Approved Retirement Funds (ARFs) are personal investment accounts established with retirement benefit funds as an alternative to the purchase of an annuity. Investment income and capital gains, if any, are exempt from tax in the case of Approved Retirement Funds established on or after 6 April 2000. This tax exemption applies regardless of the value of the fund or the income of the ARF owner. Distributions or withdrawals from ARFs are treated as emoluments, subject to tax under Schedule E, so the amount paid will depend on the marginal rate of tax, USC rate and PRSI class applicable to the individual.