The taxation of pension income: Pensions taken as flexible drawdown: temporary non-residence: application of a DTA
Sections 576A and 579CA
Sections 576A and 579CA require amounts paid as flexible drawdown in the intervening years between UK departure and return to be assessed to tax for the tax year of return.
Both sections provide that this charging provision overrides the terms of any double taxation agreement. Nothing in any double taxation relief arrangement will operate to prevent a person who meets all four of the conditions in section 576A(2) or section 579CA (see EIM74055) from being chargeable to income tax under sections 575 or 579B ITEPA respectively in respect of flexible drawdown paid in the intervening years but treated as arising in the year of return by either section 576A or section 579CA.
This means that any exemption specifically given under an agreement between the UK and another taxing state will not be taken into account in arriving at any UK liability.