Since the Finance Act, 1984, in order to qualify as a domestic sourced section 84 loan the money must have been lent to a borrower carrying on a trade which consists wholly or mainly of the manufacture of goods and must have been used by the borrower for the purposes of such a trade.
The term "manufacture of goods" includes activities which are regarded as the manufacture of goods under the manufacturing relief provisions of Chapter VI of the Finance Act, 1980. It also includes the selling by wholesale of agricultural products or fish by a 75 per cent subsidiary of an agricultural society or a fishery society, respectively. Up to 1 September 1986 a loan could also qualify as a section 84 loan if given in respect of a trade consisting wholly or mainly of the rendering of services in the course of a service undertaking in respect of which an employment grant was made by the Industrial Development Authority. This category of section 84 loan was terminated with effect from 13 May 1986 or, in some cases, 1 September 1986.
Prior to 12 April 1989 all exempted or 10 per cent trading operations carried on at Shannon Customs-free Airport also qualified for domestic sourced section 84 loans. Since that date no new such loans are allowed to companies carrying on service activities at Shannon Customs-free Airport. Companies carrying on manufacturing trades at Shannon Airport may, however, continue to avail of these loans.
Statistics are not available which would enable an estimate of the amount of such loans applicable to the beef industry to be given. Such information could not be obtained without undertaking inquiries which could be carried out only at a disproportionate cost.