SED Terminology

WHAT IS AN- ‘ordinarily resident’? – This is a term used specifically for tax rules. It means, a person who would normally be living or residing in the UK if they were not at sea.

WHAT IS a ‘qualifying period’- The period where you count the days that go towards your rebate. It doesn’t necessarily matter if you haven’t ‘worked’ for the whole period; holiday can also count towards your ‘qualifying period’

WHAT IS THE ‘half-day rule? The half-day rule means that at any given point in time, you must have spent a minimum of half a day more out of the country than you’ve spent in the country.

It is important to note that if you spend 182 days out at sea and you break the half-day rule, you can’t claim any of the income tax for a full year.eg-

  • If you started your qualifying period on 1st June 2014 and by May 29th 2015 you had spent 182 nights outside of UK waters, you would not be able to claim a rebate of one full years worth of tax.

WHAT IS A ‘qualifying voyage’?- You must visit a valid foreign port in order for your period of work to count as a ‘qualifying period’ so that you can claim back what you’re owed. Each employment in each tax year must include at least one voyage that begins or ends at a foreign port

WHEN AM I ’absent from the UK?’ – If you are outside the UK by midnight, then you were absent on that particular day.

WHAT IS AN ‘offshore installation’? – Certain ships that operate in the gas or oil industry do not qualify as ‘ships’ but rather ‘offshore installations’

 

SED Terminology page.