Revenue Note for Guidance

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Revenue Note for Guidance

Schedule 26A

[Section 848A]

Donations to Approved Bodies

Summary

This Schedule is to be construed together with section 848A which is concerned with tax relief for donations to approved bodies and comprises 3 parts.

Part 1 sets out the list of approved bodies for the purposes of the relief.

Part 2 sets out the conditions for approval as a body for education in the arts.

Part 3 sets out the conditions for approval as an eligible charity.

Details

Part 1: List of approved bodies for the purposes of section 848A:

par 1 A body approved for education in the arts.

par 2 An eligible charity.

par 3 An institute of higher education, under the Higher Education Authority Act, 1971 or a body set up to raise funds for such an institute.

par 4 An education institution, under the Local Authorities (Higher Education Grants) Acts, 1968 to 1992, or a body set up to fund such an institution.

par 5 An institute of higher education in the State providing courses validated by the Qualifications and Quality Assurance Authority of Ireland under the Qualifications and Quality Assurance (Education and Training) Act 2012.

par 6 Primary schools.

par 7 Second level schools.

par 17 Bodies established for the promotion of human rights.

Part 2: Approval of a body for education in the arts:

par 1 “Approved body” means a body approved by the Minister for Finance which—

  1. provides any third level course, or
  2. is established solely for the advancement of an approved subject, contributes to the advancement of that subject on a regional or national basis and is prohibited by its constitution from distributing any of its assets to its members.

“Approved subject” means—

  1. Architecture.
  2. Art and Design.
  3. Music and Musical Composition.
  4. Theatre Arts.
  5. Film Arts.
  6. Any other subject approved by the Minister for Finance.

par 2(a) The Minister for Finance may withdraw approval from a body by notice in writing.

par 2(b) Where the Minister withdraws approval, a notice to that effect will be published in Iris Oifigiúil, and the withdrawal of approval will take effect from the day after publication.

Part 3: Approval of body as eligible charity:

par 1 “Authorisation” is to be construed in accordance with paragraph 3.

“Eligible charity” means a body with a valid authorisation.

par 2 Where a body applies to the Revenue Commissioners and forwards such information as may be reasonably required, the Revenue Commissioners may issue the body with an authorisation that the body is an eligible charity for the purposes of this Part.

par 3 The Revenue Commissioners may not issue an authorisation to a body unless they are satisfied that—

  1. the body is established for charitable purposes only,
  2. its income is applied for charitable purposes only,
  3. before applying for authorisation as an eligible charity the body had been granted exemption from tax under section 207 (known as charitable exemption) for a period of at least 2 years or, if it is a body established in an EEA or EFTA State, it received a notice of determination from the Revenue Commissioners at least two years prior to that date,
  4. the body provides such further information as the Revenue Commissioners may require under this Part, and
  5. the body complies with such conditions, if any, which the Minister for Social, Community and Family Affairs may specify. (This power is currently exercised by the Minister for Community, Rural and Gaeltacht affairs.)

par 4 Any eligible charity will be required to publish Profit and Loss accounts and Balance Sheets in such manner as the Minister for Finance may reasonably require.

par 5 The Revenue Commissioners may, despite their normal obligation of confidentiality regarding taxpayers, publish a list of eligible charities.

par 6 The authorisation from the Revenue Commissioners can last for any period up to 5 years.

par 7 Where the Revenue Commissioners are satisfied that an eligible charity has ceased to comply with paragraphs 3 or 4 they shall withdraw the authorisation by notice in writing by registered post and the withdrawal shall have effect from the date specified in the notice, which shall not be earlier than the date on which the charity has ceased to comply.

par 8 All information provided to the Revenue Commissioners or to be published as required by the Minister for Finance must be furnished or published in an official language of the State.

Relevant Date: Finance Act 2019