Taxation (International and Other Provisions) Act 2010 (c. 8)

SCHEDULES

SCHEDULE 7 U.K. Miscellaneous relocations

Part 2 U.K. Relocation of section 24 of FA 1974

Taxes Management Act 1970 (c. 9) U.K.

11 U.K. TMA 1970 is amended as follows.

12 U.K. In section 8 (personal return) after subsection (4) insert—

“(4A) Subsection (4B) applies if a notice under this section is given to a person within section 8ZA of this Act (certain persons employed etc by person not resident in United Kingdom who perform their duties for UK clients).

(4B) The notice may require a return of the person's income to include particulars of any general earnings (see section 7(3) of ITEPA 2003) paid to the person.”

13 U.K. After section 8 insert—

“8ZA Interpretation of section 8(4A)

(1) For the purposes of section 8(4A) of this Act, a person (“F”) is within this section if each of conditions A to C is met.

(2) Condition A is that F performs in the United Kingdom, for a continuous period of 30 days or more, duties of an office or employment.

(3) Condition B is that the office or employment is under or with a person who—

(a) is not resident in the United Kingdom, but

(b) is resident outside the United Kingdom.

(4) Condition C is that the duties are performed for the benefit of a person who—

(a) is resident in the United Kingdom, or

(b) carries on a trade, profession or vocation in the United Kingdom.”

14 U.K. After section 15 insert—

“15A Non-resident's staff are UK client's employees for section 15 purposes

(1) Subsection (5) applies if each of conditions A to C is met.

(2) Condition A is that a person (“F”) performs in the United Kingdom, for a continuous period of 30 days or more, duties of an office or employment.

(3) Condition B is that the office or employment is under or with a person who—

(a) is not resident in the United Kingdom, but

(b) is resident outside the United Kingdom.

(4) Condition C is that the duties are performed for the benefit of a person (“P”) who—

(a) is resident in the United Kingdom, or

(b) carries on a trade, profession or vocation in the United Kingdom.

(5) Section 15 of this Act applies as if P were F's employer, but only so as to enable P to be required to make a return of F's name and place of residence.”

Finance Act 1974 (c. 30) U.K.

15 U.K. FA 1974 is amended as follows.

16 U.K. Omit section 24 (returns of persons treated as employees).