Finance Act, 1996
|
Amendment of section 19 (value of agricultural property) of Principal Act. |
122.—(1) Section 19 of the Principal Act is hereby amended— | |
(a) by the substitution of the following definition for the definition of “agricultural value” in subsection (1) (inserted by the Finance Act, 1994 ): | ||
“‘agricultural value’ means the market value of agricultural property reduced by 75 per cent. of that value: | ||
Provided that the agricultural value of agricultural property, other than farm machinery, livestock and bloodstock, comprised in a gift shall not be greater than it would have been if section 122 of the Finance Act, 1996, had not been enacted;”, | ||
(b) by the deletion of subsection (4) (inserted by the Finance Act, 1994 ), and | ||
(c) in paragraph (a) (inserted by the Finance Act, 1994 ) of subsection (5)— | ||
(i) by the substitution of “ten years” for “six years” in subparagraph (i), | ||
(ii) by the substitution of the following proviso for the proviso to that paragraph: | ||
“Provided that— | ||
(I) this paragraph shall not have effect where the donee or successor dies before the property is sold or compulsorily acquired; | ||
(II) where the event which causes the agricultural value to cease to be applicable occurs after the expiration of the period of six years commencing on the date of the gift or the date of the inheritance, the tax chargeable in respect of the gift or inheritance shall not be greater than it would have been if section 122 of the Finance Act, 1996, had not been enacted.”. | ||
(2) This section shall have effect in relation to gifts or inheritances taken on or after the 23rd day of January, 1996. |