Foreign service relief claim rejected on the evidence
In Da Silva v HMRC [2020] UKFTT 106 (TC) (20 February 2020) the FTT rejected the taxpayer’s claim for ‘foreign service’ tax relief on a termination payment. Analysis of the documentary evidence showed that he had been ordinarily resident in the UK during the period in question.
Mr Da Silva (DS) had entered into an employment contract with Afferro Mining on 1 January 2012. His employment was terminated by compromise agreement on 19 December 2013 and he received a termination payment of £578 400. He claimed the first £30 000 was exempt from tax under ITEPA 2003 s 403 and that some £253 000 was exempt under s 414 (relief for foreign service element).
The question was whether or not DS was ordinarily resident in the UK for the relevant period. If he was then foreign service relief would...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
Foreign service relief claim rejected on the evidence
In Da Silva v HMRC [2020] UKFTT 106 (TC) (20 February 2020) the FTT rejected the taxpayer’s claim for ‘foreign service’ tax relief on a termination payment. Analysis of the documentary evidence showed that he had been ordinarily resident in the UK during the period in question.
Mr Da Silva (DS) had entered into an employment contract with Afferro Mining on 1 January 2012. His employment was terminated by compromise agreement on 19 December 2013 and he received a termination payment of £578 400. He claimed the first £30 000 was exempt from tax under ITEPA 2003 s 403 and that some £253 000 was exempt under s 414 (relief for foreign service element).
The question was whether or not DS was ordinarily resident in the UK for the relevant period. If he was then foreign service relief would...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
