C1Part 15Deduction of income tax at source

Annotations:
Modifications etc. (not altering text)
C1

Pt. 15 modified (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), ss. 551(4), 1329(1) (with Pts. 1, 2, Sch. 2 para. 78)

C1Chapter 6Deduction from annual payments and patent royalties

Duty to deduct from annual payments

C2900Deduction from commercial payments made by individuals

1

This section applies to any payment made in a tax year if—

a

it is a qualifying annual payment,

b

the person who makes it is an individual, and

c

it is made for genuine commercial reasons in connection with the individual's trade, profession or vocation.

2

The individual must, on making the payment, deduct from it a sum representing income tax on it at the basic rate in force for the tax year.

3

Income tax equal to the sum required to be deducted is to be collected through the individual's self-assessment return (see Chapter 17).