SCHEDULE 4Provisions derived from the Income Tax Acts and the Income Tax (Pay As You Earn) Regulations 2003

PART I GENERAL

F1Intermediaries

4A.

(1)

Where any payment of F2general earnings of an employee is made by an intermediary of the employer, the employer shall be treated, for the purposes of this Schedule other than–

(a)

paragraph 7(1),

(b)

paragraph 7(3)(a),

(c)

the references to a subsequent payment of F2general earnings or of monetary earnings in paragraph 7(3) and (8), and

(d)

paragraph 7(11),

as making the payment of those F2general earnings to the employee.

(2)

For the purposes of this paragraph, a payment of F2general earnings of an employee is made by an intermediary of the employer if it is made–

(a)

either–

(i)

by a person acting on behalf of the employer and at the expense of the employer, or

(ii)

by a person connected with him, or

(b)

by trustees holding property for any persons who include, or class of persons which includes, the employee.

(3)

Section 839 of the Taxes Act (connected persons) applies for the purposes of this paragraph.