EIM43565 | Globally mobile employees: Overseas Workday Relief: qualifying foreign general earnings

Section 41U ITEPA 2003 defines what it means for general earnings (see EIM00511) to be “qualifying general earnings” and for qualifying general earnings to be “qualifying foreign general earnings”.

General earnings are “qualifying general earnings” if they are for the qualifying year (see EIM40008) and are from an employment the duties of which are performed wholly or partly outside the UK during the qualifying year.

If the qualifying year is a split year, only the general earnings attributable to the UK part of the year can be qualifying general earnings. Any attribution required is to be done on a just and reasonable basis.

Qualifying general earnings are “qualifying foreign general earnings” to the extent they are neither in respect of duties performed in the UK, nor are from overseas Crown employment subject to UK tax (see EIM40205).

The extent to which qualifying general earnings is not in respect of duties performed in the UK is to be determined on a just and reasonable basis. Section 41Y applies in determining the location of employment duties for the purpose of this Chapter. More information can be found on the following manual pages:

• EIM40202 - in respect of periods of absence

• EIM40206 - in respect of duties performed on a vessel or aircraft

• EIM40208 - in respect of workers in the offshore oil and gas industry on the UK continental shelf

• EIM40210 - in respect of earnings received for duties that were not performed

Please note that section 39 ITEPA 2003 in connection to incidental duties has not been extended to this Chapter.