46A Expression of doubt

Summary

This section provides for an expression of doubt facility on the gift or inheritance tax return form or on the discretionary trust tax return form.

An expression of doubt enables a taxpayer to express doubt in relation to any item on the return form which affects the quantum of tax which they are due to pay in respect of that return. This facility is also available to taxpayers in relation to the direct taxes and value added tax.

The section came into effect by way of Ministerial Order on 1 October 2003.

Details

(1) A person in doubt as to the correct application of the law or the treatment, for tax purposes, of any matter to be included in a return or an additional return may bring this matter to the attention of the Revenue Commissioners by expressing the doubt on the return or additional return. In addition, a person expressing doubt on any matter will be treated as having made a full and true disclosure with regard to the matter about which there is doubt.

(2) A person expressing doubt in relation to a particular matter will not be penalised with interest under the interest provisions contained in section 51(2) where it transpires that additional tax is due, on condition that that additional tax is paid within 30 days of the date on which the Revenue Commissioners notify the taxpayer of their final decision on the matter.

(3) Even though an expression of doubt is made, interest will be payable on any additional tax where the Revenue Commissioners do not accept as genuine the expression of doubt. This will apply where the Revenue Commissioners believe that the person expressing the doubt was acting with a view to tax evasion or avoidance.

(4) Where the Revenue Commissioners do not accept an expression of doubt as genuine, they will notify the person who is accountable for the payment of tax accordingly within 30 days of receiving the return or additional return upon which the expression of doubt has been made. That person must account for any additional tax and interest on that tax.

(5) The person who is accountable for the payment of tax has a right of appeal against a decision of the Revenue Commissioners that an expression of doubt is not genuine.

Relevant Date: Finance Act 2015