372AM Grant of certain certificates and guidelines, qualifying and special qualifying premises.

(1) (a) The Minister may grant a certificate (in this Chapter referred to as a “certificate of compliance”) for the purposes of section 372AP or 372AR, as the case may be, certifying that, at the time of granting the certificate and on the basis of the information available to the Minister at that time—

(i) the house to which the certificate relates complies—

(I) in the case of construction, with such conditions, if any, as may be determined by the Minister from time to time for the purposes of section 4 of the Housing (Miscellaneous Provisions) act, 1979, in relation to standards of construction of houses and the provision of water, sewerage and other services in houses,

(II) in the case of conversion or refurbishment, with such conditions, if any, as may be determined by the Minister from time to time for the purposes of section 5 of the Housing (Miscellaneous Provisions) act, 1979, in relation to standards for improvement of houses and the provision of water, sewerage and other services in houses,

(ii) the total floor area of that house is within the relevant floor area limits as specified in subsection (4), and

(iii) in the case of refurbishment, the refurbishment work was necessary for the purposes of ensuring the suitability as a dwelling of any house in the building or the part of the building and whether or not the number of houses in the building or the part of the building, or the shape or size of any such house, is altered in the course of such refurbishment,

but—

(A) in the case of a house the site of which is wholly within a qualifying town area, such certificate shall be granted only where an application has been received by the Minister within a period of one year from the day next after the end of the qualifying period, and

(B) in the case of a house, the site of which is wholly within a qualifying student accommodation area, such certificate shall be granted having regard to the relevant guidelines.

(b) (i) The Minister may grant a certificate (in this Chapter referred to as a “certificate of reasonable cost”) for the purposes of section 372AP or 372AR, as the case may be, certifying that, at the time of granting the certificate and on the basis of the information available to the Minister at that time—

(I) the house to which the certificate relates complies—

(A) in the case of construction, with such conditions, if any, as may be determined by the Minister from time to time for the purposes of section 4 of the Housing (Miscellaneous Provisions) act, 1979, in relation to standards of construction of houses and the provision of water, sewerage and other services in houses,

(B) in the case of conversion or refurbishment, with such conditions, if any, as may be determined by the Minister from time to time for the purposes of section 5 of the Housing (Miscellaneous Provisions) act, 1979, in relation to standards for improvement of houses and the provision of water, sewerage and other services in houses,

(II) the amount specified in the certificate in relation to the cost of construction of, conversion into, or, as the case may be, refurbishment of, the house to which the certificate relates appears to the Minister to be reasonable,

(III) the total floor area of that house is within the relevant floor area limits as specified in subsection (4), and

(IV) in the case of refurbishment, the refurbishment work was necessary for the purposes of ensuring the suitability as a dwelling of any house in the building or the part of the building and whether or not the number of houses in the building or the part of the building, or the shape or size of any such house, is altered in the course of such refurbishment,

but—

(A) in the case of a house, the site of which is wholly within a qualifying town area, such certificate shall be granted only where an application has been received by the Minister within a period of one year from the day next after the end of the qualifying period, and

(B) in the case of a house, the site of which is wholly within a qualifying student accommodation area, such certificate shall be granted having regard to the relevant guidelines.

(ii) Section 18 of the Housing (Miscellaneous Provisions) act, 1979, applies, with any necessary modifications, to a certificate of reasonable cost as if it were a certificate of reasonable value within the meaning of that section.

(c) The Minister for Education and Science may, in relation to a house or building the site of which is wholly within a qualifying student accommodation area, in consultation with the Minister and with the consent of the Minister for Finance—

(i) issue guidelines for the purposes of this Chapter and, without prejudice to the generality of the foregoing, such guidelines may include provisions in relation to all or any one or more of the following—

(I) the design and the construction of, conversion into, or refurbishment of, houses,

(II) the total floor area and dimensions of rooms within houses, measured in such manner as may be determined by the Minister,

(III) the provision of ancillary facilities and amenities in relation to houses,

(IV) the granting of certificates of reasonable cost and of certificates of compliance,

(V) the designation of qualifying areas,

(VI) the terms and conditions relating to qualifying leases, and

(VII) the educational institutions and the students attending those institutions for whom the accommodation is provided,

and

(ii) amend or replace relevant guidelines in like manner.

