I move:—
(1) That, for the purpose of removing doubts, it is hereby declared that the word "remuneration", when used in relation to a director of a company in any enactment relating to corporation profits tax (including excess corporation profits tax), shall be construed as meaning, and as having always meant, all remuneration, whether by way of fees, salary, bonus, commission or otherwise howsoever, payable by a company to a person in respect of a period during which he is or was a director of that company, whether that remuneration is or was payable to him wholly in his capacity as director of that company or wholly in some other capacity or partly in his capacity as such director and partly in some other capacity.
(2) That such provisions, in relation to allowances in respect of the remuneration of directors, as shall be prescribed by statute shall, as respects all accounting periods ending after the 31st day of December, 1943, apply and have effect in relation to excess corporation profits tax.
(3) That Section 43 of the Finance Act, 1941 (No. 14 of 1941), as amended by Section 18 of the Finance Act, 1942 (No. 14 of 1942), shall cease to apply in respect of any accounting period ending after the 31st day of December, 1943.
I also explained this Resolution fairly fully in the course of my Budget statement. It relates to the existing provisions limiting the amount allowed for the purposes of corporation profits tax including excess corporation profits tax in respect of the remuneration of directors. That has always been interpreted to include remuneration received from the same company in any other capacity by that director, such as manager or traveller. Recently, this interpretation of the Statutes was rejected by the special commissioners in the hearing of an appeal. As the case was not one of any importance, the Revenue Commissioners did not contest it in the courts, as they would normally do, but we are legislating now to make clear what the situation always was.
