807Deductions and reliefs in relation to income chargeable to income tax under section 806.

[FA74 s58]

(1) Income tax chargeable by virtue of section 806 shall be charged under Case IV of Schedule D.

(2) In computing the liability to income tax of an individual chargeable by virtue of section 806, the same deductions and reliefs shall be allowed as would have been allowed if the income deemed to be income of the individual by virtue of that section had actually been received by the individual.

(3) Where an individual has been charged to income tax on any income deemed to be income of the individual by virtue of section 806 and that income is subsequently received by the individual, it shall be deemed not to form part of the individual’s income again for the purposes of the Income Tax Acts.

(4) In any case where an individual has for the purposes of section 806 power to enjoy income of a person abroad by reason of receiving any such benefit referred to in subsection (6)(c) of that section, the individual shall be chargeable to income tax by virtue of that section under Case IV of Schedule D for the year of assessment in which the benefit is received on the whole of the amount or value of that benefit, except in so far as it is shown that the benefit derives directly or indirectly from income on which the individual has already been charged to income tax for that or a previous year of assessment.