Section 27 UK-based earnings for year when employee not resident in UK

United Kingdom

(1)

This section applies to general earnings for a tax year F1for which the employee is not resident in the United Kingdom if they are—

(a)

general earnings in respect of duties performed in the United Kingdom F2that do not fall within paragraph (c), ...

(b)

general earnings from overseas Crown employment subject to United Kingdom tax F3that do not fall within paragraph (c)F4, or

(c)

general earnings to which section 402B (termination payments, and other benefits, that cannot benefit from the section 403 threshold, to be treated as earnings) applies F5and which have been reduced by a claim for relief under section 414 (reduction in other cases of foreign service).

(2)

The full amount of any general earnings within subsection F6(1) which are received in a tax year is an amount of “taxable earnings” from the employment in that year.

(2A)

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

F7(3)

F8Subsection (2) applies whether or not the employment is held when the earnings are received.

(4)

Section 28 explains what is meant by “general earnings from overseas Crown employment subject to United Kingdom tax”.

F9(5)

Sections 18 and 19 (time when earnings are received) apply for the purposes of this section.

Annotations

Textual amendments

F1: Words in s. 27(1) substituted (17.7.2013) by Finance Act 2013 (c. 29), Sch. 45 para. 149
F2: Words in s. 27(1)(a) inserted (with effect in accordance with s. 23(7) of the amending Act) by Finance Act 2026 (c. 11), s. 23(2)(a)(i)(7)
F3: Words in s. 27(1)(b) inserted (with effect in accordance with s. 23(7) of the amending Act) by Finance Act 2026 (c. 11), s. 23(2)(a)(ii)(7)
F4: S. 27(1)(c) and word inserted (with effect in accordance with s. 22(8) of the amending Act) by Finance Act 2021 (c. 26), s. 22(2)(b)
F5: Words in s. 27(1)(c) inserted (with effect in accordance with s. 23(7) of the amending Act) by Finance Act 2026 (c. 11), s. 23(2)(a)(iii)(7)
F6: Word in s. 27(2) substituted (with effect in accordance with s. 23(7) of the amending Act) by Finance Act 2026 (c. 11), s. 23(2)(b)(7)
F7: S. 27(3) substituted (with effect in accordance with Sch. 7 para. 81 of the amending Act) by Finance Act 2008 (c. 9), Sch. 7 para. 20(2)
F8: Words in s. 27(3) substituted (with effect in accordance with s. 23(7) of the amending Act) by Finance Act 2026 (c. 11), s. 23(2)(d)(7)
F9: S. 27(5) inserted (with effect in accordance with Sch. 7 para. 81 of the amending Act) by Finance Act 2008 (c. 9), Sch. 7 para. 20(3)

Notes on Part 2

Modifications

C1: Pt. 2 applied (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), ss. 969(4)(a), 1329(1) (with Sch. 2 Pts. 1, 2)
C2: Pt. 2 applied (E.W.S.) (31.3.2017) by The Equality Act 2010 (Specific Duties and Public Authorities) Regulations 2017 (S.I. 2017/353), reg. 1(1), Sch. 1 para. 4(3) (with reg. 2(4)(5))

Notes on Chapter 5

Textual amendments

F1: Pt. 2 Ch. 5 title substituted (with effect in accordance with Sch. 7 para. 81 of the amending Act) by Finance Act 2008 (c. 9), Sch. 7 para. 10