Irish Tax and Customs has amended its tax guidance to make it easier for companies to claim an exemption from withholding tax on patent royalties paid to nonresident companies.
Under prior administrative practice, companies were required to seek advance clearance from Irish Revenue to avoid withholding on payments within the scope of Chapter 6 of Part 8 or section 242A TCA 1997.
Under procedures applicable after October 18, rather than seeking advance clearance, to take advantage of the administrative practice on withholding taxpayers must notify Irish Revenue of their decision to do so prior the due date for filing their tax return.
The changes amend Part 08-01-04 of the Irish Tax and Duty Manual.
See:
