Income Tax (Trading and Other Income) Act 2005 section 831

Claims for relevant foreign income to be charged on the remittance basis

Section 831 previously allowed individuals to claim that certain foreign income should be taxed only on the remittance basis — that is, taxed only when brought into the UK — rather than on the arising basis.

• Section 831 provided the mechanism by which taxpayers could elect for relevant foreign income to be taxed on the remittance basis rather than the arising basis.
• Under the remittance basis, foreign income was only subject to UK income tax when it was actually brought into (remitted to) the United Kingdom.
• This section was removed from the legislation by the Finance Act 2008, Schedule 7, paragraph 52, as part of a wider reform of the remittance basis rules.
• The repeal took effect from the 2008–09 tax year onwards; the revised remittance basis regime introduced by the Finance Act 2008 replaced the former claim-based approach with a new framework under different provisions.