Section 514 Capital receipts: PAYE deductions to be made by trustees
United Kingdom
This section applies if—
the trustees receive a sum of money which constitutes (or forms part of) a capital receipt which, by virtue of the SIP code, counts as employment income of a participant when it is received by the participant, and
either condition A or B is met.
Condition B is that there is no company that qualifies as the employer company (within the meaning of that section).
If this section applies, the trustees must, when paying the capital receipt over to the participant, make a PAYE deduction in respect of the taxable equivalent as if the participant were a former employee of the trustees.
The “taxable equivalent” means an amount equal to the amount which counts as employment income as mentioned in subsection (1)(a).
If this section applies, section 689 (employee of non-UK employer) does not apply.
Annotations
Textual amendments
- F1
Words in Act substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 102(1); S.I. 2005/1126, art. 2(2)(h)
- F2
Word in s. 514(2)(a) substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 115(a); S.I. 2005/1126, art. 2(2)(h)
- F3
Word in s. 514(2)(b) substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 115(b); S.I. 2005/1126, art. 2(2)(h)
Notes on Part 7
Textual amendments
- F1
Pt. 7 heading substituted (with effect in accordance with Sch. 22 para. 2(2) of the amending Act) by Finance Act 2003 (c. 14), Sch. 22 para. 2(1)
Modifications
- C1
Pt. 7: power to modify conferred (7.4.2005) by Finance Act 2005 (c. 7), s. 21(8)-(10)
Notes on Chapter 6
Textual amendments
- F1
Word in Pt. 7 Ch. 6 title omitted (6.4.2014) by virtue of Finance Act 2014 (c. 26), Sch. 8 paras. 2, 89 (with Sch. 8 paras. 90-96)