PART 4

Stamp Duties

66. —In this Part “Principal Act” means the Stamp Duties Consolidation Act 1999 .

67. —(1) Section 73 of the Principal Act is amended in subsection (1)—

(a) in paragraph (b) by substituting “in priority, or” for “in priority.”, and

(b) by inserting the following after paragraph (b):

“(c) in respect of an operator-instruction effecting a transfer of rights to securities, in a company which is not an unquoted company within the meaning of section 63, where that transfer is a renunciation of those rights under a letter of allotment.”.

(2) This section has effect in relation to instruments executed on or after 1 March 2003.

68. —(1) Section 80 of the Principal Act is amended by inserting the following after subsection (2):

“(2A) (a) This subsection applies to any property, an instrument for the conveyance of which is chargeable to stamp duty under or by reference to the heading ‘CONVEYANCE or TRANSFER on sale of any property other than stocks or marketable securities or a policy of insurance or a policy of life insurance’ in Schedule 1.

(b) Subsection (2) shall not apply to an instrument made for the purposes of or in connection with the transfer of an undertaking of a target company that includes any property to which this subsection applies, where a conveyance of that property has not been obtained by the target company prior to the date of the execution of the instrument.”.

(2) This section has effect in relation to instruments executed on or after 20 February 2004.

69. —Section 81 of the Principal Act is amended by substituting the following for subsection (9):

“(9) This section shall apply as respects instruments executed before the date of the passing of the Finance Act 2004.”.

70. —The Principal Act is amended—

(a) by inserting the following after section 81:

“81A.—(1) In this section and Schedule 2A—

‘interest in land’ means an interest which is not subject to any power (whether or not contained in the instrument) on the exercise of which the land, or any part of or any interest in the land, may be revested in the person from whom it was conveyed or transferred or in any person on behalf of such person;

‘land’ means agricultural land and includes such farm buildings, farm houses and mansion houses (together with the lands occupied with such farm buildings, farm houses and mansion houses) as are of a character appropriate to the land;

‘Schedule 2A qualification’ means a qualification set out in Schedule 2A;

‘young trained farmer’ means a person in respect of whom it is shown to the satisfaction of the Commissioners that—

(a) the person had not attained the age of 35 years on the date on which the instrument, as respect which relief is being claimed under this section, was executed, and

(b) the conditions referred to in subsection (2), (3) or (4) are satisfied.

(2) The conditions required by this subsection are that the person, referred to in paragraph (a) of the definition of young trained farmer, is the holder of a Schedule 2A qualification, and—

(a) in the case of a qualification set out in subparagraph (f) of paragraph 1, or subparagraph (h) of paragraph 2, of that Schedule, is also the holder of a certificate awarded by the Further Education and Training Awards Council for achieving the minimum stipulated standard in assessments completed in a course of training approved by Teagasc—

(i) in either or both agriculture and horticulture, the aggregate duration of which exceeded 100 hours, and

(ii) in farm management, the aggregate duration of which exceeded 80 hours,

or

(b) in the case of a qualification set out in subparagraph (b), (c) or (d) of paragraph 3 of that Schedule, is also the holder of a certificate awarded by the Further Education and Training Awards Council for achieving the minimum stipulated standard in assessments completed in a course of training, approved by Teagasc, in farm management, the aggregate duration of which exceeded 80 hours.

(3) The conditions required by this subsection are that the person, referred to in paragraph (a) of the definition of young trained farmer—

(a) has achieved the required standard for entry into the third year of a full-time course in any discipline of 3 or more years' duration at a third-level institution, and that has been confirmed by that institution, and

(b) is the holder of a certificate awarded by the Further Education and Training Awards Council for achieving a minimum stipulated standard in assessments completed in a course of training, approved by Teagasc—

(i) in either or both agriculture and horticulture, the aggregate duration of which exceeded 100 hours, and

(ii) in farm management, the aggregate duration of which exceeded 80 hours.

(4) The conditions required by this subsection are that the person, referred to in paragraph (a) of the definition of young trained farmer, is the holder of a letter of confirmation from Teagasc, confirming satisfactory completion of a course of training, approved by Teagasc, for persons, who in the opinion of Teagasc, are restricted in their learning capacity due to physical, sensory, mental health or intellectual disability.

