I have a client who has an eligible period and is a seafarer, so the question is about what earnings can be claimed as a deduction.
As far as I can see from reading the legislation itself and the HMRC manual, it seems that salary for a 3 week voyage which starts in Aberdeen and ends in Aberdeen is treated as not foreign earnings and therefore does not get SED.
A 3 week voyage which starts and ends in Aberdeen but has a provisioning stop-over in Stavanger however is treated as 2 voyages which either start or end in a foreign port and therefore do qualify for SED.
Seems a little unbalanced, but clear enough from the legislation and the HMRC Manual.
Problem is my client seems to think that as long as he has one foreign port call in the tax year, then all his earnings in the eligible period in that tax year qualify for SED, and that all his colleagues on supply ships actually have that term written into their contracts that there will be at least one foreign port call per tax year which will then enable them to claim the deduction.
Can anyone shed light on this, as my client seems a bit miffed that I treat him more harshly than all his mates. He's a big lad, and I really dont want to upset him...