Part 2Employment income: charge to tax

Chapter 5Taxable earnings: remittance basis rules and rules for non-uk resident employees

Remittance basis rules: employees who met section 26A requirement

26Foreign earnings for year when F1remittance basis F2applied and employee metF3 section 26A requirement

(1)

This section applies to general earnings for a tax year F4where section 809B, 809D or 809E of ITA 2007 (remittance basis) F5applied to the employee for that year and the employee F6F7met the requirement of section 26A for that year, F8if the general earnings meet all of the following conditions—

(a)

they are neither—

(i)

general earnings in respect of duties performed in the United Kingdom, nor

(ii)

general earnings from overseas Crown employment subject to United Kingdom tax, and

(b)

if the tax year is a split year as respects the employee, they are attributable to the UK part of the year.

(2)

The full amount of any general earnings within subsection (1) which are remitted to the United Kingdom in a tax year is an amount of “taxable earnings” from the employment in that year.

F9(3)

Subsection (2) applies whether or not the employment is held when the earnings are remitted.

(4)

Section 28 explains what is meant by “general earnings from overseas Crown employment subject to United Kingdom tax”.

F10(5)

See Chapter A1 of Part 14 of ITA 2007 for the meaning of “remitted to the United Kingdom” etc.

F11(5A)

Any attribution required for the purposes of subsection (1)(b) is to be done on a just and reasonable basis.

F12(6)

Section 15(1) does not apply to general earnings within subsection (1).