SE40001 - The scope of Schedule E

Section 19(1)1 ICTA 1988

Introduction

Income tax is charged under Schedule E in respect of:

  • 'offices or employments' (see Employment Status Manual) on
  • 'emoluments therefrom' (see SE00600)

However, it is not sufficient merely to establish that an individual holds an office or employment in order to be able to tax the income from it. The Income Tax law in any country has to define the scope of the charge it creates. In the United Kingdom this is done by reference to the following factors.

  • Residence status of the individual; whether the employee or office holder is:
  • Resident and/or
  • ordinarily resident
  • Not Resident and/or
  • Not Ordinarily Resident

in the United Kingdom (see SE41010)

  • Location of duties; whether the duties are performed:
  • in the United Kingdom or
  • overseas (see SE40202-SE40208)

In addition, when considering foreign emoluments (see SE40031) it is necessary to identify:

  • Domicile (see SE41020 and IM1630) of the individual and
  • Residence of the employer

In certain circumstances income arising from overseas duties may only be charged in the United Kingdom if it is 'received' or 'remitted' here. See SE40302.

More detailed guidance is provided on the pages listed below:

SE40002The Cases of Schedule E
SE40003The Cases of Schedule E: diagram
SE40004Examples of the Cases of Schedule E
SE40005Special rules for determining the year that an emolument is "for". Pre-commencement and post-cessation emoluments
SE40006Effect of non-residence on pre-commencement and post-cessation emoluments
SE40007Effect of non-residence on pre-commencement and post-cessation emoluments
SE40021Overseas offices and employments: interaction with Schedule D Case V
SE40031Meaning of "foreign emoluments"
SE40032Meaning of "the United Kingdom"
SE40033Emoluments paid in foreign currency
SE40034Information about foreign issues
SE40101The Cases of Schedule E: Case I
SE40102Schedule E: exception from Case I in respect of foreign emoluments arising from duties performed wholly outside the United Kingdom
SE40103Foreign emoluments exception: dual contract arrangements
SE40104Dual contract arrangements: example
SE40105Emoluments that cannot be remitted to the United Kingdom
SE40106Deduction from charge under Case I of Schedule E: the Foreign Earnings Deduction
SE40201The Cases of Schedule E: Case II
SE40202Schedule E Cases I & II: location of duties: absence from duties
SE40203Schedule E Cases I and II: "merely incidental" duties
SE40204Schedule E Cases I and II: "merely incidental" duties: examples
SE40205Schedule E Cases I and II: location of duties performed by Crown servants
SE40206Schedule E Cases I and II: location of duties performed on a vessel or aircraft
SE40207Schedule E Cases I and II: location of duties performed on a vessel or aircraft: example
SE40208Schedule E Cases I and II: location of duties: workers in the offshore oil and gas industry
SE40221Schedule E Case II: calculation of emoluments arising from duties performed in the United Kingdom
SE40222Schedule E Case II: calculation of emoluments arising from duties performed in the United Kingdom: example
SE40223Employees performing duties in the United Kingdom: statutory powers to obtain information
SE40301Schedule E Case III: general
SE40302Schedule E Case III: 'Meaning of "received in the United Kingdom"
SE40303Schedule E Case III: "received in the United Kingdom": benefits in kind
SE40304Schedule E: interaction of Case II and III:
SE40321Schedule E Case III: deductions from emoluments
SE40322Schedule E Case III: capital allowances
SE40323Schedule E Case III: delayed remittances
SE40601Double Taxation: general
SE40602Double Taxation: procedure
SE40603Double Taxation: teachers and researchers