Income Tax Act 2007 section 828B

Conditions to be met

Section 828B sets out six conditions (A to F) that a UK-resident but non-domiciled individual must satisfy in order to qualify for the automatic tax exemption on small amounts of foreign earnings and foreign income, without needing to claim the remittance basis.

• The individual must have employment income from duties performed wholly or partly in the UK, with any relevant foreign earnings not exceeding £10,000 and all of those earnings subject to foreign tax.
• Any relevant foreign income of a specific type must not exceed £100 and must be entirely subject to foreign tax; the individual must have no other foreign income or gains for the tax year.
• The individual must not be liable to income tax at rates above the basic rate, the savings basic rate, the savings nil rate, the starting rate for savings, or the equivalent Scottish or Welsh basic and intermediate rates.
• The individual must not file a self-assessment tax return for the tax year in question.