S.I. No. 51/1988:

HEALTH CONTRIBUTIONS (AMENDMENT) REGULATIONS, 1988.

HEALTH CONTRIBUTIONS (AMENDMENT) REGULATIONS, 1988.

The Minister for Health in exercise of the powers conferred on him by sections 2 and 10 of the Health Contributions Act 1979 (No. 4 of 1979) hereby makes the following Regulations:--

1. These Regulations may be cited as the Health Contributions (Amendment) Regulations, 1988.

2. These Regulations shall come into operation on the 6th Day of April, 1988 and shall apply to liability for Health Contributions for the contribution year commencing on the 6th day of April 1988 and subsequent contribution years.

3. The Health Contributions Regulations 1979 ( S.I. No. 107 of 1979 ) as amended by the Health Contributions (Amendment) Regulations, 1980 ( S.I. No. 87 of 1980 ), the Health Contributions (Amendment) Regulations, 1983 ( S.I. No. 55 of 1983 ), the Health Contributions (Amendment) Regulations, 1984 ( S.I. No. 73 of 1984 ), the Health Contributions (Amendment) Regulations, 1985 ( S.I. No. 233 of 1985 ) and the Health Contributions (Amendment) Regulations, 1986 ( S.I. No. 102 of 1986 ) are hereby amended:--

(a) by the substitution in article 4 of "Chapter I of Part IX" for "section 192";

(b) by the substitution of the following article for article 6:--

"6. For the purposes of the Act, "reckonable income" means, in relation to an individual, the aggregate of the individual's income (other than non-pecuniary income) from all sources for a contribution year as estimated in accordance with the provisions of the Income Tax Acts, but without regard to Chapter I (inserted by the Finance Act, 1980 ) (No. 14 of 1980) of Part IX of the Income Tax Act, 1967 , (No. 6 of 1967) after deducting from the income so much of the allowable contribution referred to in regulations 59 and 60 of the Income Tax (Employments) Regulations, 1960 ( S.I. No. 28 of 1960 ) (inserted by the Income Tax (Employments) Regulations, 1972 ( S.I. No. 260 of 1972 ) as is deducted on payment of emoluments and after deducting from reckonable income other than emoluments so much of any deduction allowed by virtue of the provisions referred to in section 33 of the Finance Act, 1975 (No. 6 of 1975) as is to be deducted from or set off against that income in charging it to income tax.";

(c) by the substitution of the following article for article 16:--

"16 (1) A health contribution payable for a contribution year in respect of reckonable income other than emoluments shall be assessed, charged and paid in all respects as if it was an amount of income tax and may be stated in one sum (hereafter in this article referred to as the "aggregated sum") with the amount of income tax contained in any computation of, or assessment or assessments to, income tax made by or on the individual by whom that health contribution is payable, for the year of assessment (within the meaning of the Income Tax Acts) which coincides with the contribution year and for this purpose the health contribution may be so stated notwithstanding that there is not amount of income tax contained in the said computation, assessment or assessments and all the provisions of the Income Tax Acts, other than any such provisions in so far as they relate to the granting of any allowance, deduction or relief, shall apply as if the aggregated sum were a single sum of income tax.

(2) Where an election made or deemed to be made under section 195 of the Income Tax Act, 1967 , has effect for the year of assessment concerned the health contribution payable by a wife in respect of reckonable income shall be charged, collected and recovered as it was the contribution of her husband provided that the question as to the amount of the health contribution so payable in respect of the husband or the wife shall not be affected by the provisions of this sub-article.";

(d) by the deletion of articles 17, 18 and 19.

GIVEN under the Official Seal of the Minister for Health this 29th day of March, 1988.

RORY O'HANLON,

Minister for Health.

The Minister for Finance hereby sanctions the above Regulations.

GIVEN under the Official Seal of the Minister for Finance this 29th day of March, 1988.

RAY MAC SHARRY,

Minister for Finance.

EXPLANATORY NOTE

The Health Contribution Regulations, 1979 provided, inter alia for the estimation, determination, collection etc of health contributions payable by self-employed persons including farmers.

These Regulations revise the definition of reckonable income to permit the deduction of capital allowances in calculating liability for health contributions in respect of reckonable income other than emoluments.

The new Regulations further provide that the health contribution liability of a self employed person will be aggregated with his income tax liability and be assessed, charged and paid as if it was a single sum. Where a husband and wife have elected for joint income tax assessment the health contribution payable by the wife on reckonable income other than emoluments shall be collected as if it were the contribution of her husband.

Articles 17, 18 and 19 of the Health Contributions Regulations 1979 are being revoked as they contain collection and estimation provisions which will be no longer applicable to the new system of integrated collection.