Non UK Residency

You may have decided that a land-based career overseas is the one for you. Here is a guide to taking up Non UK residency.

Specialist Non UK Residency Accountants

There are many companies who are hiring sub-contractors to work for them overseas. These companies will generally offer work on a rotational basis that will fit in with HMRC guidelines so that you can keep your earnings tax free in the United Kingdom.

Whether you are leaving the UK for employment in another country or simply moving for a change of lifestyle income tax can be a changeable and complex area and therefore it is your best interests to seek specialist advice on what actions should be taken, we can advise on your own unique tax position.

Leaving the UK

The Statutory Residence Test (SRT), while complex, provides some certainty surrounding the steps an individual must take to become non-resident for UK tax purposes. Each individual’s position must be looked at based on their personal circumstances so detailed records must be kept to support any residence position.

The SRT comprises three parts: an automatic non-resident test, an automatic resident test and a sufficient ties test. The tests should be considered in that order but as soon as the conditions of one test are met, the other tests do not need to be considered.

For UK residents going abroad we can

  • Review contracts of employment/self-employment,
  • Advise on income tax on earnings and investment income,
  • Advise on capital gains tax on assets,
  • Guidance with departure from and re-entry into the UK,
  • Calculating allowable days in the UK, including working days,
  • Keep comprehensive records of information to support residence position.

Non-Resident Landlords

If you are a landlord and live abroad for more than six months in a year, you will be classified as a ‘non-resident landlord’ by HMRC. If you receive a rental income as a non-resident, you will be required to submit self-assessment tax returns, even if you don’t make a profit and have no tax to pay. We can help with preparing your accounts and submitting your self-assessment tax return.

Capital Gains Tax Advice for Non-Residents

If you are not resident in the UK for tax purposes, you must submit a ‘non-resident CGT return’ if you have sold or disposed of UK property or land. You must submit this return to HMRC within 30 days of completion. If you do not tell HMRC before the deadline, you’ll get a late filing penalty and may be charged interest. You may also have to pay HMRC within the same 30-day deadline depending on your circumstances. There are various methods of calculating the capital gains available to non-residents. We can help in calculating the tax as well as preparing the returns and advising on the tax payment deadlines.

Our clients work all over the world in different time zones; therefore, we understand that good customer service is very important. We pride ourselves in responding to our clients efficiently and with jargon free responses.

We provide free tax briefs to make newcomers to the security industry aware of their tax responsibilities when their new career begins. If you are a training provider and would be interested in Whittaker & Co providing a FREE tax brief on your course, please email  or call 01686 610662.

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