Brian Hayes (Dublin South West, Fine Gael) | Oireachtas source

My understanding is that the CAT exemptions only apply where neither disponer nor recipient is resident or domiciled in the State. In most cases, funds hold no assets in the State. Therefore, we would have no right to apply CAT in the majority of cases. The exemption was introduced to ensure clarity. I understand the exemption already exists, but it is being put in the tax code for the sake of clarity.

On why these changes are being made to VAT, CAT and stamp duty with regard to investment limited partnerships, it should be noted that changes in the Finance Bill 2013 do not confer any new exemptions. They are simply being restated. The proposed changes in section 78, to stamp duty legislation in section 86, and in amendment No. 94 to the VAT Acts arise from section 40. Section 40 moved the reference to investment limited partnerships and section 86 is a consequential amendment arising from that. The committee has already accepted section 40.