(1) The amount on which tax is chargeable by virtue of [section 2(a) or (c)]¹ shall, subject to this section, be the total consideration which the person supplying goods or services becomes entitled to receive in respect of or in relation to such supply of goods or services, including all taxes, commissions, costs and charges whatsoever, but not including value-added tax chargeable in respect of the supply.

(1A) The amount on which tax is chargeable on the intra-Community acquisition of goods by virtue of [section 2(d) or (e)]¹ shall, subject to this section, be the total consideration, including all taxes, commissions, costs and charges whatsoever, but not including value-added tax chargeable, in respect of that acquisition.

(2) If the consideration referred to in [subsections (1) or (1A)]¹ does not consist of or does not consist wholly of an amount of money, the amount on which tax is chargeable shall be the total amount of money which might reasonably be expected to be charged if the consideration consisted entirely of an amount of money equal to the open market price:

...²

(3) ...¹

(b) If the consideration actually received in relation to the supply of any goods or services exceeds the amount which the person supplying the goods or services was entitled to receive, the amount on which tax is chargeable shall be the amount actually received, excluding tax chargeable in respect of the supply.

(c) If, in a case not coming within [subsection (3A)]², the consideration actually received in relation to the supply of any goods or services is less than the amount on which tax is chargeable or no consideration is actually received, such relief may be given by repayment or otherwise in respect of the deficiency as may be provided by regulations.

[Provided that in any event this paragraph shall not apply in the case of the letting of immovable goods which is a taxable supply of goods in accordance with [section 4C]³.]⁴

[(d) If, following the issue of an invoice by [an accountable person]⁵ in respect of a supply of goods or services, the person who issued the invoice allows a reduction or discount in the amount of the consideration due in respect of that supply, the relief referred to in paragraph (c) shall not be given until the person who issued the invoice issues the credit note required in accordance with the provisions of section 17(3)(b) in respect of that reduction or discount.]⁶

(3A)(a) The Revenue Commissioners may, where they consider it necessary or appropriate to do so to ensure the correct collection of the tax, make a determination that the amount on which tax is chargeable on a supply of goods or services is the open market value of that supply, if they are satisfied that the actual consideration in relation to that supply is-

(i) lower than the open market value of that supply where the recipient of that supply has no entitlement to deduct tax under section 12, or is not entitled to deduct all of the tax chargeable on that supply, or is a flat-rate farmer,

(ii) lower than the open market value of that supply, being an exempted activity, where the supplier engages in the course or furtherance of business in non-deductible supplies or activities as defined in section 12(4)(a), or is a flat-rate farmer, or

(iii) higher than the open market value where the supplier engages in the course or furtherance of business in non-deductible supplies or activities as defined in section 12(4)(a), or is a flat-rate farmer,

and that-

(I) the supplier and the recipient of that supply are persons connected by financial or legal ties, being persons who are party to any agreement, understanding, promise or undertaking whether express or implied and whether or not enforceable or intended to be enforceable by legal proceedings, or

(II) either the supplier or the recipient of that supply exercises control over the other and for this purpose "control" has the meaning assigned to it by section 8(3B).

(b) A value determined in accordance with this subsection shall be deemed to be the true value of the supply to which it applies, for all the purposes of this Act.

(c) The Revenue Commissioners may make regulations as seem to them to be necessary for the purposes of this subsection.

(d) A determination under this section may be made by an inspector of taxes or such other officer as the Revenue Commissioners may authorise for the purpose.

(4) The amount on which tax is chargeable in relation to a supply of goods referred to in paragraph (d)(ii), (e) or (f) of section 3(1) or a supply of services by virtue of regulations made [for the purposes of paragraph (a) or (b) of section 5(3)]¹ shall be the cost, excluding tax, of the goods to [the person supplying or acquiring the goods]² or the cost, excluding tax, of supplying the services, as the case may be[, and the amount on which tax is chargeable in relation to a supply of services by virtue of regulations made for the purposes of section 5(3)(c) shall be the open market price of the services supplied]³.

[Provided that where the supply in question is a supply of immovable goods, (hereafter referred to in this proviso as "appropriation"), the cost to the person making that appropriation shall include an amount equal to the amount on which tax was chargeable on the supply of those goods to that person, being the last supply of those goods to that person which preceded the appropriation.]⁴

(4A) Where goods chargeable with a duty of excise[, other than alcohol products within the meaning of section 3B,]¹ are supplied while warehoused, and before payment of the duty, to an unregistered person, the amount on which tax is chargeable in respect of the supply shall be increased by an amount equal to the amount of duty that would be payable in relation to the goods if the duty had become due at the time of the supply.

