Income Tax (Earnings and Pensions) Act 2003 section 274

Meaning of "the limitation day"

Section 274 defines what "the limitation day" means in relation to an employee's change of residence, and explains when HMRC may extend this deadline.

• The limitation day is the last day of the tax year following the one in which the employee begins performing duties after the employment change
• This deadline sets the time limit within which certain relocation-related expenses and benefits may qualify for tax relief
• An HMRC officer may direct that the limitation day falls at the end of a later tax year if the circumstances of the move make this reasonable
• The decision to extend rests with HMRC and is assessed on a case-by-case basis, taking into account all the circumstances of the particular change of residence