[F1197AG Giving effect to mileage allowance reliefU.K.
(1)Mileage allowance relief to which an employee is entitled for a tax year is given effect as follows.
(2)Where any emoluments of the employment fall within Case I or IIof Schedule E, the relief is allowed as a deduction from those emoluments in calculating the amount chargeable to tax for that tax year.
(3)In the case of emoluments chargeable under Case III of Schedule E for a tax year there may be deducted from those emoluments the amount of any mileage allowance relief—
(a)for that tax year, and
(b)for any earlier tax year in which the employee was resident in the United Kingdom,
which might have been deducted from the emoluments of the employment for the tax year for which the employee is entitled to the relief if those emoluments had been chargeable under Case I of Schedule E.
(4)Subsection (3) above applies only to the extent that the mileage allowance relief cannot be deducted under subsection (2) above.
(5)A deduction shall not be made twice, whether under subsection (2) or (3) above, in respect of the same mileage allowance relief.]
Textual Amendments
F1Ss. 197AD-197AH and preceding cross-heading inserted (with effect in accordance with s. 57(4) of the amending Act) by Finance Act 2001 (c. 9), s. 57(1)