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Version status: | Document consolidation status: No known changes
Version date: 28 June 2005 - onwards

Explanatory Memorandum

This note is not part of the Instrument and does not purport to be a legal interpretation

These Regulations, made under the European Communities Act 1972, relate to the legislation contained in Chapter 3A of Part 38 of the Taxes Consolidation Act 1997 dealing with the implementation in Ireland of Council Directive 2003/48/EC of 3 June 2003 on the taxation of savings income in the form of interest payments (referred to as the Savings Tax Directive) and Council Decision 2004/587/EC of 19 July 2004 on the date of application of Council Directive 2003/48/EC.

Regulation 1 provides for the citation of the Regulations.

Regulation 2 ensures that the Irish legislation implementing the Savings Tax Directive will apply to interest payments made from Ireland to individuals resident in the dependent and associated territories of the UK and the Netherlands that have put in place arrangements to ensure that either exchange of information with Ireland takes place on an automatic basis in respect of interest payments made from those territories to Irish residents or that a withholding tax will apply to interest payments made from those territories to residents of Ireland as and from 1 July 2005. Such arrangements to apply from 1 July 2005 have been put in place by all the relevant dependent and associated territories.

Regulation 3 amends the implementing legislation contained in Chapter 3A of Part 38 of the Taxes Consolidation Act 1997 in a number of respects.

Paragraphs (a) and (b) amend an incorrect reference which includes a collective investment undertaking established in Ireland within the terms of the provisions. The intention was to exclude such entities.

Paragraphs (c) and (d) amends the Irish legislation implementing the Savings Tax Directive to reflect the correct interpretation of the derogations contained in article 6.6 of the Savings Directive.