Section 123 Cash cards
|
(1) In this section-
["accounting period" has the same meaning as it has for the purposes of section 27 of the Taxes Consolidation Act 1997, but where such accounting period commences after 31 December 2004 and ends after 31 December 2005, it shall be deemed, for the purposes of this section, to be an accounting period ending on 31 December 2005;]1
["bank" includes-
(a) a person who holds a licence granted under section 9 of the Central Bank Act 1971, and
(b) a credit institution (within the meaning of the European Communities (Licensing and Supervision of Credit Institutions) Regulations 1992 (S.I. No. 395 of 1992)) and a financial institution within that meaning;]2
"building society" means a building society which stands incorporated, or deemed by section 124(2) of the Building Societies Act, 1989, to be incorporated, under that Act and includes a company registered under section 106 of that Act;
["card account" means an account maintained by a promoter to which amounts of cash obtained by a person by means of a cash card are charged or to which amounts in respect of goods, services or cash obtained by a person by means of a combined card are charged;
"cash card" means a card, not being a combined card, issued by a promoter to a person having an address in the State by means of which cash may be obtained by the person from an automated teller machine;]3
["combined card" means a cash card which also contains the functions of a debit card within the meaning assigned to it by section 123A;]4
["due date", in relation to an accounting period, means-
(a) in the case of any year prior to the year 2005, the date of the end of the accounting period ending in that year, and
(b) in the case of the year 2005, the date of the end of the accounting period or each of them, if there is more than one, ending in that year;]5
"promoter" means a bank or building society.
Amendments
1 Definition of "accounting period" substituted by Finance Act 2005 section 128(1)(a)(i)(I).
2 Definition of "bank" substituted by Finance Act 2005 section 128(1)(a)(i)(II).
3 Definitions of "card account" and "cash card" substituted by Finance Act 2003 section 140(1)(a)(i)(II) as respects cards valid at any time after 4 December 2002 which are included in any statement which falls to be delivered by a promoter under section 123 after that date.
4 Definition of "combined card" inserted by Finance Act 2003 section 140(1)(a)(i)(III) as respects cards valid at any time after 4 December 2002 which are included in any statement which falls to be delivered by a promoter under section 123 after that date.
5 Definition of "due date" substituted by Finance Act 2005 section 128(1)(a)(i)(iii).
In what manner is a levy imposed on cash cards?
(1) This section imposes an annual levy in respect of each cash card or combined card issued by a promoter, i.e., a bank or building society, in respect of a card account. A cash card is a card used to obtain cash from an automated teller machine. A ...
(2) A promoter shall, in each year, within one month of the due date, in relation to each accounting period, deliver to the Commissioners a statement in writing showing the number of cash cards and combined cards issued at any time by the promoter and which are valid at any time during the accounting period.
(3) Notwithstanding subsection (2)-
(a) if the [cash card or combined card]1 is not used at any time during the accounting periods referred to in subsection (2),
(b) if the [cash card or combined card]1 is issued in respect of a card account-
(i) which is a deposit account, and
(ii) the average of the daily positive balances in the account does not exceed [€12.70]2 in any accounting period referred to in subsection (2), or
[(c) if the cash card is a replacement for a cash card, or a combined card is a replacement for a combined card, which is already included in the relevant statement,]3
then it shall not be included in the statement relating to such period.
Amendments
1 Substituted by Finance Act 2003 section 140(1)(a)(iii) as respects cards valid at any time after 4 December 2002 which are included in any statement which falls to be delivered by a promoter under section 123 after that date.
2 Substituted by Finance Act 2001 section 240(2) and Schedule 5 as respects any statement which falls to be delivered by a promoter on or after 1 January 2002.
3 Para (c) inserted by Finance Act 2003 section 140(1)(a)(iv) as respects cards valid at any time after 4 December 2002 which are included in any statement which falls to be delivered by a promoter under section 123 after that date.
(4) Subject to subsection (4A), there shall be charged on every statement delivered in pursuance of subsection (2)-
(a) a stamp duty at the rate of €10 or, where the statement is in respect of an accounting period deemed under this section to end on 31 December 2005, a rate calculated by multiplying one-twelfth of €10 by the number of months in the accounting period, in respect of each cash card, and
(b) a stamp duty at the rate of €20 or, where the statement is in respect of an accounting period deemed under this section to end on 31 December 2005, a rate calculated by multiplying one-twelfth of €20 by the number of months in the accounting period, in respect of each combined card,
included in the number of cash cards and combined cards shown in the statement.
Amendments
Subs (4) substituted by Finance Act 2005 section 128(1)(a)(iii).
What rates of stamp duty apply to cash cards and combination cards?
(4) Stamp duty is chargeable at €10 for each cash card, and €20 for each combined card, included in the statement mentioned in (2). There is a proportionate reduction for an accounting period deemed to end on 31 December 2005 (see (1)).