(2) Subject to this section, a house is a qualifying premises for the purposes of section 372AP or 372AR, as the case may be, where—

(a) the house fronts on to a qualifying street or is comprised in a building or part of a building which fronts on to a qualifying street, or the site of the house is wholly within a tax incentive area,

(b) the house is used solely as a dwelling,

(c) the house complies with the requirements of subsection (4) in respect of its total floor area,

(d) there is in force in respect of the house—

(i) a certificate of compliance or,

(ii) if it is not a house provided for sale, a certificate of reasonable cost the amount specified in which in respect of the cost of construction of the house, the cost of conversion in relation to the house or the cost of the refurbishment in relation to the house is not less than the expenditure actually incurred on such construction, conversion, or, as the case may be, refurbishment,

but where, in the case of section 372AP, the refurbishment expenditure or, in the case of section 372AR, the qualifying expenditure relates solely to the refurbishment of a facade, this paragraph shall not apply,

(e) in the case of a house the site of which is wholly within the site of a qualifying park and ride facility, the relevant local authority gives to the person constructing the house a certificate in writing stating that it is satisfied that the house or, in a case where the house is one of a number of houses in a single development, the development of which it is part complies with the requirements laid down in the guidelines in relation to the development of certain residential accommodation at a park and ride facility, and

(f) in so far as section 372AP is concerned, the house—

(i) where the eligible expenditure has been incurred on the construction of the house, without having been used is first let in its entirety under a qualifying lease,

(ii) where the eligible expenditure incurred is conversion expenditure in relation to the house, without having been used subsequent to the incurring of the expenditure on the conversion is first let in its entirety under a qualifying lease, and

(iii) where the eligible expenditure incurred is refurbishment expenditure in relation to the house, on the date of completion of the refurbishment to which the expenditure relates is let (or, if not let on that date, is, without having been used after that date, first let) in its entirety under a qualifying lease,

and thereafter throughout the remainder of the relevant period (except for reasonable periods of temporary disuse between the ending of one qualifying lease and the commencement of another such lease) continues to be let under such a lease.

(3) Subject to this section, a house is a special qualifying premises for the purposes of section 372AP where—

(a) the house is comprised in a special specified building,

(b) the house is used solely as a dwelling,

(c) on the date of completion of the refurbishment to which the refurbishment expenditure in relation to the house relates, the house is let (or, if not let on that date, the house is, without having been used after that date, first let) in its entirety under a qualifying lease and thereafter throughout the remainder of the relevant period (except for reasonable periods of temporary disuse between the ending of one qualifying lease and the commencement of another such lease) continues to be let under such a lease, and

(d) the house is not a house on which expenditure has been incurred which qualified, or on due claim being made would qualify, for relief under—

(i) section 372AP on the basis that the house is a qualifying premises, or

(ii) any other provision of this Part.

(4) A house is not a qualifying premises for the purposes of section 372AP or 372AR unless—

(a) where the house fronts on to a qualifying street or is comprised in a building or part of a building which fronts on to a qualifying street, or where its site is wholly within—

(i) a qualifying urban area, or

(ii) the site of a qualifying park and ride facility,

the total floor area of the house is not less than 38 square metres and not more than 125 square metres,

(b) where the site of the house is wholly within a qualifying rural area, the total floor area of the house is not less than 38 square metres and—

(i) in the case of section 372AP—

(I) not more than 140 square metres, if the eligible expenditure incurred was incurred on the construction of the house before 6 December 2000,

(II) not more than 150 square metres, if the eligible expenditure incurred on or in relation to the house was conversion expenditure or refurbishment expenditure incurred before 6 December 2000, or

(III) not more than 175 square metres if the eligible expenditure incurred on or in relation to that house was or is incurred on or after 6 December 2000,

and

(ii) in the case of section 372AR, not more than 210 square metres,

(c) where the site of the house is wholly within a qualifying town area, the total floor area of the house is not less than 38 square metres and—

