Section 420A Temporary non-residentsF1

United Kingdom

(1)

This section applies if an individual is temporarily non-resident.

(2)

Debts within subsection (3) are to be treated for the purposes of this Chapter as if they had been released or written off in the period of return.

(3)

A debt is within this subsection if—

(a)

it is the debt, or a part of the debt, in respect of a loan or advance made by a company to the individual,

(b)

it is released or written off in the temporary period of non-residence, and

(c)

ignoring this section, the individual—

(i)

is not liable for tax under this Chapter in respect of the release or write-off, but

(ii)

would have been so liable, had the release or write-off taken place in the period of return.

(4)

Subsection (3)(c)(i) includes a case where the individual could be relieved of liability on the making of a claim under section 6 of TIOPA 2010 (double taxation relief), even if no claim is in fact made.

Annotations

Textual amendments

F1: S. 420A inserted (with effect in accordance with Sch. 45 para. 153(3) of the amending Act) by Finance Act 2013 (c. 29), Sch. 45 para. 136