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.

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 (

) 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.

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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