Income Tax (Earnings and Pensions) Act 2003 section 22

Chargeable overseas earnings for year when remittance basis applied and employee outside section 26

Section 22 deals with how chargeable overseas earnings are taxed on the remittance basis for employees who do not meet the three-year non-residence requirement of section 26A.

• Applies where the remittance basis applies to the employee for the tax year and the employee does not meet the section 26A three-year non-residence requirement
• Chargeable overseas earnings become taxable earnings only when, and to the extent that, they are remitted to the United Kingdom, and this applies even if the employment has ended by the time the remittance occurs
• Any deductions already factored into the section 23 calculation of chargeable overseas earnings cannot be deducted again from those same taxable earnings, but may instead be set against taxable earnings arising under section 15
• The normal rule in section 15(1), which would otherwise tax general earnings in full, is switched off for earnings falling within this section