PART V PROVISIONS RELATING TO THE SCHEDULE E CHARGE

CHAPTER IV OTHER EXEMPTIONS AND RELIEFS

Other expenses, subscriptions etc.

198 Relief for necessary expenses.

1

M1If the holder of an office or employment is necessarily obliged to incur and defray out of the emoluments of that office or employment the expenses of travelling in the performance of the duties of the office or employment, or of keeping and maintaining a horse to enable him to perform those duties, or otherwise to expend money wholly, exclusively and necessarily in the performance of those duties, there may be deducted from the emoluments to be assessed the expenses so necessarily incurred and defrayed.

2

Subject to subsection (3) below, where the emoluments for any duties do not fall within Case I or II of Schedule E, then in relation to those or any other emoluments of the office or employment, subsection (1) above and F1Part II of the 1990 Act (capital allowances in respect of machinery and plant) shall apply as if the performance of those duties did not belong to that office or employment.

3

There may be deducted from any emoluments chargeable under Case III of Schedule E the amount of—

a

any expenses defrayed out of those emoluments, and

b

any other expenses defrayed in the United Kingdom in the chargeable period or in an earlier chargeable period in which the holder of the office or employment has been resident in the United Kingdom,

being in either case expenses for which a deduction might have been made under subsection (1) above from emoluments of the office or employment if they had been chargeable under Case I of Schedule E for the chargeable period in which the expenses were incurred; but a deduction shall not be made twice, whether under this subsection or otherwise, in respect of the same expenses from emoluments of the office or employment.

4

No deduction shall be made under this section in respect of expenditure incurred by a Member of the House of Commons in, or in connection with, the provision or use of residential or overnight accommodation to enable him to perform his duties as such a Member in or about the Palace of Westminster or his constituency.