OpenLegislation

Section 189 Relevant UK individualC1I1

United Kingdom

(1)

For the purposes of this Part an individual is a relevant UK individual for a tax year if—

(a)

the individual has relevant UK earnings chargeable to income tax for that year,

(b)

the individual is resident in the United Kingdom at some time during that year,

(c)

the individual was resident in the United Kingdom both at some time during the five tax years immediately before that year and when the individual became a member of the pension scheme, or

(d)

the individual, or the individual’s spouse F1or civil partner, has for the tax year general earnings from overseas Crown employment subject to UK tax.

(2)

In this Part “relevant UK earnings” means—

(a)

employment income,

(b)

income which is chargeable under F2Part 2 of ITTOIA 2005 and is immediately derived from the carrying on or exercise of a trade, profession or vocation (whether individually or as a partner acting personally in a partnership), F3...

F4(ba)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5(bb)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . and

F6(c)

income to which subsection (2A) applies.

F7(2A)

This subsection applies to income if—

(a)

it is patent income, and

(b)

the individual, alone or jointly, devised the invention for which the patent in question was granted.

F8(2B)

The income covered by subsection (2)(b) includes—

(a)

an amount treated as a profit under section 863J(2) of ITTOIA 2005, and

(b)

income treated as received under section 863J(4) of that Act.

(3)

For the purposes of this section and section 190 relevant UK earnings are to be treated as not being chargeable to income tax if, in accordance with arrangements having effect by F9under section 2(1) of the Taxation (International and Other Provisions) Act 2010 (double taxation agreements), they are not taxable in the United Kingdom.

(4)

“General earnings from overseas Crown employment subject to UK tax” has the meaning given by section 28 of ITEPA 2003.

F10(F115)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6A)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6B)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(7)

“Patent income” means—

(a)

royalties or other sums paid in respect of the use of a patent charged to tax under section 579 of ITTOIA 2005,

(b)

amounts on which tax is payable under section 587 or 593 of ITTOIA 2005, or

(c)

amounts on which tax is payable under—

(i)

section 472(5) of the Capital Allowances Act, or

(ii)

paragraph 100 of Schedule 3 to that Act.

Annotations

Textual amendments

F1

Words in s. 189(1)(d) inserted (with effect in accordance with reg. 1(7) of the amending S.I.) by The Tax and Civil Partnership Regulations 2005 (S.I. 2005/3229), regs. 1(1), 176

F2

Words in s. 189(2)(b) substituted (6.4.2006) by Income Tax (Trading and Other Income) Act 2005 (c. 5), Sch. 1 para. 645(2), Sch. 2 para. 161 (with Sch. 2)

F3

Word in s. 189(2) repealed (with effect in accordance with s. 1034(1) of the amending Act) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 473(2)(a), Sch. 3 Pt. 1 (with Sch. 2)

F4

S. 189(2)(ba) omitted (for the purposes of income tax in relation to the tax year 2025-26 and subsequent tax years) by virtue of Finance Act 2025 (c. 8), Sch. 5 paras. 1(a)(i), 12(1) (with Sch. 5 paras. 15, 18(4), 19)

F5

S. 189(2)(bb) omitted (for the purposes of income tax in relation to the tax year 2025-26 and subsequent tax years) by virtue of Finance Act 2025 (c. 8), Sch. 5 paras. 1(a)(ii), 12(1) (with Sch. 5 paras. 15, 18(4), 19)

F6

S. 189(2)(c) substituted (with effect in accordance with s. 1034(1) of the amending Act) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 473(2)(c) (with Sch. 2)

F7

S. 189(2A) inserted (with effect in accordance with s. 1034(1) of the amending Act) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 473(3) (with Sch. 2)

F8

S. 189(2B) inserted (with effect in accordance with Sch. 17 para. 21 of the amending Act) by Finance Act 2014 (c. 26), Sch. 17 para. 18

F9

Words in s. 189(3) substituted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 63 (with Sch. 9 paras. 1-9, 22)

F10

S. 189(5)-(6B) omitted (for the purposes of income tax in relation to the tax year 2025-26 and subsequent tax years) by virtue of Finance Act 2025 (c. 8), Sch. 5 paras. 1(b), 12(1) (with Sch. 5 paras. 15, 18(4), 19)

F11

S. 189(5)-(7) inserted (with effect in accordance with s. 1034(1) of the amending Act) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 473(4) (with Sch. 2)

Modifications

C1

Pt. 4 applied (21.7.2009) by Finance Act 2009 (c. 10), Sch. 35 para. 18

Commencement

I1

Ss. 160-274, 281, Schs. 30-35 in force at 6.4.2006 but any power to make an order or regulations under those provisions may be exercised at any time after Royal Assent, see s. 284

Notes on Part 4

Modifications

C1

Pt. 4 modified (N.I.) (1.4.2006) by The Firemens Pension Scheme Order (Northern Ireland) 2006 (S.R. 2006/210), arts. 1(2), 103

C2

Pt. 4 modified (6.4.2006) by The Pension Protection Fund (Tax) Regulations 2006 (S.I. 2006/575), regs. 1, 9, 10

C3

Pt. 4 modified (6.4.2006) by The Pension Protection Fund (Tax) Regulations 2006 (S.I. 2006/575), regs. 1, 12

C4

Pt. 4 modified (6.4.2006) by The Pension Protection Fund (Tax) Regulations 2006 (S.I. 2006/575), regs. 1, 13(5)

C5

Pt. 4 modified (6.4.2006) by The Pension Protection Fund (Tax) Regulations 2006 (S.I. 2006/575), regs. 1, 26

C6

Pt. 4 modified (31.12.2007) by Police and Justice Act 2006 (c. 48), s. 53(1), Sch. 3 para. 7; S.I. 2007/3203, art. 3(b)

C7

Pt. 4 modified (1.7.2008) (N.I.) (with effect in accordance with reg. 1 of the amending Rule) by The Health and Social Care (Pension Scheme) Regulations (Northern Ireland) 2008 (S.R. 2008/256), regs. 1, 124(1) (with regs. 134, 258)

C8

Pt. 4 modified by The Taxation of Pension Schemes (Transitional Provisions) Order 2006 (S.I. 2006/572), reg. 5A (as inserted (6.4.2006) by S.I. 2008/2990, arts. 1(1), 3)

C10

Pt. 4 modified (19.7.2011) by Finance Act 2011 (c. 11), Sch. 18 para. 14(3)

C11

Pt. 4 applied (with modifications) (with application in accordance with Sch. 22 para. 1 of the amending Act) by Finance Act 2013 (c. 29), Sch. 22 para. 1(2)

C12

Pt. 4 modified (17.7.2014) by Finance Act 2014 (c. 26), Sch. 6 para. 1(2)(3)

C13

Pt. 4: power to amend conferred (17.12.2014) by Taxation of Pensions Act 2014 (c. 30), s. 4(3)

C14

Pt. 4 modified (15.9.2016) by Finance Act 2016 (c. 24), Sch. 4 para. 1

C15

Pt. 4 modified (15.9.2016) by Finance Act 2016 (c. 24), Sch. 4 para. 9(2)

C16

Pt. 4 modified (with effect in relation to the tax year 2024-25 and subsequent tax years) by The MPs’, Senedd and Assembly Pension Schemes (Tax) Regulations 2025 (S.I. 2025/52), regs. 1(2)(3), 6

C17

Pt. 4 modified (14.7.2026 for the tax year 2014-15 and subsequent tax years) by The Public Service Pension Schemes (Rectification of Unlawful Discrimination) (Tax) Regulations 2026 (S.I. 2026/673), regs. 1(2), 10