(5) For the purposes of subsection (2), where Teagasc certifies that—

(a) any other qualification corresponds to a Schedule 2A qualification, and

(b) that other qualification is deemed by the National Qualifications Authority of Ireland to be at least at a standard equivalent to that of the Schedule 2A qualification,

the Commissioners shall treat that other qualification as if it were a Schedule 2A qualification.

(6) No stamp duty shall be chargeable under or by reference to the heading ‘CONVEYANCE or TRANSFER on sale of any property other than stocks or marketable securities or a policy of insurance or a policy of life insurance’ in Schedule 1 on any instrument to which this section applies.

(7) This section applies to any instrument which operates as a conveyance or transfer (whether on sale or as a voluntary disposition inter vivos) of an interest in land to a young trained farmer where—

(a) the instrument contains a certificate that this section applies,

(b) a declaration made in writing by the young trained farmer, or each of them if there is more than one, is furnished to the Commissioners when the instrument is presented for stamping, confirming, to the satisfaction of the Commissioners, that it is the intention of such person, or each such person, for a period of not less than 5 years from the date of execution of the instrument to—

(i) spend not less than 50 per cent of that person's normal working time, farming the land, and

(ii) retain ownership of the land,

and

(c) the identifying reference number, known as the Personal Public Service (PPS) Number, of the young trained farmer, or each of them if there is more than one, is furnished to the Commissioners when the instrument is presented for stamping.

(8) Notwithstanding subsection (7), this section shall apply where the property is conveyed or transferred into joint ownership where all the joint owners are young trained farmers or where any of the joint owners is a spouse of another joint owner who is a young trained farmer.

(9) (a) For the purposes of this subsection, a person ‘achieves the standard’ at any time where at that time the person—

(i) is the holder of a Schedule 2A qualification or a qualification treated, by virtue of subsection (5), as being a Schedule 2A qualification,

(ii) satisfies the conditions set out in subsection (3)(a), or

(iii) satisfies the conditions set out in subsection (4),

and whether a person has or has not achieved the standard shall be construed accordingly.

(b) This subsection applies to an instrument by means of which land is conveyed or transferred to a person (in this subsection referred to as the ‘transferee’) who on the date the instrument was executed—

(i) was not a young trained farmer by reason only of the fact that the transferee on that date had not achieved the standard, and

(ii) had completed not less than one academic year of a course necessary to be taken to achieve the standard.

(c) Where within 3 years from the date of execution of an instrument to which this subsection refers, the transferee achieves the standard, the Commissioners shall, on production to them, within 6 months after the date on which the standard was achieved, of—

(i) the stamped instrument,

(ii) subject to paragraph (d), the declaration referred to in subsection (7)(b),

(iii) the Personal Public Service (PPS) Number referred to in subsection (7)(c), and

(iv) satisfactory evidence of compliance with this subsection,

cancel and refund such duty as would not have been chargeable had this section applied to the instrument when it was first presented for stamping.

(d) For the purposes of paragraph (c)(ii), the period of 5 years referred to in subsection (7)(b) as it relates to the requirement that a person spend not less than 50 per cent of the person's normal working time farming land, shall be reduced by the period of time that elapsed between the date of the instrument and the date on which the transferee achieved the standard.

(10) Subsection (6) shall not apply to an instrument unless it has, in accordance with section 20, been stamped with a particular stamp denoting that it is not chargeable with any duty.

(11)  (a) If and to the extent that any person to whom land was conveyed or transferred by any instrument in respect of which relief from duty under this section was allowed—

(i) disposes of such land, or part of such land, within a period of 5 years from the date of execution of the instrument, and

(ii) does not replace such land with other land within a period of one year from the date of such disposal,

then such person or, where there is more than one such person, each such person, jointly and severally, shall become liable to pay to the Commissioners a penalty equal to the amount of the duty which would have been charged in the first instance if the land disposed of had been conveyed or transferred by an instrument to which this section had not applied, together with interest on that amount as may so become payable charged at a rate of 0.0322 per cent for each day or part of a day from the date of disposal of the land to the date the penalty is remitted.

