Part 2Employment income: charge to tax

Chapter 4Taxable earnings: rules applying to employee resident, ordinarily resident and domiciled in UK

When general earnings are received

18Receipt of money earnings

(1)General earnings consisting of money are to be treated for the purposes of this Chapter as received at the earliest of the following times—

(2)Rule 3 applies if the employee is a director of the company at any time in the tax year in which the time mentioned falls.

(3)In this section “director” means—

(a)in relation to a company whose affairs are managed by a board of directors or similar body, a member of that body,

(b)in relation to a company whose affairs are managed by a single director or similar person, that director or person, and

(c)in relation to a company whose affairs are managed by the members themselves, a member of the company,

and includes any person in accordance with whose directions or instructions the directors of the company (as defined above) are accustomed to act.

(4)For the purposes of subsection (3) a person is not to be regarded as a person in accordance with whose directions or instructions the directors of the company are accustomed to act merely because the directors act on advice given by that person in a professional capacity.

(5)Where this section applies—

(a)to a payment on account of general earnings, or

(b)to sums on account of general earnings,

it so applies for the purpose of determining the time when an amount of general earnings corresponding to the amount of that payment or those sums is to be treated as received for the purposes of this Chapter.

19Receipt of non-money earnings

(1)General earnings not consisting of money are to be treated for the purposes of this Chapter as received at the following times.

(2)If an amount is treated as earnings for a particular tax year under any of the following provisions, the earnings are to be treated as received in that year—

(3)If an amount is treated as earnings under section 87 (taxable benefits: non-cash vouchers), the earnings are to be treated as received in the tax year mentioned in section 88.

(4)If subsection (2) or (3) does not apply, the earnings are to be treated as received at the time when the benefit is provided.