SE40202 - Schedule E Cases I & II: location of duties: absence from duties
Section 132(1) ICTA 1988
Section 132(1) provides rules that deal with the effect of
absence on the place where the employment duties are performed for
the purposes of Cases I and II of Schedule E.
If an employee who ordinarily works in the United Kingdom is
absent from work, the emoluments for the period of absence must be
treated as being for duties performed in the United Kingdom, even
if the employee is in fact abroad at that time. If, exceptionally,
the employee can show that if he had been working, the emoluments
would have been for working abroad then this rules is not
applied.
Example
An employee who is Not Ordinarily Resident in the United Kingdom
performs the duties of the employment in Manchester. Illness meant
that a holiday in Florida was unexpectedly extended so the days
normally spent in the United Kingdom were lost. The Inspector
received a calculation of emoluments chargeable under Case II of
Schedule E that excluded salary attributable to the days of
absence.
The Inspector successfully invoked Section 132(1) to charge
the emoluments under Case II, arguing that the duties of the
employment were normally performed in the United Kingdom.
