Glossary · UK
What is Seafarers' Earnings Deduction (SED)?
A tax relief that can exempt eligible seafarers from UK tax on earnings from an eligible foreign voyage.
Full Definition
The Seafarers' Earnings Deduction (SED) is a UK tax relief that can give a 100% deduction against earnings from working on a ship, provided the seafarer meets residence conditions and works a qualifying period that includes enough days outside the UK on an eligible voyage (broadly, a voyage that begins or ends at a foreign port). It applies to earnings from employment as a seafarer specifically, not to the self-employed or to all maritime workers, and detailed day-counting and voyage rules determine eligibility for each tax year.
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Disclaimer: Definitions are for guidance only. For decisions about your tax, savings, property or pension situation, always consult a qualified professional or refer to gov.uk.