Paragraph 42

Section 735 (remittance basis etc) is amended as follows.

For the heading substitute “Qualifying new residents and remittance-basis users: “foreign” deemed income”.

For subsection (1) substitute—

“(1)

Subsection (2) applies in relation to income treated under section 732 as arising to an individual (“the deemed income”)—

(a)

in the tax year 2024-25 or an earlier tax year if section 809B, 809D or 809E (remittance basis) applied to the individual for that tax year, or

(b)

in the tax year 2025-26 or a later tax year if the individual is entitled to claim relief under section 845A of ITTOIA 2005 (qualifying new residents) for that tax year.”

After subsection (2) insert—

“(2A)

Subsections (3) to (5) apply where the deemed income falls within subsection (1)(a).”

At the end insert—

“(6)

As to income falling within subsection (1)(b), see the table in section 845H of ITTOIA 2005 (under which deemed income that is foreign for the purposes of this section is “qualifying foreign income” and so may be identified in a foreign income claim).”