UK Net relevant Earnings

Question 1

What constitutes net relevant earnings?

Answer 1

To be a relevant UK individual in the tax year in question, the member must be under age 75 and meet at least one of the following criteria:
1. have relevant UK earnings chargeable to income tax OR
2. be resident in the UK at some time during that year OR
3. have been resident in the UK both:
• at some time during the five tax years immediately before the year in which the contribution was made. Relief in such circumstances is subject to a maximum of £3,600 per tax year, AND
• when they became a member of the pension scheme OR
4. They or their spouse have earnings for the tax year from an overseas Crown employment subject to UK tax.
Relevant UK earnings include:
• employment income such as salary and bonus, or self-employment/partnership profits,
• income arising from patent rights,
• general earnings from overseas Crown employment subject to UK tax.