SE32661 - Corresponding payments
Section 192(3) ICTA 1988
Introduction
Employees who receive 'foreign emoluments' (see
SE40031) may incur expenditure which
would have reduced their United Kingdom tax liability if it had
been incurred under an obligation under United Kingdom law. A
special rule provided by Section 192(3) covers this situation. It
provides that a deduction may be given by the Board for payments
made by an employee out of foreign emoluments in circumstances
corresponding to those which would have reduced his liability to
United Kingdom Income Tax.
The following list describes examples of expenditure that
would not otherwise qualify for a relief or deduction:
| SE32671 | Contributions to overseas pension funds |
| SE32681 | Interest paid under a foreign loan agreement |
Other guidance
| SE40031 | Meaning of 'foreign
emoluments''.
|
| SE32665 | Procedure for dealing with corresponding payment claims |
| SE32675 | Treatment of alimony or maintenance paid under the order of a foreign court. |
Claims in respect of items not listed above should be submitted to Employment Income Technical.
