Stressed by tax?
Get Earnr Pro
Taxionary

Seafarer's Earnings Deduction

[ˈsiːˌfeərəz ˈɜːnɪŋz dɪˈdʌkʃᵊn]

Term

Summary:

Seafarer's Earnings Deduction is a tax relief scheme allowing qualifying seafarer's to claim 100% tax exemption on foreign income through a Self Assessment.

More detail:

Seafarer's Earnings Deduction is a tax relief scheme in the United Kingdom that allows an individual that has worked on a ship, worked outside of the UK for a minimum of 365 days, and is a tax resident of the UK or the European Economic Area to claim a 100% tax exemption on foreign income.

To claim this tax relief, individuals must have travel receipts, passport, visa, a seafarer's discharge book, and logs of the ships they have worked on.

A Self Assessment can then be filed. After claiming Seafarer's Earnings Deduction at least once, HMRC can issue an NT Tax Code to the individual, which will allow an employer to pay their salary without deducting any tax.

Back to Taxionary

You might also like...

decorative image for a blog

What is IR35 and do I need to worry about it?

There are loads of different tax laws in the United Kingdom. IR35 is very important to freelancers and contractors but can be a little confusing. Here, we explain simply what IR35 is and who it can affect.

Read more
decorative image for a blog

Flat rates for mileage vs actual expenses. What is better?

Self-employed individuals can use two different methods to expense business vehicle costs. Here, we investigate the positive and negatives for both methods and which one might be right for you.

Read more
decorative image for a blog

What is the EIS and how does it work?

If you are looking to invest in small and medium sized businesses, the Enterprise Investment Scheme (EIS) provides lots of tax reliefs for doing so. Here we discuss what it is and how it works.

Read more
Earnr logoDownload earnr