(4B) The amount on which tax is chargeable in relation to the supply of goods referred to in section 3(1)(g) shall be the [cost of the goods to the person making the supply or, in the absence of such a cost, the cost price of similar goods in the State, and where an intra-Community acquisition occurs in the State following a supply of goods in another Member State which, if such supply was carried out in similar circumstances in the State would be a supply of goods in accordance with section 3(1)(g), then the amount on which tax is chargeable in respect of that intra-Community acquisition shall be the cost to the person making the supply in that Member State or, in the absence of a cost to that person, the cost price of similar goods in that other Member State]¹.

(4C) In the case of a supply of goods of the type referred to in section 3(1)(b), where, as part of an agreement of the kind referred to in that provision, the supplier of the goods is also supplying financial services of the kind specified in [paragraph 6(i)(e) of Schedule 1]¹ in respect of those goods, the amount on which tax is chargeable in respect of the supply of the goods in question shall be either-

(a) the open market price of the goods, or

(b) the amount of the total consideration as specified in subsection (1) which the person supplying the goods becomes entitled to receive in respect of or in relation to such supply,

whichever is the greater.

(4D)(a) The amount on which tax is chargeable in relation to a supply of services referred to in section 5(3B) in any taxable period shall be an amount equal to one sixth of one twentieth of the cost of the immovable goods used to provide those services, being—

(i) the amount on which tax was chargeable to the person making the supply in respect of that person’s acquisition or development of the immovable goods referred to in section 5(3B), and

(ii) in the case where section 3(5)(b)(iii) applied to the acquisition of the immovable goods, the amount on which tax would have been chargeable but for the application of that section,

adjusted to correctly reflect the proportion of the use of the goods in that period.

(b) The Revenue Commissioners may make regulations specifying methods which may be used—

(i) to identify the proportion which correctly reflects the extent to which immovable goods are used for the purposes referred to in section 5(3B), and

(ii) to calculate the relevant taxable amount or amounts.

(5) The amount on which tax is chargeable in relation to services for the tax chargeable on which the recipient is, by virtue of section 8(2), liable shall be the consideration for which the services were in fact supplied to him.

(5A) Where,

(a) an intra-Community acquisition is deemed to have taken place in the territory of another Member State in accordance with section 3A(2)(a),

(b) the intra-Community acquisition has been subject to value-added tax, referred to in [Council Directive No. 2006/112/EC of 28 November 2006]¹, in that other Member State, and

(c) the intra-Community acquisition is also deemed to have taken place in the State, in accordance with section 3A(2)(b),

then the consideration for the intra-Community acquisition to which paragraph (c) relates shall be reduced to nil.

(6) Subject to subsection (6A), where a right to receive goods or services for the redeemable value of any coupon, stamp, telephone card, token or voucher is granted for a consideration, the consideration shall be disregarded for the purposes of this Act except to the extent (if any) that it exceeds that redeemable value.

(6A) Notwithstanding subsection (6), where—

(a) a supplier—

(i) supplies a coupon, stamp, telephone card, token or voucher, which has a redeemable value, to a person who acquires it in the course or furtherance of business with a view to resale, and

(ii) promises to subsequently accept that coupon, stamp, telephone card, token or voucher at its redeemable value in full or part payment of the price of goods or services,

and

(b) a person who acquires that coupon, stamp, telephone card, token or voucher whether from the supplier referred to in paragraph (a)or from any other person in the course or furtherance of business, supplies it for consideration in the course or furtherance of business,

then in the case of each such supply the consideration received shall not be disregarded for the purposes of this Act and when such coupon, stamp, telephone card, token or voucher is used in payment or part payment of the price of goods or services, its redeemable value shall, for the purposes of section 10(2), be disregarded.

(7) Provision may be made by regulations for the purpose of determining the amount on which tax is chargeable in relation to one or more of the following:

...¹

[(b) supplies of coupons, stamps, tokens or vouchers when supplied as things in action (not being coupons, stamps, tokens or vouchers specified in subsection (6)),

(c) subject to subsection (6A) or (7A), supplies of goods or services wholly or partly in exchange for coupons, stamps, telephone cards, tokens or vouchers of a kind specified in subsection (6) or paragraph (b),]²

...³

and such regulations may, in the case of supplies referred to in paragraph (b), provide that the amount on which tax is chargeable shall be nil.

(7A)(a) Where a supplier sells a voucher to a buyer at a discount and promises to subsequently accept that voucher at its face value in full or part payment of the price of goods purchased by a customer who was not the buyer of the voucher, and who does not normally know the actual price at which the voucher was sold by the supplier, the consideration represented by the voucher shall, subject to regulations, if any, be the sum actually received by the supplier upon the sale of the voucher.

(b) Paragraph (a) is for the purpose of giving further effect to [Article 73 of Council Directive No. 2006/112/EC of 28 November 2006]¹, and shall be construed accordingly.

