Dáil Éireann debate -
Wednesday, 8 May 1946

Vol. 100 No. 18

Financial Resolutions. - Resolution No. 8—Corporation Profits Tax.

Mr. Aiken

I move:—

(1) That the following provisions shall apply and have effect in respect of every accounting period ending on or after the 1st day of January, 1941, that is to say, an assessment to corporation profits tax may be made by the Revenue Commissioners at any time after the end of the accounting period or part of an accounting period in respect of the profits of which the assessment is made, and in the absence of a satisfactory return or other information on which to make an assessment the Revenue Commissioners may make an assessment according to the best of their judgment.

(2) That sub-section (4) of Section 56 of the Finance Act, 1920, as amended by sub-section (2) of Section 35 of the Finance Act, 1941 (No. 14 of 1941), shall cease to have effect in respect of an accounting period ending on or after the 1st day of January, 1941.

(3) That in this Resolution reference to corporation profits tax shall be construed as including reference to excess corporation profits tax and reference to an assessment shall be construed as including reference to an additional assessment.

Mr. McGilligan

We have no figures of the respective losses in excess surtax and excess corporation profits tax. Would the Minister say what they are likely to be?

Mr. Aiken

It is difficult to calculate. If the excess corporation profits are higher up to the end of the year we would lose nothing next financial year, but if they are low the Exchequer would lose, but the consumer would gain, because prices would have fallen.

Mr. McGilligan

In the White Paper we have figures of £820,000 surtax for 1945-46 and about £4,500,000 excess corporation profits tax. Could the Minister say how much of corporation profits tax was excess profits tax?

Mr. Aiken

About one-fifth of the surtax was excess surtax and two-thirds of the £4,500,000 was excess corporation profits tax.

Question put and agreed to.