RDRM33110 | Remittance Basis: Identifying Remittances: Conditions A and B: Conditions A and B - the basic remittance conditions

Section 809L(2) and (3) Income Tax Act 2007

Conditions A and B are the basic rules that will apply to most remittance basis users; they must be taken together in determining whether a taxable remittance has occurred.

Condition A is met where:

• money or other property is brought to or received or used in the UK by or for the benefit of a relevant person (see RDRM33030 for a definition of 'relevant person')

• a service is provided in the UK to or for the benefit of any relevant person

• money or other property is used outside the UK, directly or indirectly, to provide a benefit in the UK for a relevant person (from 6 April 2025)

Condition B is met where:

• the money or other property, or the service or the consideration for the service identified in Condition A is the individual’s income or chargeable gains, whether in whole or in part

• the money or other property, or the service or the consideration for the service identified in Condition A derives, directly or indirectly, from the individual’s income or chargeable gains

• in the case of property or consideration for a service only - is property of, or consideration for a service, given by a relevant person

• the individual’s income or chargeable gains, or anything deriving from them, are used outside the UK in respect of a relevant debt (see RDRM33040 for a definition of 'relevant debt')