Commentary on Sections Example 3 Ne = £5,000; Da = 183; De = 183; Smg = 0 Section 596: Taxable pension income
2385.This section deals with the basis of assessment. It identifies the amount of taxable pension income, which feeds into the computation of net taxable pension income in section 567.
2386.The section is new. Tax is charged on the amount of the annuity received in the tax year. See Change 137 in Annex 1.