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UK Forces On Dangerous Assignments To Receive Tax Boost

by Jason Gorringe, Tax-News.com, London

11 October 2006

It emerged on Tuesday that UK forces deployed to countries such as Afghanistan, the Balkans and Iraq will receive a cash bonus of more than GBP2,000, designed to allow them to pay off their tax bills.

Troops from countries such as the United States do not pay tax at home whilst on operations, and there has long been pressure from within the armed forces for this exemption to be applied to their UK counterparts.

Speaking with regard to the decision yesterday, Chancellor Gordon Brown stressed the need to ensure that troops fighting in dangerous areas be "properly rewarded".

The bonus scheme, for which Mr Brown has reportedly set aside GBP60 million, will be retrospective to April of this year.

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