RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:VET fair price will be soon $40…Thanks. This looks to be the section pertaining to allowable cap-ex deductions to the TSC or WFT.
This subsection provides that the amount of total profits from relevant activities is reduced by the amount of capital expenditure incurred on the construction
or acquisition of a tangible asset which is brought into use in the accounting period, where – (a) the tangible asset is brought into use in any of the years 2018 to 2023, and (b) the asset is used in the course of carrying on relevant activities, and in respect of which allowances are made under Part 9 or Chapter 2 of Part 24. (1)(b) tes for Guidance – Taxes Consolidation Act 1997 – Finance Act 2022 Edition - Part 24B 4 For the purpose of subsection (1)(b), where a tangible asset ceases to be used in carrying on relevant activities at any time during a period of 5 years commencing on the date the asset was brought into use, then subsection (1)(b) shall not apply. The taxable profits shall be recalculated as if no deduction was taken for any amount of capital expenditure incurred on that asset. For the purpose of this subsection, reasonable periods of disuse are considered acceptable. (
2) Where, as a result of a deduction for an amount of capital expenditure under subsection (1)(b), the taxable profits for the accounting period are less than zero, such that there is an excess capital expenditure, the taxable profits in the next accounting period shall be reduced by an amount equal to that excess. The amount calculated can be carried forward into subsequent accounting periods, reducing taxable profits until such time as the amount is fully exhausted. https://www.revenue.ie/en/tax-professionals/documents/notes-for-guidance/tca/part24b.pdf It sure looks like they get to deduct something. The question is would the purchase be deductable as a lump sum in the first year or be subject to depreciation over time as most assets are?
Again we could use the advice of a tax accountant here.
GLTY and all
mnztr wrote: https://www.independent.ie/irish-news/changes-made-to-windfall-tax-rules-after-irish-oil-refinery-warned-new-charge-could-force-it-to-shut-down/42402082.html