Information Circular No 36/2019 – Sea-Going Naval Personnel Credit 472BB.TCA

By Industrial Relations Officer

For the purposes of clarity, PDFORRA has extracted the following details from the Finance Bill 2019 Report Stage debate regarding the Sea- Going Naval personnel credit.

(1) In this section – ‘day at sea’ means a cumulative period of 8 hours within any 24-hour period on patrol at sea on board a naval vessel;

naval vessel’ means a naval patrol vessel owned by the Minister for Defence;

qualifying individual’ means a permanent member of the Irish Naval Service who has spent at least 80 days at sea in a relevant period performing the duties of his or her employment;

relevant period’, in relation to a year of assessment, means the immediately preceding year of assessment.

(2) Where for the year of assessment 2020 an individual is a qualifying individual—

(a) he or she shall be entitled to a tax credit (to be known as the ‘sea-going naval personnel credit’) of €1,270, and

(b) relief shall not be given under section 472B or 472BA in respect of that year.

(2) This section shall apply for the year of assessment 2020.

This amendment inserts a new section into the Taxes Consolidation Act 1997 to provide a tax credit for permanent members of the Irish Naval Service. Where a permanent member of the service spent at least 80 days at sea on board a naval vessel in 2018 (sic) (2019) he or she will be entitled to a tax credit of €1,270 in 2020. This is a once-off measure which is intended to apply for 2020 only.

Minister for Finance Paschal Donohoe further stated that: “It is intended to operate as a temporary device as we prepare for other measures in the context of future discussions on public pay.”

In response to a question from Deputy Michael McGrath, the Minister for Finance clarified that:

this will apply for the minimum of 80 days that have been spent at sea on a naval vessel in 2019 and the amendment will allow the relief to be claimed for next year.”

For information on Tax Credits, Tax allowances and reliefs visit: Citizens Information Search “Tax Credits”

Issued on: 22/11/2019

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