Taxes Consolidation Act 1997 section 697K

General exclusion of investment income

Section 697K excludes investment income from being treated as "relevant shipping income" for the purposes of the tonnage tax regime.

• Income from investments is not relevant shipping income for tonnage tax purposes, where "income from investments" means income chargeable under Case III, IV or V of Schedule D, or under Schedule F.
• To the extent that an activity gives rise to investment income, it is not regarded as part of a company's tonnage tax activities.
• The exclusion does not apply to income that qualifies as relevant shipping income under section 697H, i.e. distributions received from overseas shipping companies.
• The exclusion also does not apply to income from activities incidental to a company's core shipping activities, provided the turnover from those incidental activities does not exceed 0.25% of the turnover from core activities.