Income Tax Act 2007 section 900

Deduction from commercial payments made by individuals

Section 900 requires individuals to deduct income tax at the basic rate from qualifying annual payments they make for genuine commercial reasons connected with their trade, profession or vocation.

• Applies only to qualifying annual payments made by individuals for genuine commercial reasons linked to their trade, profession or vocation
• The individual must deduct income tax at the basic rate in force for the tax year in which the payment is made
• The tax deducted is collected through the individual's self-assessment return, rather than by direct assessment
• These are the only qualifying annual payments made by individuals that remain within the scope of the deduction at source rules