Taxes Consolidation Act 1997 section 1040

Application of sections 1034 to 1039 for purposes of corporation tax

Section 1040 extends the income tax rules for taxing non-resident persons through Irish agents and branches to corporation tax chargeable on non-resident companies.

• A non-resident company trading in the State is assessed to corporation tax through its local branch, agent, or manager, and is taxable on the profits arising through or from that presence.
• Where a non-resident company sells goods to a closely connected resident at artificially high prices to reduce the resident's taxable profits, Revenue may treat the resident as the non-resident's agent and tax accordingly.
• If the inspector cannot determine the true profits of a non-resident company trading through a resident, tax may be charged on a percentage of the turnover done through that resident.
• A non-resident company carrying on business in the State solely through an independent broker or general commission agent is not chargeable to tax in that agent's name.