Income Tax (Earnings and Pensions) Act 2003 section 41L

Chargeable and unchargeable foreign securities income: just and reasonable apportionment

Section 41L provides an override mechanism that allows the standard calculation of chargeable and unchargeable foreign securities income to be replaced with a just and reasonable apportionment where the standard result would be unfair.

• This section applies when the normal calculation of chargeable or unchargeable foreign securities income produces a result that is not just and reasonable in all the circumstances
• Where the section applies, the amounts treated as chargeable and unchargeable foreign securities income are replaced with amounts that are just and reasonable
• The override displaces the standard calculation that would otherwise apply under section 41H
• All the circumstances must be considered when determining whether the standard apportionment is just and reasonable