Taxes Consolidation Act 1997 section 1008A

Medical practitioners operating in partnership

Section 1008A allows individual medical practitioners who contract with the HSE to provide certain medical services through a partnership to treat that income as partnership income for tax purposes, where a joint election is made, and to claim any Professional Services Withholding Tax (PSWT) credit through the partnership.

• A "medical partnership" must consist entirely of individual medical practitioners governed by a written partnership agreement — corporates and employees are excluded
• The partnership and a partner who is an HSE contract holder may jointly elect to treat the proportion of that partner's HSE income relating to services provided by partners or employees of the partnership as partnership income
• Once an election is made, relevant income, associated expenses, and PSWT credits are all treated as belonging to the partnership rather than to the individual contract holder
• Both the partnership return (Form 1 Firms) and the individual provider's return (Form 11) must include details of the election for each relevant year of assessment