UK Arrivers and Leavers
When someone leaves or comes to the UK it is important to understand not only whether they will be regarded as residents for UK Tax purposes for that particular year and future years but also whether they are residents for whole or part of UK tax year of their arrival or departure.
Under certain circumstances an individual can split the UK tax year in two periods, one for UK tax residence and the other for non-UK tax residence. For the period of non-residence any foreign income or gains earned will not be taxable in the UK, hence, individuals have the opportunity of mitigating their UK tax liability.
The rules around the Statutory Residence Test (automatic residence or automatic non-residence or connecting ties) are complex, hence, professional tax advice should be sought well in advance before coming or leaving the UK to ensure that the tax residence status is planned in the most tax efficient way.
How can we help?
We have extensive expertise in advising individuals on their residence and domicile status, as well as providing them with optimum tax planning under the remittance basis of taxation.
Our services cover all aspects of international mobility tax planning, including:
- Expatriates tax planning and advisory.
- Arrival and departure tax consultations.
- Analysis of the residence status in the year of arrival or departure from the UK.
- Ensuring the conditions of Split Year Treatment in the year of arrival/departure from the UK are explained and met.
- Advice in relation to Overseas Workday Relief claims.
- Establishing the domicile status and determining whether individuals should claim the ‘Arising Basis’ or ‘Remittance Basis of Taxation’.
- Advice on UK tax trailing liabilities after leaving the UK.
- Advice on temporary non-residence rules.
- Advise on double tax treaty positions on dual sourced income and gains.
If you require our assistance with tax advice or compliance in connection with your residence or domicile issues, please contact us.