PART VI

Differentiation and Graduation of Tax by Means of Reliefs

134. —An individual who makes, in the manner prescribed by this Act, a claim in that behalf and makes a return in the prescribed form of his total income shall, for the purposes of ascertaining the amount of his assessable income for the purposes of income tax, be allowed a deduction from the amount of his earned income as estimated in accordance with this Act of a sum equal to one-fourth of that income, but not exceeding, in the case of any individual, the sum of £500.

135. —(1) An individual who, in the manner prescribed by this Act, makes a claim in that behalf, makes a return in the prescribed form of his total income, and proves that at any time during the year of assessment either he or, in the case of a married man, his wife living with him was of the age of sixty-five years or upwards shall, for the purpose of ascertaining the amount of his assessable income for the purpose of income tax be allowed a deduction from the amount of his unearned income of a sum equal to one-fourth of the amount of that income:

Provided that—

(a) in case the individual is entitled to a deduction exceeding £350 under section 134—

(i) in case that deduction is £500, there shall be no deduction under this section, and

(ii) in any other case, the deduction under this section shall not be greater than the amount by which the deduction under section 134 falls short of £500, and

(b) in any other case, the deduction under this section shall not be greater than £150.

(2) For the purpose of subsection (1) the amount of the unearned income of any individual shall be taken to be the amount of his total income diminished by the amount of his earned income.

(3) The provisions of Schedule 4 and of paragraph IX of Schedule 18 shall, with any necessary modifications, apply in relation to deductions under this section.

(4) In this section “earned income” and “total income” mean respectively earned income as estimated in accordance with the provisions of this Act and total income from all sources as so estimated.

136. —(1) In this section—

“total income” means total income from all sources as estimated in accordance with the provisions of this Act;

“relevant income” means, in relation to any individual, his total income exclusive of any part thereof which arises to him by virtue or in consequence of a disposition within the meaning of section 442, and which, if subparagraphs (iii) and (iv) of section 439 (1) had been omitted, would, by virtue of Chapter I of Part XXVIII, be deemed to be income of the person by whom the disposition was made.

(2) Subject to the provisions of this section, an individual who, in the manner prescribed by this Act, makes a claim in that behalf, makes a return in the prescribed form of his total income, and proves that his total income for the year of assessment does not exceed £450, shall, for the purpose of ascertaining the amount of his assessable income for the purpose of income tax, be allowed a deduction from the amount of his relevant income of a sum equal to one-fourth of the amount of that income.

(3) Subject as aforesaid, an individual not entitled to a deduction under subsection (2) shall be entitled to have the amount of the income tax payable in respect of his total income reduced, where necessary, so as not to exceed a sum equal to the aggregate of the two following amounts, that is to say, the amount of the tax which would have been payable if his total income had amounted to, but had not exceeded, £450 and one-half of the amount by which his total income exceeds £450.

(4) For the purposes of subsection (3), the computation of the tax which would have been payable if the individual's total income had amounted to, but had not exceeded, £450 shall be made—

(a) in a case in which the individual's relevant income amounts to not less than £450, on the basis that the income of £450 consisted wholly of relevant income, and

(b) in a case in which the individual's relevant income is less than £450, on the basis that the income of £450 included the whole of the relevant income.

(5) An individual shall not be entitled to any deduction or relief under this section if he is entitled to a deduction under section 135 and any deduction or relief under this section shall be in substitution for and not in addition to the deduction under section 134.

(6) The provisions of Schedule 4 and of paragraph IX of Schedule 18 shall, with any necessary modifications, apply in relation to deductions or relief under this section.

137. —(1) An individual who, in the manner prescribed by this Act, makes a claim in that behalf and who makes a return in the prescribed form of his total income shall be entitled for the purpose of ascertaining the amount of the income on which he is to be charged to income tax (in this Act referred to as “the taxable income”) to have such deductions as are specified in sections 138 to 143 made from his assessable income.

