Introduction Details of the Section
2.Subsection (1) amends Part 4 of Income Tax (Earnings and Pensions) Act (ITEPA) 2003, (employment income: exemptions).
3.Subsection (2) inserts new section 306A into Chapter 8 (exemptions: special kinds of employees).
4.New subsection 306A(1) defines a home care worker as an individual employed wholly or mainly to provide personal care to another individual at the recipient’s home, where the recipient is unable to care for themselves because of old age, mental or physical disability, past or present dependence on alcohol or drugs, or past or present illness or mental disorder.
5.New subsection 306A(2) provides that no liability to income tax arises where board and/or lodging is provided at the home of the person being cared for, on a reasonable scale, to a home care worker by reason of their employment.
6.Subsection (3) adds new section 306A to the list of exemptions in section 228 ITEPA 2003 for which there is no liability to tax under any enactment.
7.Subsection (4) provides that the exemption will have effect for the 2016-17 tax year onwards.