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

Meaning of "overseas Crown employment subject to UK tax"

Section 41X defines what is meant by earnings and securities income "from overseas Crown employment subject to United Kingdom tax" for the purposes of the foreign employment relief provisions.

• Overseas Crown employment means Crown employment (such as working for a government department or the Crown) where the duties are performed outside the United Kingdom
• Earnings and securities income from such employment are treated as "subject to UK tax" unless an exemption order has been made under section 28(5) removing them from the UK tax charge
• The Treasury has power to disapply those exemptions specifically for this section, or to create separate exemptions that apply only in this context
• Where securities income is only partly from overseas Crown employment subject to UK tax, a just and reasonable apportionment must be made to determine how much qualifies

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