(2) The provisions of Schedule 4 and of paragraph IX of Schedule 18 shall apply for the purpose of claims for any such deductions as aforesaid.

138. —(1) The claimant, if he proves that for the year of assessment he has his wife living with him, or that his wife is wholly maintained by him during the year of assessment, and that he is not entitled in computing the amount of his income for that year for the purposes of this Act to make any deduction in respect of the sums paid for the maintenance of his wife, shall be entitled to a deduction of £394, and in any other case to a deduction of £234.

(2) Where, but for this subsection, the claimant would be entitled to a deduction of £234 under subsection (1), then, if the claimant proves that in the year of assessment he or she is a widower or a widow, the claimant shall be entitled to a deduction of £259 in lieu of the said deduction of £234.

(3) If the total income of the claimant includes any earned income of his wife the deduction to be allowed under this section shall be increased by an amount equal to three-fourths of the amount of that earned income but not exceeding in any case £45.

139. —(1) If the claimant proves that he is a widower and that for the year of assessment a person being a female relative of his or of his deceased wife is resident with him for the purpose of having the charge and care of any child of his, or he proves that he has no female relative of his own or of his deceased wife who is able or willing to take such charge and that he has employed some other female person to undertake the same, he shall, subject as hereinafter provided, be entitled to a deduction of £100 in respect of that female relative or other female person:

Provided that—

(a) no deduction shall be allowed under this section unless the claimant proves that no other individual is entitled to a deduction in respect of the female relative under the provisions of this Part or, if any other individual is so entitled, that the other individual has relinquished his claim thereto; and

(b) no deduction shall be allowed under this section where the female relative is a married woman living with her husband, and the husband has claimed and been allowed the higher deduction under section 138 (1).

(2) In this section “child” means a child in respect of whom a deduction is allowed under this Part.

(3) This section shall apply to a claimant being a widow as it applies to a claimant being a widower, with the substitution of “her deceased husband” for “his deceased wife”.

(4) This section shall also apply to a claimant being a married man, whose wife is not living with him and who is not entitled to the higher deduction under section 138 (1) as it applies to a claimant being a widower, save that “his wife” shall be substituted for “his deceased wife”.

140. —If the claimant proves—

(a) that he is unmarried and that he has living with him either his mother, being a widow or a person living apart from her husband, or some other female relative, for the purpose of having the charge and care of any brother or sister of his, being a child in respect of whom a deduction is allowed under this Part, and that he maintains the mother or other relative at his own expense; and

(b) that neither he nor any other individual is entitled to a deduction in respect of the same person under any of the other provisions of this Part, or if any other individual is entitled to any such deduction that the other individual has relinquished his claim thereto,

he shall be entitled to a deduction of £100.

141. —(1) If the claimant proves that he has living at any time during the year of assessment any child who is either under the age of sixteen years or who, if over the age of sixteen years at the commencement of that year, is receiving full-time instruction at any university, college, school, or other educational establishment, he shall, subject to the provisions of this section, be entitled in respect of each such child to a deduction and such deduction, in the case of a child shown by the claimant to have been over the age of eleven years at the commencement of the year of assessment, shall be of the amount of £150 and, in any other case, shall be of the amount of £120.

The expression “child” in this provision includes a stepchild and an illegitimate child whose parents have married each other after his birth and a child in respect of whom an adoption order under the Adoption Act, 1952 , is in force.

(2) If the claimant proves that for the year of assessment he has the custody of and maintains at his own expense any child who is under the age of sixteen years, or who, if over the age of sixteen years at the commencement of that year, is receiving such full-time instruction as aforesaid, and that neither he nor any other individual is entitled to a deduction in respect of the same child under the foregoing provisions of this section or under any of the other provisions of this Part, or, if any other individual is entitled to such a deduction, that that other individual has relinquished his claim thereto, he shall be entitled in respect of the child to the same deduction as if the child were a child of his.

