EIM40003 | General earnings: diagram showing the charging provisions
From HM Revenue & Customs · Employment Income Manual
Chapters 4 and 5 of Part 2 ITEPA 2003
The charging provisions for employees altered from 2013/14. There are some transitional rules for employees who were not ordinarily resident at 5 April 2013. These are detailed in the RDR4 Guidance Note on Overseas Workday Relief (OWR). The provisions under which general earnings fall to be charged from 2013/14 onwards for other employees are shown in the following table:-
| United Kingdom residence status of employee | Duties of employment performed either wholly or partly in the United Kingdom | Duties of employment performed either wholly or partly in the United Kingdom | Duties of employment performed wholly outside the United Kingdom |
|---|---|---|---|
| Performed in the United Kingdom | Performed outside the United Kingdom | ||
| Resident and domiciled | Section 15 (See Note 1) | Section 15 (See Note 1) | Section 15 (See Note 1) |
| Resident but not domiciled - section 26A applies | Section 15 (See Note 1) | Section 26 on remittance | Section 26 on remittance |
| Resident but not domiciled - section 26A does not apply | Section 15 | Section 15 if employment with UK employer | Section 22 on remittance if employment with a foreign employer |
| Not resident | Section 27 (see Note 1) | No liability | No liability |
For years prior to 2013/14 the provisions were as follows:-
| United Kingdom residence status of employee | Duties of employment performed either wholly or partly in the United Kingdom | Duties of employment performed either wholly or partly in the United Kingdom | Duties of employment performed wholly outside the United Kingdom |
|---|---|---|---|
| Performed in the United Kingdom | Performed outside the United Kingdom | ||
| Resident, ordinarily resident and domiciled | Section 15 (See Note 1) | Section 15 (See Note 1) | Section 15 (See Note 1) |
| Resident, ordinarily resident but not domiciled | Section 15 (See Note 1) | Section 15 (See Note 1) | Section 15 (See Note 1) \nor \nSection 22 |
| Resident but not ordinarily resident | Section 15 | Section 26 | Section 26 |
| Not resident but ordinarily resident | Section 27 | No liability | No liability |
| Not resident and not ordinarily resident | Section 27 | No liability | No liability |
Note 1
See EIM33000 and subsequent for information on the Seafarers’ Earnings Deduction.