(i) in the case of section 372AP—

(I) not more than 125 square metres, or

(II) not more than 150 square metres, if the eligible expenditure incurred on or in relation to the house is conversion expenditure or refurbishment expenditure incurred on or after 6 April 2001,

and

(ii) in the case of section 372AR—

(I) not more than 125 square metres, or

(II) not more than 210 square metres, if the qualifying expenditure incurred on or in relation to the house is incurred on or after 6 April 2001 on ^[2]>the refurbishment of the house^<[2][2]>the conversion or the refurbishment of the house^<[2],

and

(d) where the site of the house is wholly within a qualifying student accommodation area, the total floor area of the house complies with the requirements of the relevant guidelines.

(5) A house is not a qualifying premises or a special qualifying premises for the purposes of section 372AP if—

(a) it is occupied as a dwelling by any person connected with the person entitled to a deduction under that section in respect of the eligible expenditure incurred on or in relation to the house, and

(b) the terms of the qualifying lease in relation to the house are not such as might have been expected to be included in the lease if the negotiations for the lease had been at arm’s length.

(6) (a) A house—

(i) which fronts on to a qualifying street or is comprised in a building or part of a building which fronts on to a qualifying street, or

(ii) the site of which is wholly within a qualifying urban area or a qualifying town area,

is not a qualifying premises for the purposes of section 372AP or 372AR unless the house or, in a case where the house is one of a number of houses in a single development, the development of which it is a part complies with such guidelines as may from time to time be issued by the Minister, with the consent of the Minister for Finance, for the purposes of furthering the objectives of urban renewal.

(b) Without prejudice to the generality of paragraph (a), guidelines issued for the purposes of that paragraph may include provisions in relation to all or any one or more of the following—

(i) the design and the construction of, conversion into, or, as the case may be, refurbishment of, houses,

(ii) the total floor area and dimensions of rooms within houses, measured in such manner as may be determined by the Minister,

(iii) the provision of ancillary facilities and amenities in relation to houses, and

(iv) the balance to be achieved between houses of different types and sizes within a single development of 2 or more houses or within such a development and its general vicinity having regard to the housing existing or proposed in that vicinity.

(7) A house, the site of which is wholly within a qualifying rural area, is not a qualifying premises for the purposes of section 372AP unless throughout the period of any qualifying lease related to that house, the house is used as the sole or main residence of the lessee in relation to that qualifying lease.

(8) A house which fronts on to a qualifying street or is comprised in a building or part of a building which fronts on to a qualifying street is not a qualifying premises for the purposes of section 372AP or 372AR unless—

(a) the house is comprised in the upper floor or floors of an existing building or a replacement building, and

(b) the ground floor of such building is in use for commercial purposes or, where it is temporarily vacant, it is subsequently so used.

(9) A house, the site of which is wholly within a qualifying student accommodation area, is not a qualifying premises for the purposes of section 372AP unless throughout the relevant period it is used for letting to and occupation by students in accordance with the relevant guidelines.

^[3]>

(9A) A house, the site of which is wholly within a qualifying student accommodation area, is not a qualifying premises or a special qualifying premises for the purposes of section 372AP—

(a) (i) if any person, other than the person (in this subsection referred to as the “investor”) who incurred or, by virtue of subsection (8), (9) or (10) of that section, is treated as having incurred eligible expenditure on or in relation to the house, receives or is entitled to receive the rent, or any part of the rent, from the letting of the house during the relevant period in relation to the house, or

(ii) where two or more investors have incurred or, by virtue of subsection (8), (9) or (10) of that section, are treated as having incurred eligible expenditure on or in relation to the house, unless that part of the gross rent received or receivable from the letting of the house during the relevant period in relation to the house which is received or receivable by each investor bears the same proportion to that gross rent as the amount of the eligible expenditure which is incurred, or is so treated as having been incurred, on or in relation to the house by that investor bears to the total amount of the eligible expenditure which is incurred, or is so treated as having been incurred, on or in relation to the house by all such investors;