(3) The references in subsection (1) and (2) to a child receiving full-time instruction at an educational establishment shall include references to a child undergoing training by any person (hereafter in this subsection referred to as the employer) for any trade or profession in such circumstances that the child is required to devote the whole of his time to the training for a period of not less than two years.

For the purpose of a claim in respect of a child undergoing training the inspector may require the employer to furnish particulars with respect to the training of the child in such form as may be prescribed by the Revenue Commissioners.

(4) No deduction shall be allowed under this section in respect of any child who is entitled in his own right to an income exceeding £80 a year, except that if the amount of the excess is less than the deduction which apart from this subsection would be allowable, a deduction reduced by that amount shall be allowed.

Provided that in calculating the income of the child for the purposes of the foregoing provision no account shall be taken of any income to which the child is entitled as the holder of a scholarship, bursary, or other similar educational endowment.

(5) If any question arises as to whether any person is entitled to an allowance under this section in respect of a child who is over the age of sixteen years, as being a child who is receiving such full-time instruction as aforesaid, the Revenue Commissioners may consult the Minister for Education.

(6) Where, for any year of assessment, two or more individuals are or would, but for the provisions of this subsection, be entitled under this section to relief in respect of the same child, the following provisions shall have effect, that is to say:—

(a) only one deduction under this section shall be allowed in respect of such child;

(b) where such child is maintained by one parent only, that parent only shall be entitled to claim such deduction;

(c) where such child is maintained jointly by both parents, each parent shall be entitled to claim such part of such deduction as is proportionate to the amount expended by him or her on the maintenance of such child;

(d) in ascertaining for the purposes of this subsection whether a parent maintains a child and, if so, to what extent, any payment made by such parent for or towards the maintenance of such child which such parent is entitled to deduct in computing his or her total income for the purposes of this Act shall be deemed not to be a payment for or towards the maintenance of such child.

142. —(1) If the claimant proves that he maintains at his own expense any person, being a relative of his or of his wife who is incapacitated by old age or infirmity from maintaining himself, or his or his wife's widowed mother, whether incapacitated or not, and being a person whose total income from all sources is less than £180 a year, he shall be entitled to a deduction of £60 in respect of each person whom he so maintains, and a like deduction shall be made in the case of a claimant who, by reason of old age or infirmity, is compelled to depend upon the services of a person (being a person whose total income from all sources is less than £180 a year and being a son or daughter of the claimant) resident with and maintained by him or her:

Provided that each of the foregoing provisions of this subsection shall have effect, in a case in which the total income from all sources of the person in respect of whom the deduction is to be made exceeds £120 a year, as if, instead of specifying a deduction of £60, it specified a deduction of that amount reduced by the amount of the excess.

(2) Where two or more persons jointly maintain any such person as aforesaid, the deduction to be made under this section shall be apportioned between them in proportion to the amount or value of their respective contributions towards the maintenance of that person.

(3) This section shall apply to a claimant being a female person as it applies to a claimant being a male person with the substitution of “husband” for “wife”.

143. —(1) Subject to the provisions of this section and of section 152, any claimant—

(a) who has paid any such premium as is specified in subsection (2); or

(b) who is under any statute or under the terms or conditions of his employment liable to the payment of any sum or to the deduction from his salary or stipend of any sum for the purpose of securing a deferred annuity to his widow or provision for his children after his death,

shall be entitled, for the purpose of ascertaining the amount of the income on which he is to be charged to tax (excluding sur-tax), to have the deduction specified in subsection (3) made from his assessable income.

(2) The premiums referred to in subsection (1) (a) are any premiums paid by the claimant on a policy of insurance or on a contract for a deferred annuity where—

(a) the insurance or contract was made after the 22nd day of June, 1916—

(i) with any insurance company legally established in the State or in Northern Ireland or in Great Britain or in any other country to which the repealed enactments corresponding to this section would apply but for their repeal, or lawfully carrying on business in the State; or

(ii) with a registered friendly society; or

(iii) in the case of a deferred annuity, with the National Debt Commissioners; and

(b) the insurance, or, as the case may be, the deferred annuity, is on the life of the claimant or on the life of his wife; and

(c) the insurance or contract was made by him.

