64(1)Section 329 (deduction from earnings not to exceed earnings) is amended as follows.U.K.
(2)After subsection (1) insert—
“(1A)If the earnings from which a deduction allowed under this Part is deductible include earnings that are “excluded” within the meaning of section 15(1A)—
(a)the amount of the deduction allowed is a proportion of the amount that would be allowed under this Part if the tax year were not a split year, and
(b)that proportion is equal to the proportion that the part of the earnings that is not “excluded” bears to the total earnings.”
(3)In subsection (2), after “those earnings” insert “ (or, in a case within subsection (1A), the part of those earnings that is not “excluded”) ”.
(4)In subsection (3), after “the earnings” insert “ (or, in a case within subsection (1A), the part of the earnings that is not “excluded”) ”.