Taxes Consolidation Act 1997 section 714

Life business: computation of profits

Section 714 ensures that dividends received by a life assurance company from Irish companies are included when computing the trading income of the company's life assurance fund.

• Applies for the purposes of section 713, which deals with the taxation of life assurance companies
• Overrides the general exclusion in section 129 that exempts franked investment income from corporation tax
• Requires dividends from Irish companies attributable to a life company's life assurance fund to be brought into the computation of trading income under Case I of Schedule D
• Ensures that all Irish company distributions form part of the profits on which a life company's trading income is calculated