(3) The deduction to be made from the assessable income of the claimant shall be—

(a) where the insurance or contract referred to in subsection (2) was made after the 21st day of May, 1953, with any insurance company or friendly society, being a company or society which is registered in the State and managed and controlled therein, an amount equal to two-thirds of the premium paid by him;

(b) in any other case an amount equal to one-half of the premium paid by him or, as the case may be, of the sum paid by him or deducted from his salary or stipend.

(4) Where—

(a) a premium has been paid for an insurance, or a contract for a deferred annuity, made with an insurance company, and

(b) a deduction in respect of the premium could be made under subsection (1) but for the fact that the company is not such a company as is referred to in subsection (2) (a) (i),

that fact shall be disregarded, and a deduction in respect of the premium may be made under subsection (1) accordingly, if—

(i) the claimant is resident in the State but has previously been resident outside the State for a continuous period of not less than ten years,

(ii) the insurance or contract was made before the continuous period of residence outside the State ended, and

(iii) either there is no income arising from any security or possession in any place outside the State or, where there is income so arising, section 76 (1) applies to the computation of tax in respect of that income.

(5) No deduction shall, as regards insurances or contracts for deferred annuities—

(a) be given except in respect of premiums or other payments payable on policies for securing a capital sum on death, whether in conjunction with any other benefit or not; or

(b) be given in respect of premiums or payments payable during the period of deferment in respect of a policy of deferred assurance:

Provided that this subsection shall not affect premiums or payments payable—

(i) on policies or contracts made in connection with any superannuation or bona fide pension scheme for the benefit of the employees of any employer or of persons engaged in any particular trade, profession or business or for the benefit of the wife or widow of any such employee or person or of his children or other dependants; or

(ii) on any policy taken out by a teacher in a secondary school pending the establishment of a superannuation or pension scheme for those teachers.

(6) Where a premium is paid by a wife out of her separate income in respect of an insurance on her own life or the life of her husband or a contract for any deferred annuity on her own life or the life of her husband, the same deduction shall be made as if the premium were a premium paid by her husband for an insurance on his own life or for a contract for a deferred annuity on his own life, and this section shall apply accordingly.

(7) References in this Act to relief in respect of life assurance premiums shall be construed as including references to deductions under the foregoing subsections of this section.

144. —(1) (a) Any individual who, in the manner prescribed by this Act, makes a claim in that behalf, makes a return in the prescribed form of his total income, and proves that his total income for the year of assessment does not exceed £240 shall be entitled to exemption from income tax.

(b) Any individual who would, but for the fact that his total income exceeds £240, be entitled to exemption as provided in paragraph (a), shall be entitled to have the amount of income tax payable in respect of his total income, if that amount would but for the provisions of this paragraph exceed a sum equal to three-fifths of the amount by which his total income exceeds £240, reduced to that sum.

(2) The provisions of Schedule 4 and of paragraph IX of Schedule 18 shall, with any necessary modifications, apply in relation to exemptions from or reductions of tax under this section.

(3) In this section “total income” means a total income from all sources as estimated in accordance with the provisions of this Act.

145. —(1) In this section—

“authorised insurer” means any person lawfully carrying on in the State such business of insurance as is referred to in subsection (2);

“total income” means total income from all sources as estimated in accordance with the provisions of this Act.

