Taxes Consolidation Act 1997 section 898M

Credit for withholding tax

Section 898M provides a credit or refund mechanism for Irish-resident individuals where withholding tax has been deducted from interest payments in other territories under the EU Savings Directive or related arrangements.

• An Irish-resident individual who has had tax withheld from an interest payment under the Directive or arrangements may claim a credit against Irish income tax or capital gains tax, with any excess refunded.
• The credit under this section applies only after any credit available under a double taxation agreement has been used, and does not apply where the individual has already obtained relief in another territory.
• To claim the credit or refund, the individual must file a return of total income or chargeable gains and provide a written statement from the person who deducted the tax.
• The written statement must certify the name and address of both the payer and the beneficial owner, the date and amount of the interest payment, and the amount of tax deducted.