Taxes Consolidation Act 1997 section 1036

Control over residents

Section 1036 allows Revenue to tax a non-resident person through an Irish resident where the close connection between them has been used to artificially reduce the resident's profits.

• Applies where a non-resident person carries on business with an Irish resident and exercises substantial control over that resident
• Revenue may intervene where the business arrangements produce no profits or less than ordinary profits for the resident
• The non-resident person becomes assessable and chargeable to income tax in the name of the resident person, as if the resident were the non-resident's agent
• Does not apply where the non-resident is an Irish citizen, an Irish firm or company, or a branch of such a person