(2) If an individual makes a claim in that behalf in the manner prescribed by this Act, makes a return in the prescribed form of the total income of the individual and proves that, in the year preceding the year of assessment, the individual, or, if the individual is a married man, his wife, has made a payment to an authorised insurer under a contract of insurance which provides specifically, whether in conjunction with other benefits or not, for the reimbursement or discharge, in whole or in part, of actual medical, surgical or nursing expenses (including the cost of maintenance at a hospital, nursing home or sanatorium) resulting from sickness of or accident to the individual or the spouse of the individual or children or other dependants of the individual or of the spouse of the individual, then—

(a) where the payment covers no benefits other than such reimbursement or discharge, the full amount of the payment shall be deducted from or set off against any income for the year of assessment of the individual, if the individual made the payment, or of the wife of the individual, if she made the payment, and

(b) where the payment covers benefits other than such reimbursement or discharge, a like relief shall be granted in respect of so much of the payment as is referable to such reimbursement or discharge,

and tax shall, where necessary, be discharged or repaid accordingly and the total income of the individual for the year of assessment shall be calculated accordingly for all the purposes of this Act.

(3) Where an amount for deduction from or set off against income of one of the spouses is ascertained in accordance with subsection (2), then—

(a) if there is no income of the spouse for the year of assessment in relation to which relief under the said subsection can be given, the relief may be given in relation to income of the other spouse for that year, and

(b) if the amount ascertained as aforesaid exceeds the income of the spouse for the year of assessment, the excess may be deducted from or set off against any income of the other spouse for that year.

(4) Where relief is given under this section, no relief or deduction under any other provision of this Act shall be given or allowed in respect of the payment or part of a payment (as the case may be).

(5) The provisions of Schedule 4 and of paragraph IX of Schedule 18 shall, with any necessary modifications, apply in relation to relief under this section.

146. —A claimant shall not be entitled to allowance or deduction or relief under sections 134 to 145 in respect of any income the tax on which he is entitled to charge against any other person, or to deduct, retain, or satisfy out of any payment which he is liable to make to any other person.

147. —For the purpose of any claim for an allowance or deduction under sections 134 to 145 the income arising from the ownership of lands, tenements or hereditaments assessable under Schedule A shall, subject to any allowance, reduction, or relief granted under this Act, be deemed to be the annual value thereof estimated in accordance with the provisions applicable to Schedule A and the income arising from the occupation of lands, tenements and hereditaments assessable under Schedule B shall, subject to any allowance, reduction or relief granted under this Act, be deemed the assessable value thereof estimated in accordance with the provisions applicable to Schedule B, and where a claimant is both owner and occupier of the last mentioned lands, tenements and hereditaments, the amount of the annual value under Schedule A, added to the amount of the assessable value under Schedule B shall be deemed to be the income arising from those lands, tenements or hereditaments.

148. —The following persons having joint interests, that is to say—

(a) coparceners, joint tenants, or tenants in common of the profits of any property; and

(b) joint tenants, or tenants of land or tenements in partnership, being in the actual and joint occupation thereof in partnership, who are entitled to the profits thereof in shares,

may claim any allowance or deduction under sections 134 to 145 according to their respective shares and interests, and any such claims may be dealt with in the same manner as in the case of several interests:

Provided that profits arising from the occupation of lands shall not be separately charged if the lands are let or underlet without the lessor relinquishing the possession thereof or if the lessee is not exclusively in the possession and occupation of the lands.

149. —Except as otherwise provided, any allowance or deduction under sections 134 to 145 shall be given either by discharge or reduction of the assessment, or by repayment of the excess which has been paid, or by all or any of those means, as the case may require.

150. —Where relief has been granted for any year of assessment under any provisions of this Act providing for the reduction of an assessment on any source of income in cases where the profits of the year of assessment fall short, the amount of the assessment as reduced shall be deemed to be the income from that source in ascertaining the total income from all sources for that year for the purpose of any claim for allowance or deduction under sections 134 to 145.

151. —(1) Subject to the provisions of this section and of section 152, any claimant who has paid any such premium as is specified in subsection (2) shall be entitled to have the amount of tax payable by him reduced by a sum representing tax at the appropriate rate on the amount of the premium paid by him.