(4A) Notwithstanding subsection (4)-
(a) in a case to which subsection (4)(a) applies, the rate calculated by multiplying one-twelfth of €10 by the number of months in an accounting period shall be-
(i) €2.50, where there are 3 months in the accounting period, and
(ii) €7.50, where there are 9 months in the accounting period,
and
(b) in a case to which subsection (4)(b) applies, the rate calculated by multiplying one-twelfth of €20 by the number of months in an accounting period shall be-
(i) €5, where there are 3 months in the accounting period, and
(ii) €15, where there are 9 months in the accounting period.
Amendments
Subs (4A) inserted by Finance Act 2005 section 128(1)(a)(iii).
(5) The duty charged by subsection (4) on a statement delivered by a promoter pursuant to subsection (2) shall be paid by the promoter on delivery of the statement.
(6) There shall be furnished to the Commissioners by a promoter such particulars as the Commissioners may deem necessary in relation to any statement required by this section to be delivered by the promoter.
(7) In the case of failure by a promoter to deliver any statement required by subsection (2) within the time provided for in that subsection or of failure to pay the duty chargeable on any such statement on the delivery of the statement, the promoter shall be liable to pay, ...1 in addition to the duty, [interest on the duty, calculated in accordance with section 159D]2, from the date to which the statement relates (in this subsection referred to as the "due date") to the date on which the duty is paid and also, by means of [penalty]3, a sum of [€380]4 for each day the duty remains unpaid after the expiration of one month from the due date ...5.
Amendments
1 Deleted by Finance (No. 2) Act 2008 section 98 and Schedule 5 Part 5 Chapter 2 para 7(r)(i) from 24 December 2008 and to the extent that Chapter 3A applies to penalties incurred under the Stamp Duties Consolidation Act 1999 before 24 December 2008 which by 24 December 2008 have not been paid, it shall not apply to such penalties which are in the form of interest accrued under any provisions of the act.
2 Substituted by Finance Act 2005 section 145(3) and Schedule 5 Part 2.
3 Substituted by Finance (No. 2) Act 2008 section 98 and Schedule 5 Part 5 Chapter 2 para 7(r)(ii) from 24 December 2008 and to the extent that Chapter 3A applies to penalties incurred under the Stamp Duties Consolidation Act 1999 before 24 December 2008 which by 24 December 2008 have not been paid, it shall not apply to such penalties which are in the form of interest accrued under any provisions of the act.
4 Substituted by Finance Act 2001 section 240(2) and Schedule 5 as respects any statement which falls to be delivered by a promoter on or after 1 January 2002.
5 Repealed by Finance (No. 2) Act 2008 section 97 and Schedule 4 as respects any tax that becomes due and payable on or after 1 March 2009.
What interest or penalty applies for failure to meet pay or file obligations?
(7) A promoter who does not file the statement or pay the duty within one month of the due date must pay penalty interest at the rate of 0.0219% for each day or part of a day the duty remains unpaid after the due date....
(8) The delivery of any statement required by subsection (2) may be enforced by the Commissioners under section 47 of the Succession Duty Act, 1853, in all respects as if such statement were such account as is mentioned in that section and the failure to deliver such statement were such default as is mentioned in that section.
(9) A promoter shall be entitled to charge to the card account the amount of stamp duty payable in respect of the cash card by virtue of this section and may apply the terms and conditions governing that account to interest on that amount.
(10) An account, charge card, company charge card or supplementary card within the meaning, in each case, assigned to it by section 124 and which attracts the payment of the stamp duty payable by virtue of that section shall not attract the payment of the stamp duty payable by virtue of this section.
(11) Where a promoter changes its accounting period and, as a result, stamp duty under this section would not be chargeable or payable in a year (in this section referred to as "the relevant year"), then the following provisions shall apply:
(a) duty shall be chargeable and payable in the relevant year as if the accounting period had not been changed,
(b) duty shall also be chargeable and payable within one month of the date of the end of the accounting period ending in the relevant year, and
(c) the duty chargeable and payable by virtue of paragraph (b) shall, subject to subsection (3), be chargeable and payable in respect of [cash cards and combined cards]1 issued at any time by the promoter and which are valid at any time during the period from the due date as determined by paragraph (a) to the due date as determined by paragraph (b).
Amendments
1 Substituted by Finance Act 2003 section 140(1)(a)(ii) as respects cards valid at any time after 4 December 2002 which are included in any statement which falls to be delivered by a promoter under section 123 after that date.
(12) This section does not apply to any statement that falls to be delivered by a promoter in respect of a due date falling after 31 December 2005.
Amendments
Subs (12) inserted by Finance Act 2005 section 125(1)(a)(iv).
