530P Treatment of deducted tax.
(1) Where a principal deducts tax from a payment to a subcontractor in accordance with section 530F, such tax shall be treated as a payment on account by the subcontractor—
(a) of income tax for that tax year, where the tax was deducted in the basis period for a tax year, or
(b) of corporation tax for that accounting period, where the tax was deducted in an accounting period of a company.
(2) For the purposes of this Chapter, tax treated in accordance with subsection (1) shall be known as deducted tax.
(3) (a) Deducted tax shall be available for offset by the Revenue Commissioners against other tax liabilities of a subcontractor and in this subsection ‘tax’ has the same meaning as in section 960A.
(b) The Revenue Commissioners shall notify a subcontractor of the amount of deducted tax, if any, which is offset against other tax liabilities of the subcontractor.
(4) Where an assessment to income tax or, as the case may be, corporation tax has been made in relation to a subcontractor for a chargeable period, then deducted tax related to that period less any amount which is either—
(a) required to meet the income tax or, as the case may be, corporation tax liability of the subcontractor, or
(b) offset against other tax liabilities of the subcontractor under subsection (3),
may, subject to section 865, be repaid to the subcontractor.
(5) No repayment of deducted tax shall be made, except in accordance with subsection (4).
(6) No amount of deducted tax shall be treated as a payment on account, set off or refunded more than once and no amount of deducted tax set off under subsection (3) or refunded under subsection (4) shall be treated as a payment on account.