(2) The premiums referred to in subsection (1) are any premiums paid by a claimant on a policy of insurance or on a contract for a deferred annuity where—

(a) the insurance or contract was made on or before the 22nd day of June, 1916—

(i) with any insurance company legally established in the State or in Northern Ireland or in Great Britain or in any other country to which the repealed enactments corresponding to this section would apply but for their repeal, or lawfully carrying on business in the State; or

(ii) with a registered friendly society; or

(iii) in the case of a deferred annuity, with the National Debt Commissioners; and

(b) the insurance, or, as the case may be, the deferred annuity, is on the life of the claimant or on the life of his wife; and

(c) the insurance or contract was made by him.

(3) For the purposes of this section “the appropriate rate” means—

(a) where the total income of the claimant from all sources estimated in accordance with the provisions of this Act does not exceed £1,000, the lesser of the two following rates:

(i) half the standard rate of tax,

(ii) the rate obtained by dividing the tax payable by the person referred to in subsection (1), before deduction of any relief under this section or of any double taxation relief under any agreement between the Government and the Government of any other state, but after reduction in respect of any tax which he is entitled to charge against any other person, by the amount of his taxable income, which for this purpose shall be deemed to be reduced by the amount of any income the income tax upon which he is entitled to charge as aforesaid;

(b) where the total income of the claimant from all sources estimated as aforesaid exceeds £1,000 but does not exceed £2,000, three-fourths of the standard rate of tax;

(c) where the total income of the claimant from all sources estimated as aforesaid exceeds £2,000, the standard rate of tax.

(4) Where a premium is paid by a wife out of her separate income in respect of an insurance on her own life or the life of her husband or a contract for any deferred annuity on her own life or the life of her husband the same allowance of tax shall be made as if the premium were a premium paid by her husband for an insurance on his own life or for a contract for a deferred annuity on his own life and this section shall apply accordingly.

(5) Where the tax ultimately payable by any claimant after deducting the allowance under this section is greater than the amount of tax which would be payable if the total income of that person exceeded £1,000 or £2,000, as the case may be, the allowance under this section shall be increased by a sum representing the amount by which tax at one-fourth of the standard rate on the amount of the premiums in respect of which the allowance is made exceeds the amount of the tax at the standard rate on the amount by which the total income falls short of £1,000 or £2,000, as the case may be.

152. —(1) The aggregate of the premiums or other sums in respect of which relief is given to any person under sections 143 and 151 shall not exceed one-sixth of the total income of the person from all sources estimated in accordance with the provisions of this Act.

(2) No relief under section 143 or 151 in respect of any premium or other payment payable on a policy for securing a capital sum on death (whether in conjunction with any other benefit or not) shall be given in respect of so much of the premium or other payment as exceeds seven per cent. of the actual capital sum assured, or, where special terms apply to the insurance on the life of the insured person, of the prescribed capital sum, and, in calculating any such capital sum, or the prescribed capital sum, no account shall be taken of any sum payable on the happening of any other contingency, or of the value of any premiums agreed to be returned, or of any benefit by way of bonus, or otherwise, which is to be or may be received either before or after death, either by the person paying the premium, or by any other person, and which is not the sum actually assured or the prescribed capital sum.

In this subsection—

“special terms” in relation to an insurance means terms which, by reason of special circumstances concerning the health of the insured person, are less favourable as to the amounts of the premiums payable or as to the capital sum payable on death, than those which would otherwise be available from the same insurer;

“the prescribed capital sum” means, in relation to an insurance (in this definition referred to as the said insurance), to which special terms apply, on the life of an insured person, the capital sum which would have been payable by the insurer on the death of that person by virtue of an insurance to which special terms did not apply and which, except as regards the capital sum payable on death, was in all respects the same as the said insurance.

(3) No relief under section 143 or 151 shall be given in respect of the excess over £100 of the aggregate of all premiums and payments which are payable for securing any benefits other than those mentioned in subsection (2).

