The Gazette 1971

ance of duty through the medium of private companies. The section inserts new definitions of "control", "com- pany controlled by the deceased" and "relative"; extends the meaning of the expression "income or benefits" and provides certain consequential amendments of Section 20 of the Finance Act, 1965, made necessary by the new definitions. Foreign Land Liable to Duty Section 36 brings into charge, for estate duty pur- poses, land outside the State; all other property outside the State is at present chargeable to duty. Foreign land which is in the possession of persons who take up resi- dence within the State will, however, continue to be exempt from duty if such land was held by them before they came to reside here. The section also corrects a drafting defect in Section 22 of the Finance Act, 1965. Section 37 removes the reductions in value, for estate duty purposes, of gifts made in the third, fourth and fifth years prior to the date of death of the deceased. The section will have effect only in cases where the deceased dies after the passing of the Act and will not apply to gifts made two years or more before the pass- ing of the Act. Benefits to Widow and Children Section 38 increases, from £1,000 to £1,500, the abatement of estate duty affecting benefits passing to the widow of the deceased and also increases, from £500 to £750, the abatement of estate duty affecting benefits passing to a dependent child. TheLonger-Term Savings Plan. Abreakthrough in LifeAssurance.

Section 39 provides that certain agricultural property which is valued for estate duty on an artificial basis is to be valued at market value if it is sold within six years of the date of death or date of gift as the case may be. It also ensures that certain family arrangements for the distribution of an estate which may technically involve sales will not be treated as sales for this purpose. Cifts in Contemplation of Marriage Section 40—(1) Where a person makes a gift in con- sideration of marriage and the person is either a party to the marriage or the parent or remoter ancestor of a party to the marriage and the gift is for the benefit cither of a party to the marriage or of the issue of the marriage, paragraphs (c) and (e) of section 2 (1) of the Finance Act, 1894, shall apply to so much only of the principal value of the property comprised in the gift as exceeds £5,000. (2) Where a person makes a gift in consideration of marriage and the gift is for the benefit either of a party to the marriage or of the issue of the marriage and subsection (/) of this section does not apply, paragraphs (c) and ( e ) of section 2 (1) of the Finance Act, 1894, shall apply to so much only of the principal value of the property comprised in the gift as exceeds £1,000. (3) In the case of any one death : (a) the total amount of the relief conferred by subsection (1) of this section in respect of any one marriage shall not exceed £5,000, and (b) the total amount of the relief conferred by subsection (2) of this section in respect of any one marriage shall not exceed £1,000. (4) In this section "issue" includes a step-child and a child adopted under the provisions of the Adoption Acts, 1952 and 1964, and their issue and "parent" and "remote»" ancestor" shall he construed accordingly. (5) (a) Section 59 (2) of the Finance (1909-10) Act, 1910, as amended by the Finance Act, 1965, shall have effect as if "which are made in consideration of marriage, to or for the benefit of a party to the marriage or of issue of the marriage, or" were deleted. (b) Section 27 of the Finance Act, 1938, shall have effect as if paragraph (o) were deleted. (c) Section 24 (3) of the Finance Act, 1961, shall have effect as if paragraph (c) were deleted. (6) This section shall have effect only in respect of dispositions and gifts made on or after the 28th day of April, 1971. Section 41 brings up to date the penalties for non- compliance with the provisions of the Acts relating to estate duty. (The repeal of the existing penalties is effected by Section 52 of the Bill.) Stamp Duties Section 43 provides exemption from stamp duty in respect of remittances of tax deductible from sub-con- tractors under Section 17 of the Finance Act, 1970, where the remittance is made on a form supplied by the Revenue Commissioners.

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