Finance Act, 1980

PART I

Income Tax, Sur-Tax, Resource Tax, Corporation Tax and Capital Gains Tax

Chapter I

Income Tax

Exemption from income tax.

1.—(1) Where, for the year 1980-81 or any subsequent year of assessment—

(a) an individual makes a claim for the purpose, makes a return in the prescribed form of his total income for that year and proves that it does not exceed the specified amount, he shall be entitled to exemption from income tax, or

(b) an individual makes a claim for the purpose, makes a return in the prescribed form of his total income for that year and proves that it does not exceed £5,000, he shall be entitled to have the amount of income tax payable in respect of his total income for that year, if that amount would, but for the provisions of this subsection, exceed a sum equal to 60 per cent. of the amount by which his total income exceeds the specified amount, reduced to that sum.

(2) In this section “the specified amount” means—

(a) in a case where the individual would, apart from this section, be entitled to a deduction specified in section 138 (a) of the Income Tax Act, 1967 , £3,400, and

(b) in any other case, £1,700.