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TonyTax
TonyTax, Tax Consultant
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Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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Im a UK national but haven t been resident of the UK for over

Resolved Question:

Im a UK national but haven t been resident of the UK for over 15 years. I'm currently working in and paxing salary tax in HK. I own shares in a hk company and will be receiving dividends from this company ( currently dividend tax in the HK is 0% ) and transfer the proceeds to my UK account. ( To buy property for my children) Would I have to pay any UK tax on this?
Submitted: 2 years ago.
Category: Tax
Expert:  TonyTax replied 2 years ago.
Hi.

The fact that you wish to put the HK dividend cash into your UK bank account will not make it taxable in the UK if you are non-UK resident for tax purposes.

If the property will be in your childrens' names, you will have made a gift to them for Inheritance Tax purposes which will fall out of your estate so long as you live for at least seven years after making it. As you are UK domiciled, your worldwide assets will potentially be subject to Inheritance Tax when you die no matter where you live.

I hope this helps but let me know if you have any further questions.
Customer: replied 2 years ago.

Thank you for you answer. I visit the UK for family reasons for 6 to 8 weeks a year. During this time I work for the HK company online. ( around 4 hours per day) I do not have any other assts in the UK. Would this affect my tax status?

Expert:  TonyTax replied 2 years ago.
If you are accessing the HK company's servers to do your work, I cannot see that being a problem in itself. It's not as if you are in the UK running a UK branch of the company. However, if you look at paragraphs 3.10 to 3.16 of RDR3 here. If you are in the UK for six to eight weeks a year, you ought to go through the statutory residence test rules to make sure you are non-UK resident as you appear to have UK ties.

Take a look at the notes here for a brief guide to the SRT. The more detailed rules are here. If, having looked at the SRT rules, you still have any questions, let me know.
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