Section 61G | Application of Income Tax Acts in relation to deemed employment ^F1

(1)The Income Tax Acts (in particular, the PAYE provisions) apply in relation to the deemed employment payment as follows.^F1

(2)They apply as if—^F1

(a)the worker were employed by the MSC to provide the relevant services, and^F1

(b)the deemed employment payment were a payment by the MSC of earnings from that employment;^F1

but this is subject to subsection (3).

(3)No deduction under Part 5 (deductions allowed from employment income) or section 232 (mileage allowance relief) may be made from the deemed employment payment.^F1

(4)Repealed^F1

(5)Repealed^F1

(6)Where the MSC is a partnership and the worker is a member of the partnership, the deemed employment payment is treated as received by the worker in the worker's personal capacity and not as income of the partnership.^F1

(7)Where—^F1

(a)the worker is resident in the United Kingdom, and^F1

(b)the relevant services are provided in the United Kingdom,^F1

the MSC is treated as having a place of business in the United Kingdom, whether or not it in fact does so.