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Home / Simons-Taxes /Personal and employment tax /Part E4 Employment income /Division E4.10A Disguised remuneration /Disguised remuneration—the charge to tax / E4.1055 Disguised remuneration—charge to tax—remittance basis
Commentary

E4.1055 Disguised remuneration—charge to tax—remittance basis

Personal and employment tax

How the remittance basis (see E6.324B–E6.332) applies to the disguised remuneration legislation depends on whether A (the employee in E4.1052) meets the three-year non-residence test in ITEPA 2003, s 26A (see E4.109).

A does not meet section 26A test

The provisions described here apply if1:

  1. Ìý

    (a)ÌýÌýÌýÌý the value of the relevant step, or a part of it, is 'for' a tax year ('the relevant tax year') as determined under ITEPA 2003, s 554Z4 (see E4.1054)

  2. Ìý

    (b)ÌýÌýÌýÌý ITA 2007, s 809B, 809D or 809E (remittance basis) applies to A for the relevant tax year

  3. Ìý

    (c)ÌýÌýÌýÌý A does not meet the ITA 2007, s 26A test in the relevant tax year

  4. Ìý

    (d)ÌýÌýÌýÌý A's employment with B (the employer in E4.1052) in the relevant tax year is employment with a 'foreign employer', and

  5. Ìý

    (e)ÌýÌýÌýÌý the duties of A's employment with B in the relevant tax year are performed wholly outside the UK

Note, however, that these provisions do not apply if the anti-avoidance provisions concerning

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