825B Repayment of tax where earnings not remitted.
(1) In this section—
“associated company”, in relation to a relevant employer, means a company which is that employer’s associated company within the meaning of section 432 and which is incorporated or resident in a country or jurisdiction which is not a party to the EEA agreement, but with the government of which arrangements are for the time being in force by virtue of section 826(1);
“EEA agreement” means the Agreement on the European Economic Area signed at Oporto on 2 May 1992, as adjusted by the Protocol signed at Brussels on 17 March 1993;
“emoluments” has the same meaning as in Chapter 4 of Part 42;
“relevant emoluments”, in relation to a tax year, means emoluments that are—
(a) paid by a relevant employer or an associated company of that relevant employer to a relevant employee, and
(b) within the charge to tax under Schedule E and to which Chapter 4 of Part 42 has been applied,
for that tax year;
“relevant employee” means an individual who, for a tax year—
(a) is resident in the State for tax purposes, and
(b) is not domiciled in the State,
and who, prior to becoming resident in the State for tax purposes—
(i) was a resident of, and resident in, a country or jurisdiction that is not a party to the EEA Agreement but with the government of which arrangements are for the time being in force by virtue of section 826(1),
(ii) was employed in that country or jurisdiction by the same relevant employer referred to in subsection (2) or by an associated company of that relevant employer, and
(iii) had exercised the greater part of his or her employment in that country or jurisdiction;
“relevant employer” means a company that is incorporated, and is resident, in a country or jurisdiction that is not a party to the EEA Agreement but with the government of which arrangements are for the time being in force by virtue of section 826(1);
“Revenue officer” means an officer of the Revenue Commissioners;
“tax year” means a year of assessment.
(2) Where a relevant employee—
(a) becomes resident in the State for tax purposes,
(b) is required by his or her relevant employer to exercise the duties of his or her employment in the State,
(c) exercises those duties in the State on behalf of the relevant employer or on behalf of an associated company of the relevant employer for a period of at least
>3 years<, and
(d) while so exercising those duties, continues to be paid relevant emoluments from abroad by his or her relevant employer or associated company,
then after the end of any tax year in respect of which relevant emoluments are paid, the relevant employee may apply to the Revenue Commissioners to have the tax due on the relevant emoluments computed for the tax year on the full amount of the greater of—
(i) the relevant emoluments earned and received in or remitted—
(I) either directly or indirectly,
(II) through any property imported,
(III) through any money or value received on credit or on account,
to the State in that tax year, and
(ii) an amount equal to €100,000 plus 50 per cent of the relevant emoluments in excess of €100,000, and any tax deducted from the relevant emoluments in excess of the tax due as so computed shall be repaid on foot of a claim from the relevant employee.
(3) Section 72 shall, with any necessary modification, apply to this section.
(4) For the purposes of this section, where deductions under Chapter 4 of Part 42 are made from relevant emoluments, such deductions shall be deemed to be an amount of the relevant emoluments received in or remitted to the State for the year of assessment to which such deductions refer.
(5) (a) If relevant emoluments are remitted to the State in a tax year after the tax year in which they were earned, and the individual has received a repayment under subsection (2) of any tax originally deducted from those emoluments, the individual shall be liable to income tax on those emoluments from the date on which the tax was originally deducted.
(b) In a case in which paragraph (a) applies, section 924(2)(b) shall apply in the case of assessments or additional first assessments in respect of the emoluments referred to in paragraph (a) subject to a substitution of
>a reference to the end of the tax year in which the emoluments were received for the reference to the end of the tax year in which the emoluments were remitted<.
(6) Where a relevant employee—
(a) has claimed a repayment of tax under subsection (2), and
(b) fails to comply with the
>3 year< limit contained in subsection (2)(c),
then that employee shall, whether or not requested to do so by a Revenue officer and within 2 months of that failure, repay to the Revenue Commissioners the tax repaid under subsection (2).
(7) If a Revenue officer is not satisfied with the information provided by a relevant employee making a claim under subsection (2), the officer may refuse the claim.