By means of LN 283 of 2016, the purview of the POYC rules will with effect from year of assessment 2017 be also applicable to any person carrying on a business through a pharmacy outlet who incurs capital expenditure or labour expenditure.
A new rule 4A is being added to the Rules, which prescribe that where a qualifying person incurs qualifying expenditure after the 1st January, 2016, a tax credit equivalent to 100% of the cost incurred with respect to each pharmacy outlet shall be allowed against the said person’s tax charge for the relative year of assessment.
The total tax credit available in respect of each pharmacy outlet shall not exceed €14,000. No tax credit under Rule 4A may be claimed for any expenditure in respect of which a deduction has been claimed under rule 4.
No tax credit under Rule 4A may be claimed in respect of any expenditure incurred after the 31st December, 2019. The deduction or tax credit provided for by these rules shall only be allowed where the works related to the expenditure have been completed or the expenditure ascertained.