(b) Where any claim for relief from duty under this section has been allowed and it is subsequently found that a declaration made, or a certificate contained in the instrument, in accordance with subsection (7)—

(i) was untrue in any material particular which would have resulted in the relief afforded by this section not being granted, and

(ii) was made, or was included, knowing same to be untrue or in reckless disregard as to whether it was true or not,

then any person who made such a declaration, or where a false certificate has been included, the person or persons to whom the land is conveyed or transferred by the instrument, jointly and severally, shall be liable to pay to the Commissioners as a penalty an amount equal to 125 per cent of the duty which would have been charged on the instrument in the first instance had all the facts been truthfully declared and certified, together with interest on that amount as may so become payable charged at a rate of 0.0322 per cent for each day or part of a day from the date when the instrument was executed to the date the penalty is remitted.

(12) Notwithstanding subsection (11)—

(a) where relief under this section was allowed in respect of any instrument, a disposal by a young trained farmer of part of the land to a spouse for the purpose of creating a joint tenancy in the land, or where the instrument conveyed or transferred the land to joint owners, a disposal by one joint owner to another of any part of the land, shall not be regarded as a disposal to which subsection (11) applies, but on such disposal, such part of the land shall be treated for the purposes of subsection (11) as if it had been conveyed or transferred immediately to the spouse or other joint owner by the instrument in respect of which relief from duty under this section was allowed in the first instance,

(b) a person shall not be liable to more than one penalty under paragraph (b) of subsection (11),

(c) a person shall not be liable to a penalty under paragraph (a) of subsection (11), if and to the extent that such person has paid a penalty under paragraph (b) of subsection (11), and

(d) a person shall not be liable to a penalty under paragraph (b) of subsection (11), if and to the extent that such person has paid a penalty under paragraph (a) of subsection (11).

(13) A person who, before the date of the passing of the Finance Act 2004, for the purposes of section 81—

(a) is the holder of a qualification set out in Schedule 2 or a qualification certified by Teagasc as corresponding to a qualification set out in Schedule 2, and—

(i) a satisfactory attendance at a course of training in farm management, the aggregate duration of which exceeded 80 hours, is required, shall be deemed, for the purposes of this section, to be the holder of a qualification corresponding to that set out in subparagraph (b) of paragraph 3 of Schedule 2A, or

(ii) a satisfactory attendance at a course of training is not required, shall be deemed, for the purposes of this section, to be the holder of a qualification corresponding to that set out in subparagraph (a) of paragraph 2 of Schedule 2A,

(b) satisfies the requirements set out in paragraph (b)(ii)(I) of the definition of young trained farmer in subsection (1) of that section, shall be deemed for the purposes of this section, to have satisfied the requirements set out in subsection (3)(a), and

(c) is the holder of a certificate issued by Teagasc certifying satisfactory attendance at a course of training—

(i) in farm management, the aggregate duration of which exceeded 80 hours, shall be deemed for the purposes of this section to be the holder of a certificate referred to in subsection (2)(b), or

(ii) in either or both agriculture and horticulture, the aggregate duration of which exceeded 180 hours, shall be deemed for the purposes of this section to be the holder of a certificate referred to in subsection (3)(b).

(14) This section shall apply as respects instruments executed on or after the date of the passing of the Finance Act 2004 and on or before 31 December 2005.”,

and

(b) by inserting the following after Schedule 2:

“Section 81A.               SCHEDULE 2A

Qualifications for Applying for Relief From Stamp Duty in Respect of Transfers to Young Trained Farmers

1. Qualifications awarded by the Further Education and Training Awards Council:

(a) Vocational Certificate in Agriculture — Level 3;

(b) Advanced Certificate in Agriculture;

(c) Vocational Certificate in Horticulture — Level 3;

(d) Vocational Certificate in Horse Breeding and Training — Level 3;

(e) Vocational Certificate in Forestry — Level 3;

(f) Awards other than those referred to in subparagraphs (a) to (e) of this paragraph which are at a standard equivalent to the standard of an award under subparagraph (a) of this paragraph.

2. Qualifications awarded by the Higher Education and Training Awards Council:

(a) National Certificate in Agriculture;

(b) National Diploma in Agriculture;

(c) National Certificate in Science in Agricultural Science;

(d) National Certificate in Business Studies in Agri-Business;

(e) National Certificate in Technology in Agricultural Mechanisation;

(f) National Diploma in Horticulture;

(g) National Certificate in Business Studies in Equine Studies;

(h) National Certificate or Diploma awards other than those referred to in subparagraphs (a) to (g) of this paragraph.

