature or conduct of the business of the company within the relevant period, whichever is the earlier. (c) In paragraph (b) “relevant period” means a period— (i) beginning on the later of— (I) 1 January 2015, or (II) the date which occurs one year before the date of the change in ownership of the company referred to in that paragraph, and (ii) ending 5 years after the date of that change of ownership. (d) For the purposes of the references in paragraphs (b) and (c) to a change in ownership of a company, Schedule 9 (other than paragraph 4 of that Schedule) to the Principal Act shall apply as if references in that Schedule to section 401 or 679(4) of the Principal Act were references to the said paragraphs (b) and (c). (e) For the purposes of paragraph (b), “a major change in the nature or conduct of the business of the company” means— (i)a major change in the nature or conduct of a trade (within the meaning of section 401(1)(a) or (b) of the Principal Act) carried on by the company, (ii) the commencement by the company of a new trade, or (iii) a major change arising from the acquisition by the company of property or of an interest in, or right over, property.