Schedule 6 contains provision about employment income in cases where duties are performed in the UK and overseas.
Schedule 7 contains provision about the application of the remittance basis in relation to exempt property.
(1)ITA 2007 is amended as follows.
(2)In section 809K (sections 809L to 809Z6: introduction), in subsection (2)(e), for “809V” substitute “ 809UA ”.
(3)Before section 809V (but after the italic heading) insert—
(1)Subsection (2) applies to income or chargeable gains of an individual if—
(a)the income or gains would (but for subsection (2)) be regarded as remitted to the United Kingdom by virtue of the bringing of money to the United Kingdom,
(b)the money is brought to the United Kingdom by way of direct payments to the Commissioners on account of income tax,
(c)the tax year (“tax year 2”) in respect of which the payments on account are made is a tax year for which section 809H (remittance basis charge for long-term UK resident) does not apply as respects the individual, and
(d)that section applied as respects the individual for the previous tax year (“tax year 1”).
(2)The relevant amount of income or chargeable gains is to be treated as not remitted to the United Kingdom if money equal to the relevant amount is taken offshore by—
(a)the 15 March following the end of tax year 2, or
(b)such later date as the Commissioners may allow on a claim made by the individual.
(3)A claim under subsection (2)(b)—
(a)may be made only if the individual has made and delivered a return under section 8 of TMA 1970 for tax year 2 and reasonably expects to receive from the Commissioners a repayment of tax paid in respect of that tax year, and
(b)may be made no later than the 5 April following the end of tax year 2.
(4)Money that is taken offshore in accordance with subsection (2) is to be treated as having the same composition of kinds of income and capital as the money used to make the payments on account.
(5)In this section “the relevant amount” means the lower of the following—
(a)the amount brought to the United Kingdom as mentioned in subsection (1)(b), and
(b)the applicable amount (as defined in section 809H) for tax year 1.”
(4)In section 809Z9(11) (taking proceeds etc offshore or investing them: modification of general provisions)—
(a)for “section 809VB(2) but in that case” substitute “ sections 809UA(2) and 809VB(2), but in those cases ”, and
(b)at the beginning of paragraph (b) insert “ in the case of section 809VB(2), ”.
(5)The amendments made by this section have effect in relation to payments on account made in respect of the tax year 2012-13 and subsequent tax years.
(1)In Chapter 8 of Part 2 of ITEPA 2003 (application of provisions to workers under arrangements made by intermediaries), in section 49 (engagements to which Chapter applies), for subsection (1)(c) substitute—
“(c)the circumstances are such that—
(i)if the services were provided under a contract directly between the client and the worker, the worker would be regarded for income tax purposes as an employee of the client or the holder of an office under the client, or
(ii)the worker is an office-holder who holds that office under the client and the services relate to the office.”
(2)This section has effect for the tax year 2013-14 and subsequent tax years.
(1)Section 139 of ITEPA 2003 (car with CO2 figure: the appropriate percentage) is amended in accordance with subsections (2) to (6).
(2)In subsection (2), after “the relevant threshold” omit “for the year”.
(3)For subsection (2)(a) substitute—
“(a)if the car's CO2 emissions figure does not exceed 50 grams per kilometre driven, 5%,
(aa)if the car's CO2 emissions figure exceeds 50 grams per kilometre driven but does not exceed 75 grams per kilometre driven, 9%, and”.
F1(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5)In subsection (3)—
(a)after “the relevant threshold” omit “for the year”, and
F2(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(6)In subsection (4)—
(a)after “the relevant threshold” (in both places) omit “for the year”, and
(b)in paragraph (b), for “35%” substitute “ 37% ”.
(7)Section 140 of that Act (car without CO2 figure: the appropriate percentage) is amended in accordance with subsections (8) to (11).
(8)In the Table in subsection (2), for “35%” substitute “ 37% ”.
(9)For subsection (3)(a) substitute—
“(a)5% if the car cannot in any circumstances emit CO2 by being driven, and”.
(10)In subsection (3)(b), for “35%” substitute “ 37% ”.
(11)Omit subsection (3A).
(12)The amendments made by this section have effect for the tax year 2015-16 and subsequent tax years.
Textual Amendments
F1S. 23(4) omitted (with effect in accordance with s. 24(17) of the amending Act) by virtue of Finance Act 2014 (c. 26), s. 24(16)
F2S. 23(5)(b) omitted (with effect in accordance with s. 24(17) of the amending Act) by virtue of Finance Act 2014 (c. 26), s. 24(16)
Schedule 8 amends Chapter 9 of Part 4 of ITTOIA 2005 (gains from contracts for life insurance etc).
Schedule 9 amends Schedule 15 to ICTA (qualifying insurance policies) and makes other provision relating to qualifying policies under Schedule 15 to ICTA.
Schedule 10 amends Chapter 2 of Part 13 of ITA 2007 (tax avoidance: transfer of assets abroad).
Schedule 11 contains provision in connection with the payment of interest for the purposes of income tax.
Schedule 12 contains provision about returns which are economically equivalent to interest.