3. Qualifications awarded by other third-level institutions:

(a) Primary degrees awarded by the faculties of General Agriculture and Veterinary Medicine at University College Dublin;

(b) Bachelor of Science (Education) in Biological Sciences awarded by the University of Limerick;

(c) Bachelor of Science in Equine Science awarded by the University of Limerick;

(d) Diploma or Certificate in Science (Equine Science) awarded by the University of Limerick.”.

71. —Section 91 of the Principal Act is amended by inserting the following after subsection (2):

“(3) This section shall apply as respects instruments executed before 1 April 2004.”.

72. —(1) The Principal Act is amended by inserting the following after section 91:

“91A.—(1) (a) In this section—

‘floor area compliance certificate’, in respect of a dwellinghouse or apartment, means a certificate issued by the Minister for the Environment, Heritage and Local Government certifying that that Minister is satisfied, on the basis of the information available to that Minister at the time of so certifying, that—

(i) the total floor area of the dwellinghouse or apartment—

(I) does not, or will not, exceed 125 square metres, and

(II) is not, or will not, be less than 38 square metres,

and

(ii) the dwellinghouse or apartment complies or will comply with such conditions, if any, as may be set down in regulations made by that Minister from time to time for the purposes of this section;

‘valid floor area compliance certificate’ means a floor area compliance certificate which has not been withdrawn.

(b) For the purposes of this section the Minister for the Environment, Heritage and Local Government—

(i) may make regulations from time to time—

(I) specifying the manner in which the total floor area of a dwellinghouse or apartment is to be measured, and

(II) setting down conditions in relation to standards of construction of dwellinghouses and apartments and the provision of water, sewerage and other services therein,

(ii) may issue a floor area compliance certificate in respect of a dwellinghouse or apartment to a person where that Minister is satisfied, on the basis of information provided to that Minister by the person, or by a person on behalf of the person, that the person is registered for value-added tax and is the holder of a current certificate of authorisation within the meaning of section 530(1) of the Taxes Consolidation Act 1997 or a current tax clearance certificate within the meaning of section 1094(1) or section 1095(1) of the Taxes Consolidation Act 1997 ,

(iii) may, by notice in writing, withdraw any such certificate already issued, and

(iv) may not issue a floor area compliance certificate in respect of a dwellinghouse or apartment unless any person authorised in writing by that Minister for the purposes of this section is permitted to inspect the dwellinghouse or apartment at all reasonable times on production, if so requested by a person affected, of his or her authorisation.

(2) For the purposes of this section, the Commissioners or any person authorised by the Commissioners on their behalf, may, by notice in writing, request the Minister for the Environment, Heritage and Local Government to provide them, or any person so authorised, with the information, referred to in paragraph (b)(ii) of subsection (1), which was supplied by a person in support of the person's application for a floor area compliance certificate.

(3) Subject to subsection (4), an instrument giving effect to the purchase of a dwellinghouse or apartment on the erection of that dwellinghouse or apartment shall be exempt from all stamp duties.

(4) Subsection (3) shall have effect in relation to an instrument only if the instrument contains a statement, in such form as the Commissioners may specify, certifying that—

(a) the instrument gives effect to the purchase of a dwellinghouse or apartment on the erection of that dwellinghouse or apartment,

(b) until the expiration of the period of 5 years commencing on the date of the execution of the instrument or the subsequent sale of the dwellinghouse or apartment concerned, whichever event first occurs, that dwellinghouse or apartment will be occupied as the only or principal place of residence of the purchaser, or if there be more than one purchaser, of any one or more of the purchasers or of some other person in right of the purchaser or, if there be more than one purchaser, of some other person in right of any one or more of the purchasers and that no person—

(i) other than a person who, while in such occupation, derives rent or payment in the nature of rent in consideration for the provision, on or after 1 April 2004, of furnished residential accommodation in part of the dwellinghouse or apartment concerned, or

(ii) other than by virtue of a title prior to that of the purchaser,

will derive any rent or payment in the nature of rent for the use of that dwellinghouse or apartment, or of any part of it, during that period, and

(c) on the date of execution of the instrument there exists a valid floor area compliance certificate in respect of that dwellinghouse or apartment.

