Taxes Consolidation Act 1997 section 229

Harbour authorities and port companies

Section 229 provides an exemption from Schedule D tax for profits earned by harbour authorities, port companies and other companies controlling harbours from the provision of normal harbour facilities, and sets out transitional phasing arrangements for the withdrawal of this exemption.

• Harbour authorities, port companies established under the Harbours Act 1996, and other companies controlling harbours and providing normal harbour facilities are "relevant bodies" within the scope of this section.
• All relevant bodies were exempt from Schedule D tax on profits from providing harbour facilities for vessels, goods and passengers for the period 1 January 1997 to 31 December 1998, with harbour authorities that are not companies retaining an indefinite exemption.
• From 1 January 1999, port companies became taxable on a phased basis: taxable profits were reduced by two-thirds in 1999 and by one-third in 2000, with full taxation applying from 2001 onwards.
• The exemption applies only to profits from the provision of normal harbour facilities; income from other activities carried on by these bodies remains fully taxable in the normal way.