Income Tax (Earnings and Pensions) Act 2003 section 607

Taxable pension income

Section 607 establishes how to determine the amount of taxable pension income, which is then used in calculating net taxable pension income under section 567.

• This section sets out the basis of assessment for pension income subject to income tax.
• It identifies the specific amount that constitutes taxable pension income for a given tax year.
• The taxable pension income figure determined here feeds into the broader computation of net taxable pension income under section 567.
• The provision derives from the earlier rules contained in section 64 of the Income and Corporation Taxes Act 1988, updated and rewritten for clarity.