(5) In subsection (4)(b), the reference to the subsequent sale does not include a reference to a sale the contract for which, if it were a written conveyance, would not, apart from section 82, be charged with full ad valorem duty or a sale to a company under the control of the vendor or of any person entitled to a beneficial interest in the dwellinghouse or apartment immediately prior to the sale or to a company which would, in relation to a notional gift of shares in that company taken, immediately prior to the sale, by any person so entitled, be under the control of the donee or successor within the meaning of section 27 of the Capital Acquisitions Tax Consolidation Act 2003 , irrespective of the shares the subject matter of the notional gift.

(6) Where, in relation to an instrument which is exempted from stamp duty by virtue of subsection (3) and at any time during the period referred to in subsection (4)(b), some person, other than a person referred to in subparagraph (i) or (ii) of subsection (4)(b), derives any rent or payment in the nature of rent for the use of the dwellinghouse or apartment concerned, or of any part of it, then the purchaser, or where there be more than one purchaser, each such purchaser, shall—

(a) jointly and severally become liable to pay to the Commissioners a penalty equal to the amount of the duty which would have been charged in the first instance if the dwellinghouse or apartment had been conveyed or transferred or leased by an instrument to which this section had not applied together with interest on that amount charged at a rate of 0.0322 per cent for each day or part of a day from the date when the rent or payment is first received to the date the penalty is remitted, and

(b) the person who receives the rent or payment shall, within 6 months after the date of the payment, notify the payment to the Commissioners on a form provided, or approved of, by them for the purposes of this section, unless that person is already aware that the Commissioners have already received such a notification from another source.

(7) Where a valid floor area certificate, within the meaning of section 91, has issued in respect of a dwellinghouse or apartment, that certificate shall be deemed to be a valid floor area compliance certificate within the meaning of this section, where an exemption from stamp duty is claimed under this section in respect of the dwellinghouse or apartment concerned.

(8) The furnishing of an incorrect statement within the meaning of subsection (4) shall be deemed to constitute the delivery of an incorrect statement for the purposes of section 1078 of the Taxes Consolidation Act 1997 .

(9) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.”.

(2) This section applies as respects instruments executed on or after 1 April 2004.

73. —(1) Section 92 of the Principal Act is amended—

(a) in subsection (1)(a)(iii) by substituting “sections 29, 53, 91 and 91A” for “sections 29, 53 and 91”,

(b) by substituting the following for subsection (1)(b)(i):

“(i) the instrument—

(I) is one to which section 29 or 53, applies and that sections 91 and 91A do not apply, or

(II) gives effect to the purchase of a dwellinghouse or apartment on the erection of that dwellinghouse or apartment and that sections 29, 53, 91 and 91A do not apply,

(ia) on the date of execution of the instrument there exists a certificate, signed by such person or class of persons as may be set down in regulations made by the Minister for the Environment, Heritage and Local Government from time to time for the purposes of this section, stating that the total floor area of the dwellinghouse or apartment does or will exceed 125 square metres, and”,

and

(c) by inserting the following after subsection (2):

“(3) The furnishing of an incorrect statement within the meaning of subsection (1)(b) shall be deemed to constitute the delivery of an incorrect statement for the purposes of section 1078 of the Taxes Consolidation Act 1997 .

(4) For the purposes of this section, the Minister for the Environment, Heritage and Local Government may make regulations from time to time—

(a) specifying the manner in which the total floor area of a dwellinghouse or apartment is to be measured, and

(b) specifying the person or class of persons who may sign a certificate referred to in subsection (1)(b)(ia).

(5) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder.”.

(2) This section applies as respects instruments executed on or after 1 July 2004 other than instruments executed on or after 1 July 2004 solely in pursuance of binding contracts entered into before 1 April 2004.

