CHAPTER 75:01 - Inland Revenue Division

Corporation Tax Act Mac 1
Vol. 1
PART 2
COUNTRIES TO WHICH EXPORTS DO NOT QUALIFY FOR EXPORT
ALLOWANCE
Repealed Finance Act 1997
Finance Act 2002*
PART 3
143 PRODUCTS WHICH DO NOT QUALIFY FOR EXPORT
ALLOWANCE
Repealed Act No. 22 of 1979
Act No. 5 of 1995
Finance Act 2002*
*Effective 1 st January 2003
143 BIR Note: The former Schedule IV repealed by Section 13 of the Finance Act. No. 14 of 1976 read
as follows:-
1. Where a company has made export sales during any of the three immediately preceding
years of income, the export allowance shall equal an amount calculated at the
rate of 1 per cent of the notional chargeable profits from exports in respect of every
1 per cent increase in the proceeds from the sales of exports during the year of
income over the average annual proceeds from the sales of exports during the three
immediately preceding years of income, so however, that the export allowance from
any year of income shall not exceed an amount equal to 44 per cent of the notional
chargeable profits from exports in that year.
2. Where a company has made no export sales during any of the three immediately
preceding years of income, the export allowance shall equal 44 per cent of the
notional chargeable profits from export for the year of income.
3. (1) The notional chargeable profits from exports shall be taken to be the amount
produced by the formula
P x E, where -
S
(a) P is the chargeable profits of the company for any of the six years of income
beginning with the two years immediately preceding and ending with the three years
immediately following the year of income for which the allowance is claimed; and
(b) for the year for which the export allowance is claimed, E is the proceeds from
sales of exports (f.o.b.) and S is the proceeds from all sales for that year.
(2) In computing the proceeds from all sales for the year, where excise duty is paid
upon any goods sold the amount of the excise duty shall be deducted.
BIR Mac Edition 91/01 Page 226