(4) (a) War insurance premiums shall not be taken into account in calculating the limits of one-sixth of total income from all sources, or of seven per cent., or of £100 mentioned in this section.

(b) In this subsection “war insurance premiums” means any additional premium or other sum paid in order to extend an existing life insurance policy to risks arising from war or war service abroad, and any part of any premium or other sum paid in respect of a life insurance policy covering those risks, or either of them, which appears to the Commissioners to whom the claim for relief is made to be attributable to those risks, or either of them.

(5) No relief under section 143 or 151 shall be given for any year of assessment in respect of a payment if for that year a deduction—

(a) is allowable under section 222, or

(b) is allowable under section 233 (1)

in respect of that payment or in respect of a similar payment made in the year preceding the year of assessment.

(6) If any person entitled to relief under section 151 is charged to tax under any Schedule and has paid that tax, or has paid or has been charged with tax by deduction or otherwise, he shall, on a claim being made to the Special Commissioners, and on production to them of the receipt for his payment, and proof of the facts to their satisfaction, be entitled to repayment of the excess tax which he has paid or with which he has been charged as aforesaid.

153. —(1) Save as is otherwise provided by this section, the following provisions shall have effect in the case of an individual who is not resident in the State—

(a) he shall not be entitled to any allowance in respect of earned income under section 134;

(b) he shall not be entitled to any deduction from unearned income under section 135;

(c) he shall not be entitled to any deduction or relief under section 136;

(d) he shall not be entitled to any of the deductions from assessable income provided for by sections 138 to 143;

(e) he shall not be entitled to any relief under section 151.

(2) Where an individual who is not resident in the State proves to the satisfaction of the Revenue Commissioners—

(a) that he is a citizen of Ireland, or

(b) that he is resident outside the State for the sake or on account of his health or the health of a member of his family resident with him or because of some physical infirmity or disease in himself or any such member of his family, and that, previous to such residence outside the State, he was resident in the State, or

(c) that he is a citizen, subject, or national of a country of which the citizens, subjects, or nationals are for the time being exempted by an Order made under section 10 of the Aliens Act, 1935 , from any provision or provisions of that Act or of an aliens order made thereunder, or

(d) that he is a person to whom one of the paragraphs (a) to (e) of the proviso to section 24 of the Finance Act, 1920, applied in respect of the year ending on the 5th day of April, 1935, or any previous year of assessment,

subsection (1) shall not apply to that individual, but no such allowance, deduction, or other benefit as is mentioned in the said subsection shall, in the case of that individual, be so given as to reduce the amount of the income tax payable by him below the amount which bears the same proportion to the amount of tax which would be payable by him if the tax were chargeable on his total income from all sources (including income which is not subject to Irish income tax) as the portion of his income which is subject to Irish income tax bears to his total income from all sources.

(3) Any person who is aggrieved by a decision of the Revenue Commissioners under this section may appeal therefrom to the Special Commissioners.

154. —Where in pursuance of the provisions of any will or settlement any income arising from any fund is accumulated for the benefit of any person contingently on his attaining some specified age or marrying, and the aggregate amount in any year of assessment of that income and the income from any other fund subject to the like trusts for accumulation and of the total income of that person from all sources (hereinafter referred to as “the aggregate yearly income”) is of such an amount only as would entitle an individual either to total exemption from tax or to relief from tax, that person shall, on making a claim for the purpose within six years after the end of the year of assessment in which the contingency happens, be entitled, on proof of the claim in manner prescribed by Schedule 4 and paragraph IX of Schedule 18, to have repaid to him on account of the tax which has been paid in respect of the income during the period of accumulation a sum equal to the aggregate amount of relief to which he would have been entitled if his total income from all sources for each of the several years of the said period had been equal to the aggregate yearly income for that year; but in calculating that sum a deduction shall be made in respect of any relief already received.