Revenue eBrief No. 120/20
24 June 2020
Special Trusts for permanently incapacitated individuals
Tax and Duty Manual Part 07-01-20 - Special Trusts for permanently incapacitated individuals - has been updated as follows:
- To provide clarity that, where “relevant income” and “relevant gains” arise under both section 189 TCA 1997 and section 189A TCA 1997, it is Revenue's view that such “relevant income” or “relevant gains” arising under section 189 TCA 1997 is not included as “total income and gains” when applying the 50% test for section 189A TCA 1997 and vice versa
- To provide further guidance on the meaning of "incapacitated individual"
- To provide further clarity throughout the document on the exemption of tax on income and gains for trustees and individuals, including clarification on dividend withholding tax, DIRT, etc.
- A "worked example" has been included to demonstrate how section 189A TCA operates in practice.