787G Taxation of payments from a PRSA.

(1) Subject to subsections (2), (3) and (4)—

(a) the amount or value of any assets that a PRSA administrator makes available to, or pays to, a PRSA contributor or to any other person, including any annuity where the whole or part of the consideration for the grant of the annuity consisted of assets which, at the time of application of the said assets for the purchase of the annuity, were PRSA assets, ^[3]>shall^<[3][3]>shall, notwithstanding anything in section 18 or 19,^<[3] be treated as a payment to the PRSA contributor of emoluments to which Schedule E applies and, accordingly, the provisions of Chapter 4 of Part 42 shall apply to any such payment or amount treated as a payment, and

(b) the PRSA administrator shall deduct tax from the assets at the higher rate for the year of assessment in which the assets are made available unless the PRSA administrator has received from the Revenue Commissioners ^[16]>a certificate of tax credits and standard rate cut-off point or a tax deduction card^<[16][16]>a revenue payroll notification (within the meaning of section 983)^<[16] for that year in respect of the PRSA contributor.

(2) A PRSA administrator shall be liable to pay to the Collector-General the income tax which the PRSA administrator is required to deduct from any assets of a PRSA by virtue of this section and the individual beneficially entitled to assets held in a PRSA, including the personal representatives of a deceased individual who was so entitled prior to that individual’s death, shall allow such deduction; but where there are no funds or insufficient funds available out of which the PRSA administrator may satisfy the tax required to be deducted, the amount of such tax for which there are insufficient funds available shall be a debt due to the PRSA administrator from the individual beneficially entitled to the assets in the PRSA or from the estate of the deceased individual, as the case may be.

(3) Subsection (1) shall not apply where the assets made available from a PRSA are—

(a) an amount made available, at the time assets of the PRSA are first made available to the PRSA contributor, by way of lump sum not exceeding 25 per cent of the value of the assets in the PRSA at that time or, in the case of a PRSA to which additional voluntary PRSA contributions were made, an amount not exceeding the amount that may be paid by way of lump sum in accordance with section 772(3)(f) in conjunction with the rules of the scheme,

(b) an amount transferred to an approved retirement fund or to an approved minimum retirement fund in accordance with section 787H,

(c) an amount made available to the personal representatives of the PRSA contributor in accordance with section 787K(1)(c)(iii),

(d) a transfer of assets from a PRSA to another PRSA, an approved scheme or a statutory scheme where—

(i) in relation to that other PRSA, approved scheme or statutory scheme the contributor to the first-mentioned PRSA is either a contributor or a member as the case may be, and

(ii) the first-mentioned PRSA is not a PRSA in respect of which a lump sum to which paragraph (a) applies has been paid ^[6]>or made available.^<[6][6]>or made available,^<[6]

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(e) an amount referred to in ^[10]>section 787K(2A).^<[10][10]>section 787K(2A),^<[10]

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(f) an amount made available from the PRSA, where the PRSA is a vested PRSA (within the meaning of section 790D(1)), for the purpose of reimbursing, in whole or in part, an administrator (within the meaning of section 787O(1)) in respect of the payment by that administrator of income tax charged on a chargeable excess under the provisions of Chapter 2C of this Part in respect of the PRSA contributor.

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(f) an amount made available from a PRSA, where the PRSA is a vested PRSA (within the meaning of section 790D(1)), for the purpose of—

(i) reimbursing, in whole or in part, an administrator (within the meaning of section 787O(1)) in respect of the payment by that administrator of income tax charged on a chargeable excess in respect of the PRSA contributor, or

(ii) payment by the PRSA administrator of the amount, or part of the amount, of the appropriate share (within the meaning of section 787R(2A)(b)) of a non-member (within the meaning of section 787O(1)) (being the PRSA contributor) of income tax charged on a chargeable excess,

under the provisions of Chapter 2C of this Part.

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(4) For the purposes of this Chapter, the circumstances in which a PRSA administrator shall be treated as making assets of a PRSA available to an individual shall include—

(a) the making of a relevant payment by the PRSA administrator,

(b) any circumstances whereby assets cease to be assets of the PRSA, and

(c) any circumstances whereby assets cease to be beneficially owned by the contributor to the PRSA.

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(4A) Without prejudice to the generality of subsection (4), the circumstances in which a PRSA administrator shall, for the purposes of this Chapter, be treated as making assets of a PRSA ^[13]>(including a vested PRSA within the meaning of section 790D(1))^<[13] available to an individual shall include the use of those assets in connection with any transaction which would, if the assets were assets of an approved retirement fund, be regarded under section 784A as giving rise to a distribution for the purposes of that section and the amount to be regarded as made available shall be calculated in accordance with that section.

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(4B) For the purposes of subsection (6), the administrator of a vested PRSA of a kind referred to in paragraph (c) of the definition of ‘vested PRSA’ in section 790D(1) shall be treated as making the assets of the PRSA available to the PRSA contributor on the date the contributor attains the age of 75 years or, where the contributor attained the age of 75 years prior to the date of passing of the Finance Act 2016, on the date of passing of that Act.

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(5) At any time when a PRSA administrator or a PRSA provider, as the case may be—

(a) is not resident in the State, or

(b) is not trading in the State through a fixed place of business,

the PRSA provider shall ensure that there is a person resident in the State and appointed by the PRSA provider to be responsible for the discharge of all duties and obligations relating to Personal Retirement Savings Accounts which are imposed on the PRSA administrator or the PRSA provider by virtue of this Chapter and shall notify the Revenue Commissioners of the identity of that person and the fact of that person’s appointment.

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(5) At any time when a PRSA administrator—

(a) is not resident in the State, or

(b) is not trading in the State through a fixed place of business,

the PRSA administrator shall, in relation to the discharge of all duties and obligations relating to Personal Retirement Savings Accounts which are imposed on the PRSA administrator ^[8]>by virtue of this Chapter^<[8][8]>by virtue of this Chapter^[9]> and Chapter 2C^<[9][9]>, Chapter 2C and section 125B of the Stamp Duties Consolidation Act 1999^<[9]<[8]—

(i) enter into a contract with the Revenue Commissioners enforceable in a Member State of the European Communities in relation to the discharge of those duties and obligations and in entering into such a contract the parties to the contract shall acknowledge and agree in writing that—

(I) it shall be governed solely by the laws of the State, and

(II) that the courts of the State shall have exclusive jurisdiction in determining any dispute arising under it,

or

(ii) ensure that there is a person resident in the State, appointed by the PRSA administrator, who will be responsible for the discharge of all of those duties and obligations and shall notify the Revenue Commissioners of the appointment of that person and the identity of that person.

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(5A) The Revenue Commissioners may by notice in writing require a PRSA administrator, a PRSA provider or the person appointed under subsection (5)(ii), as the case may be, to provide, within 30 days of the date of such notice, such information and particulars as may be specified in the notice as they may reasonably require for the purposes of this Chapter, and, without prejudice to the generality of the foregoing, such information and particulars may include—

(a) the name, address and PPS Number of the PRSA contributor,

(b) the name, address and PPS Number of any person to whom any payments have been made, or to whom any assets have been made available, by the PRSA administrator or the PRSA provider, and

(c) the amount of any payments and the value of any assets referred to in paragraph (b).

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(6) Notwithstanding subsection (1), ^[15]>where assets of a PRSA are treated under subsection (4)^<[15][15]>where assets of a PRSA are treated under subsection (4) or subsection (4B)^<[15] as having been made available to an individual, the provisions of section 784A(4) shall apply as if assets of that PRSA at the time of death of that individual were assets of an approved retirement fund.