½Û×ÓÊÓƵ

General earnings—overview

E4.401 General earnings—definitions

As described in E4.102, ITEPA 2003 imposes charges to tax on employment income, pension income and social security income. The charge to tax on employment income is split into a charge on 'general earnings' and 'specific employment income'¹. 'General earnings' consist of:

1. Ìý

   •ÌýÌýÌýÌý earnings (as defined by ITEPA 2003, s 62)², and

2. Ìý

   •ÌýÌýÌýÌý various amounts that are 'treated as earnings'³ (see E4.102)

Accordingly, ⁴, 'earnings' within 'General earnings' means⁵:

1. Ìý

   •ÌýÌýÌýÌý any salary, wages or fee

2. Ìý

   •ÌýÌýÌýÌý any gratuity or other profit or incidental benefit of any kind obtained by the employee if it is money or money's worth, or

3. Ìý

   •ÌýÌýÌýÌý anything else that constitutes an emolument of the employment

The reference to 'emolument' in the above definition ensures that case law prior to ITEPA 2003 is still applicable.

'Money's worth' means something that is:

1. Ìý

   —ÌýÌýÌýÌý of direct monetary value to the employee, or