(8)(a) Where the value of movable goods (not being goods of a kind specified in [paragraph 8 of Schedule 2]¹) provided under an agreement for the supply of services exceeds two-thirds of the total consideration under the agreement for the provision of those goods and the supply of the services, other than transport services in relation to them, the consideration shall be deemed to be referable solely to the supply of the goods and tax shall be charged at the appropriate rate or rates specified in section 11 on the basis of any apportionment of the total consideration made in accordance with paragraph (b).

(b) Where goods of different kinds are provided under an agreement of the kind referred to in paragraph (a), the amount of the consideration referable to the supply of goods of each kind shall be ascertained for the purposes of that paragraph by apportioning the total consideration in proportion to the value of the goods of each kind provided.

(c) This subsection shall also apply to an agreement for the supply of immovable goods and, accordingly, the references in paragraphs (a) and (b) to an agreement for the supply of services shall be deemed to include a reference to such an agreement.

[(d) This subsection does not apply in respect of a supply of services to which section 8(1B) applies.]²

(9)(a) On the supply of immovable goods and on the supply of services consisting of the development of immovable goods, the value of any interest in the goods disposed of in connection with the supply shall be included in the consideration.

(b) The value of any interest in immovable goods shall be the open market price of such interest.

[Provided that where a surrender or an assignment of an interest in immovable goods is a supply of immovable goods which is chargeable to tax, the open market price of such interest shall be determined as if the person who surrendered or assigned that interest were disposing of an interest in those goods which that person had created for the period between the date of the surrender or assignment and the date on which that surrendered or assigned interest would, but for its surrender or assignment, have expired.]¹

[(ba) Subsections (a) and (b) apply in respect of transactions which take place prior to 1 July 2008.]²

[(c) Where the Revenue Commissioners wish to ascertain the open market [value]³ of an interest in immovable goods, they may authorise a person to inspect the immovable goods and to report to them the open market [value]³ of such interest in those goods for the purposes of this Act, and a person having custody or possession of those goods shall permit the person so authorised to inspect the goods at such reasonable times as the Revenue Commissioners consider necessary.

(d) Where the Revenue Commissioners require a valuation to be made by a person named by them, the costs of such valuation shall be defrayed by the Commissioners.]⁴

(9A) In relation to the tax chargeable by virtue of [section 2 (paragraph (b) excepted)]¹, where an amount is expressed in a currency other than the currency of the State the exchange rate to be used shall be-

(a) unless paragraph (b) applies, the latest selling rate recorded by the Central Bank of Ireland for the currency in question at the time the tax becomes due,

(b) where there is an agreement with the Revenue Commissioners for a method to be used in determining the exchange rate, the exchange rate obtained using the said method:

Provided that where paragraph (b) applies the method agreed in accordance with that paragraph shall be applied for all transactions where an amount is expressed in a currency other than that of the State until the agreement to use such method is withdrawn by the Revenue Commissioners.

(10) In this section-

"interest", in relation to immovable goods, and "disposal" in relation to any such interest, shall be construed in accordance with section 4(1), provided that for the purposes of determining the open market price of a surrendered or assigned interest in accordance with the proviso to paragraph (b) of subsection (9), an interest in immovable goods shall also mean an estate or interest which, when it was created, was for a period equal to the period referred to in that proviso, regardless of the duration of that period;

"the open market price"-

(a) in relation to the value of an interest in immovable goods which is not a freehold interest, means the price, excluding tax, which the right to receive an unencumbered rent in respect of those goods for the period of the interest would fetch on the open market at the time that that interest is disposed of, and

(b) in relation to the supply of any other goods or services or the intra-Community acquisition of goods, means the price, excluding tax, which the goods might reasonably be expected to fetch or which might reasonably be expected to be charged for the services if sold in the open market at the time of the event in question;

["open market value", in relation to a supply of goods or services, means the total consideration excluding tax that a customer, at a marketing stage which is the same as the stage at which the supply of the goods or services takes place, would reasonably be expected to pay to a supplier at arm’s length under conditions of fair competition for a comparable supply of such goods or services; but if there is no such comparable supply of goods or services then"open market value" means-

(a) in respect of a supply of goods, an amount that is not less than the purchase price of the goods or of similar goods or, in the absence of a purchase price, the cost price, determined at the time of supply,

(b) in respect of a supply of services, an amount that is not less than the full cost to the supplier of providing the service;]¹

["redeemable value" means the amount stated on a coupon, stamp, telephone card, token or voucher or, where an amount is not so stated, the value expressed in terms of money for which a coupon, stamp, telephone card, token or voucher can be used as consideration (or part consideration) for a supply of goods or services;]²

"unencumbered rent", for the purposes of valuing an interest in immovable goods, means the rent at which an interest would be let, if that interest was let on the open market free of restrictive conditions.