The amount of any liability to tax imposed on any individual in relation to a payment by virtue of the operation of the member payment charges in consequence of paragraph 1F1, or by virtue of the operation of Chapter 4 of Part 9 of ITEPA 2003 in consequence of paragraph 5A, is to be reduced by the amount of any tax paid in respect of the payment under the law of any country or territory outside the United Kingdom.

Where, after any tax which an individual is liable to pay in respect of a payment in consequence of paragraph 1 F2or 5A has been paid, tax is paid in respect of the payment under the law of any country or territory outside the United Kingdom, an appropriate adjustment is to be made in the individual’s liability to tax (by way of discharge or repayment of tax).