74. —(1) The Principal Act is amended by substituting the following for section 101:

“101.—(1) In this section—

‘intellectual property’ means—

(a) any patent, trade mark, registered design, design right, invention or domain name,

(b) any copyright or related right within the meaning of the Copyright and Related Rights Act 2000 ,

(c) any supplementary protection certificate provided for under Council Regulation (EEC) No. 1768/92 of 18 June 1992¹ ,

(d) any supplementary protection certificate provided for under Regulation (EC) No. 1610/96 of the European Parliament and of the Council of 23 July 1996² ,

(e) any plant breeders' rights within the meaning of section 4 of the Plant Varieties (Proprietary Rights) Act 1980 , as amended by the Plant Varieties (Proprietary Rights) (Amendment) Act 1998 ,

(f) any application for the grant or registration of anything within paragraph (a), (b), (c), (d) or (e),

(g) any licence or other right in respect of anything within paragraph (a), (b), (c), (d), (e) or (f),

(h) any rights granted under the law of any country, territory, state or area, other than the State, or under any international treaty, convention or agreement to which the State is a party, that correspond to or are similar to those within paragraph (a), (b), (c), (d), (e), (f) or (g),

(i) goodwill to the extent that it is directly attributable to anything within paragraph (a), (b), (c), (d), (e), (f), (g) or (h).

(2) Subject to subsection (3), stamp duty shall not be chargeable under or by reference to any heading in Schedule 1 on an instrument for the sale, transfer or other disposition of intellectual property.

(3) Where stamp duty is chargeable on an instrument under or by reference to any heading in Schedule 1 and part of the property concerned consists of intellectual property—

(a) the consideration in respect of which stamp duty would otherwise be chargeable shall be apportioned, on such basis as is just and reasonable, as between the part of the property which consists of intellectual property and the part which does not, and

(b) the instrument shall be chargeable only in respect of the consideration attributable to such of the property as is not intellectual property.

(4) The amount or value of the consideration attributable to intellectual property, shall be disregarded for the purposes of the statement provided for in paragraphs 7 to 14A of the heading ‘CONVEYANCE or TRANSFER on sale of any property other than stocks or marketable securities or a policy of insurance or a policy of life insurance’ and any statement referred to in those paragraphs shall be construed accordingly.

(5) Where part of the property referred to in subsection (1) of section 45 consists of intellectual property, that subsection shall have effect as if the words ‘in such manner as is just and reasonable’ were substituted for ‘in such manner, as the parties think fit’.

(6) Where part of the property referred to in subsection (3) of section 45 consists of intellectual property and both or, as the case may be, all the relevant persons are connected with one another, that subsection shall have effect as if the words ‘, the consideration shall be apportioned in such manner as is just and reasonable, so that a distinct consideration for each separate part or parcel is set forth in the conveyance relating to such separate part or parcel, and such conveyance shall be charged with ad valorem duty in respect of such distinct consideration.’ were substituted for ‘for distinct parts of the consideration, then the conveyance of each separate part or parcel shall be charged with ad valorem duty in respect of the distinct part of the consideration specified in the conveyance.’.

(7) For the purposes of subsection (6), a person is a relevant person if that person is a person by or for whom the property is contracted to be purchased and the question of whether persons are connected with one another shall be construed in accordance with section 10 of the Taxes Consolidation Act 1997 and as if the reference to the Capital Gains Tax Acts in the definition of relative in that section was replaced by a reference to the Stamp Duties Consolidation Act 1999 .

(8) Where subsection (5) or (6) applies, and the consideration is apportioned in a manner that is not just and reasonable, the conveyance relating to the separate part or parcel of property shall be chargeable with ad valorem duty as if the value of that separate part or parcel of property were substituted for the distinct consideration set forth in that conveyance.”.

(2) This section shall come into operation on such day or days as the Minister for Finance may by order or orders appoint either generally or with reference to any particular purpose or provision and different days may be so appointed for different purposes or different provisions.

75. —(1) Section 125 of the Principal Act is amended by inserting the following after paragraph (d) of the definition of “excluded amount”:

“(e) a premium received in respect of a contract of insurance, the sole purpose of which is to provide for the making of payments for the reimbursement or discharge in whole or in part of fees or charges in respect of the provision of dental services, other than those involving surgical procedures carried out in a hospital by way of hospital in-patient services within the meaning of section 2(1) of the Health Insurance Act 1994 ;”.

(2) This section applies as respects contracts of insurance entered into on or after the date of the passing of the Finance Act 2004.

¹ OJ No. L198, 8.8.1996, p.30

² OJ No. L182, 2.7.1992, p.1