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A query was made regarding which tax year processing wages should be attributed to following a court ruling. The DGT ruled that, as the income was not received due to reasons beyond the taxpayer's control, they must be attributed to the tax year in which they are actually collected.
This ruling clarifies the timing of tax liability for income arising from legal proceedings, ensuring that taxpayers only report income when it is effectively received.
The tax team reviews your specific situation.
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