Commentary on Sections Example 3 Ne = £5,000; Da = 183; De = 183; Smg = 0 Section 656: Nature of charge to tax on social security income
2595.This section explains that the charge on social security income does not extend to income that is exempt from tax. It is new.
2596.Exempt income is included in the definition of social security income but is not taxed. The definition of “exempt income” applies for the purposes of the social security income Part. In particular, the expression is used in section 681(1) (taxable and other foreign benefits: exemptions).