848ABA Withdrawal of tax credits.

(1) In this section—

“requested amount” has the meaning assigned to it in subsection (2);

“retained amount”, in relation to a requested amount and subject to subsection (4), means the amount determined by the formula—

R	×	C
		S + C

where—

R is the requested amount,

C is the aggregate of the tax credit and the additional tax credit, in relation to the pension subscription made by the individual, and

S is the amount of the pension subscription;

“vesting day”, in relation to an individual’s pension product, means the day on which an administrator, in accordance with section 848AA, treats tax credits as an additional voluntary contribution, a PRSA contribution, or as the case may be, a premium under an annuity contract, made by the individual.

(2) Where the vesting day in relation to an individual’s pension product is on or after 29 September 2006, and, within a period of 1 year commencing on the vesting day, the individual requires the administrator to pay an amount (in this section referred to as a “requested amount”) to him or her—

(a) where payment is to be made on or after 10 April 2007, the administrator shall deduct from the requested amount, the retained amount in relation to the requested amount, and

(b) where payment is made before 10 April 2007, the individual shall be assessed to income tax for the year of assessment 2007 in such an amount as would ensure that the individual is liable to pay to the Revenue Commissioners an amount equal to the retained amount, in relation to the requested amount.

(3) Where in accordance with subsection (2)(a) an administrator deducts a retained amount, the administrator is liable to pay that amount to the Revenue Commissioners in accordance with arrangements determined by them.

(4) The retained amount, in relation to any part of a requested amount or the aggregate of requested amounts that exceeds the aggregate of the tax credit, the additional tax credit and the pension subscription, shall be a nil amount.

(5) An administrator shall, when requested to do so by the Revenue Commissioners, furnish to them in respect of each individual who required the administrator to pay a requested amount—

(a) the name of the individual,

(b) the address of the individual,

(c) the PPS Number of the individual,

(d) the amount of tax credit in relation to the pension subscription made by the individual, that was claimed and paid,

(e) the amount of additional tax credit that was claimed and paid,

(f) the requested amount,

(g) the amount deducted by the administrator from the requested amount,

(h) the date on which payment was made to the individual, and

(i) such other information as the Revenue Commissioners may require.