(b) where borrowed money is employed by an investor in the construction of, conversion into, refurbishment of, or, as the case may be, purchase of, the house, unless—

(i) that borrowed money is borrowed directly by the investor from a financial institution (within the meaning of section 906A),

(ii) the investor is personally responsible for the repayment of, the payment of interest on, and the provision of any security required in relation to, that borrowed money, and

(iii) there is no arrangement or agreement, whether in writing or otherwise and whether or not the person providing that borrowed money is aware of such agreement or arrangement, whereby any other person agrees to be responsible for any of the investor’s obligations referred to in subparagraph (ii);

(c) where management or letting fees payable to a person in relation to the letting of the house are claimed by the investor as a deduction under section 97(2) for any chargeable period (within the meaning of section 321) ending in the relevant period in relation to the house, unless—

(i) such fees are shown by the claimant to be bona fide fees which reflect the level and extent of the services rendered by the person, and

(ii) the aggregate amount of such fees for that chargeable period is not more than an amount which is equal to 15 per cent of the gross amount of the rent received or receivable by the investor from the letting of the house for that chargeable period.

(9B) Subject to subsection (9C), subsection (9A) applies—

(a) as respects eligible expenditure incurred on or in relation to a house on or after 18 July 2002, unless a binding contract for the construction of, conversion into or, as the case may be, refurbishment of the house was evidenced in writing before that date, and

(b) where subsection (9) or (10) of section 372AP applies, as respects expenditure incurred on the purchase of a house on or after 18 July 2002, unless a binding contract for the purchase of the house was evidenced in writing before that date.

(9C) Paragraphs (a) and (c) of subsection (9A) shall not apply as respects eligible expenditure incurred on or in relation to a house or, where subsection (9) or (10) of section 372AP applies, as respects expenditure incurred on the purchase of a house where, before 6 February 2003, the Revenue Commissioners have given an opinion in writing to the effect that the lease of the house between an investor and an educational institution referred to in the relevant guidelines, or a subsidiary (within the meaning of ^[6]>section 155 of the Companies Act 1963^<[6][6]>section 7 of the Companies Act 2014^<[6]) of such an institution, would be a qualifying lease.

^<[3]

(10) (a) A house is not a special qualifying premises for the purposes of section 372AP if the lessor has not complied with all the requirements of—

(i) the Housing (Standards for Rented Houses) Regulations 1993 (S.I. No. 147 of 1993),

(ii) the Housing (Rent Books) Regulations 1993 (S.I. No. 146 of 1993), and

^[4]>

(iii) the Housing (Registration of Rented Houses) Regulations 1996 (S.I. No. 30 of 1996), as amended by the Housing (Registration of Rented Houses) (Amendment) Regulations 2000 (S.I. No. 12 of 2000).

^<[4]

^[4]>

(iii) Part 7 of the Residential Tenancies Act 2004 in respect of all tenancies relating to that premises.

^<[4]

^[5]>

(aa) For the purposes of paragraph (a)(iii) a written communication from the Private Residential Tenancies Board to the chargeable person confirming the registration of a tenancy relating to a special qualifying premises shall be accepted as evidence that the registration requirement in respect of that tenancy (and that tenancy only) has been complied with.

^<[5]

(b) A house is not a special qualifying premises for the purposes of section 372AP unless the house or, in a case where the house is one of a number of houses in a single development, the development of which it is a part complies with such guidelines as may from time to time be issued by the Minister, with the consent of the Minister for Finance, in relation to the refurbishment of houses as special qualifying premises.

(c) Without prejudice to the generality of paragraph (b), guidelines issued for the purposes of that paragraph may include provisions in relation to refurbishment of houses and the provision of ancillary facilities and amenities in relation to houses.

(11) A house is not a qualifying premises for the purposes of section 372AP or 372AR, or a special qualifying premises for the purposes of section 372AP, unless any person authorised in writing by the Minister for the purposes of those sections is permitted to inspect the house at all reasonable times on production, if so requested by a person affected, of his or her authorisation.