267M Tax rate applicable to certain deposit interest received by individuals.
(1) In this section—
“specified interest” means interest arising in a Member State of the European Communities other than the State which would be interest payable in respect of a relevant deposit within the meaning of section 256(1) if—
(a) in the definition of “relevant deposit” in section 256(1)—
(i) the following were substituted for paragraphs (c) and (d):
“(c) which, in the case of a relevant deposit taker which, by virtue of the law of a Member State of the European Communities other than the State, is resident for the purposes of tax in such a Member State, is held at a branch of the relevant deposit taker situated in a territory which is not a Member State,
(d) which, in the case of a relevant deposit taker not so resident in a Member State of the European Communities for the purposes of tax, is held otherwise than at a branch of the relevant deposit taker situated in a Member State,”,
(ii) paragraph (g) were deleted,
(b) there were included in the definition of “relevant deposit taker” in section 256(1) bodies established in accordance with the law of any Member State of the European Communities other than the State which corresponds to—
(i) the Credit Union Act 1997,
(ii) the Trustee Savings Banks Acts 1989 and 2001, or
(iii) the Post Office Savings Bank Acts 1861 to 1958;
“tax” in relation to a Member State other than the State means tax which corresponds to income tax or corporation tax in the State.
(2) (a) Notwithstanding any provision of the Income Tax Acts and subject to paragraph (b), the amount of taxable income on which a person who is an individual is charged to income tax at the standard rate for any year shall be increased by an amount equal to the amount of specified interest of that person on which income tax for that year falls to be computed.
(b) Paragraph (a) shall not apply where any liability of the individual for a year of assessment in respect of the specified interest has not been discharged on or before the specified return date for the chargeable period (within the meaning of section 950) for that year.