Income Tax (Trading and Other Income) Act 2005 section 15

Divers and diving supervisors

Section 15 allows divers and diving supervisors whose work consists mainly of seabed diving activities to have their employment income taxed as if they were carrying on a trade, rather than being taxed as employees.

• Applies to divers and diving supervisors employed in the UK or designated Continental Shelf areas whose duties consist wholly or mainly of seabed diving activities
• Where the conditions are met, the employment duties are treated for income tax purposes as carrying on a trade in the UK rather than as employment
• Seabed diving activities cover both diving in operations concerned with exploring or exploiting the seabed and its natural resources, and supervising such diving operations
• The effect is that these individuals are taxed under the trading income rules instead of the employment income rules, allowing them to deduct expenses on the more generous basis available to the self-employed