Income Tax (Earnings and Pensions) Act 2003

287Limit on exemptionU.K.
This adran has no associated Nodiadau Esboniadol

(1)If in the case of any change of residence the value of the exemption exceeds £8,000, section 271 (exemption of removal benefits and expenses) does not apply to the excess.

(2)The value of the exemption is an amount equal to the sum of—

(a)the section 62 earnings, F1...

(b)the benefits code earnings (after taking account of section 64(2)(b) where otherwise an amount that falls within paragraph (a) would be included)[F2, and

(c)the Part 7A employment income]

(3)In this section “the section 62 earnings” means all earnings within section 62 (earnings) in respect of which section 271 would prevent liability to income tax from arising if this section were disregarded.

(4)In this section “the benefits code earnings” means all earnings—

(a)which are treated as such under the benefits code (except earnings so treated under Chapter 7 of Part 3 (taxable benefits: loans)), and

(b)in respect of which section 271 would prevent liability to income tax from arising if this section were disregarded.

(5)In the case of living accommodation, the amount that would be so treated is to be taken to be equal to—

where—

CE is the cash equivalent of the accommodation under Chapter 5 of Part 3 (taxable benefits: living accommodation) for the period in which the accommodation is provided (calculated as mentioned in section 103), and

D is any amount deductible under section 364 (deductions where living accommodation provided).

[F3(6)In this section “the Part 7A employment income” means the amount in respect of which section 271 (when read with section 554P) would prevent liability to income tax arising if this section were to be disregarded.]

Textual Amendments

F1Word in s. 287(2) omitted (with effect in accordance with Sch. 2 paras. 52-59 of the amending Act) by virtue of Finance Act 2011 (c. 11), Sch. 2 para. 13(2)(a)

F2S. 287(2)(c) and word inserted (with effect in accordance with Sch. 2 paras. 52-59 of the amending Act) by Finance Act 2011 (c. 11), Sch. 2 para. 13(2)(b)

F3S. 287(6) inserted (with effect in accordance with Sch. 2 paras. 52-59 of the amending Act) by Finance Act 2011 (c. 11), Sch. 2 para. 13(3)