Part 5

Employment income: deductions allowed from earnings
Chapter 1

Deductions allowed from earnings: general rules

Introduction

Deductions from earnings: general
327
1
This Part provides for deductions that are allowed from the taxable earnings from an employment in a tax year in calculating the net taxable earnings from the employment in the tax year for the purposes of Part 2 (see section 11(1)).
2
In this Part, unless otherwise indicated by the context—
a
references to the earnings from which deductions are allowed are references to the taxable earnings mentioned in subsection (1), and
b
references to the tax year are references to the tax year mentioned there.
3
The deductions for which this Part provides are those allowed under—
- Chapter 2 (deductions for employee’s expenses),
- Chapter 3 (deductions from benefits code earnings),
- Chapter 4 (fixed allowances for employee’s expenses),
- Chapter 5 (deductions for earnings representing benefits or reimbursed expenses), and
- Chapter 6 (deductions from seafarers' earnings).
4
Further provision about deductions from earnings is made in—
- section 232 (giving effect to mileage allowance relief),
- ... and
- section 262 of CAA 2001 (capital allowances to be given effect by treating them as deductions from earnings).
5
Further provision about deductions from income including earnings is made in—
- Part 12 (payroll giving), and
- sections 188 to 194 of FA 2004 (contributions to registered pension schemes).
Words in s. 327(5) substituted (6.4.2006) by Finance Act 2004 (c. 12), s. 284(1), Sch. 35 para. 60(3) (with Sch. 36)
Words in s. 327(4) repealed (6.4.2006) by Finance Act 2004 (c. 12), s. 284(1), Sch. 35 para. 60(2), Sch. 42 Pt. 3 (with Sch. 36)