How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Sam Your Own Question

Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13775
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
16196420
Type Your Tax Question Here...
Sam is online now

I am a non resident UK citizen, having left the uk to work

Resolved Question:

I am a non resident UK citizen, having left the uk to work abroad in 2010. In this FY it is possible I may have to exceed the 91 days limit back at home. I only have my foreign salary and no other, non salary related income. In exceeding the 91 days, will I become liable to tax on my foreign salary?
Submitted: 1 year ago.
Category: Tax
Expert:  Sam replied 1 year ago.
Hi
Thanks for your question - I am Sam and I am one of the Uk tax experts here on Just Answer.
Can you advise whether there is a specific reason you have exceeded the 91 days this year - whether any of the days in the UK were for work purposes and what ties you have remaining in the UK - so family, accommodation and whether you were NOT resident for the last 3 tax years (so for 2012/2013, 2013/2014 and 2014/2015) and how long you plan to remain working and living out of the UK
I can then clarify the position for you
Thanks
Sam
Customer: replied 1 year ago.
Hi Sam,Yes I have done some work in the UK this year, my company has a business in London, but the number of days is less than the maximum allowed (I keep all my travel & work records!). Other than time spent working, I also spend my holidays in uk as my wife and grown up children still live there, and my wife and I own our house there. There are no urgent, non plan able reasons for exceeding the 91 days, other than the time I will exceed it by will be due to coming home to see new grandchild (and I've had 7 months notice of baby's arrival!)
I was non resident for all tax years since FY 2010/11, I moved abroad at the beginning of April 2010.I pay uk tax on my very limited investments in the uk, just savings accounts where the bank deducts tax at source.I have no foreign income other than my salary. At this point I live in Dubai, previously I was in Bahrain, so at all of times away earning tax free.
Customer: replied 1 year ago.
Sorry, at this time I am likely to return to live in the uk in either, November 2016, or November 2017, but if for some tax regulation reason it would be best to make it April 17 or April 18, so be it.
Expert:  Sam replied 1 year ago.
Hi
Thanks for your response
Any work undertaken in the UK will have a taxable impact - so I am confused by your comment of having kept under the maximum days allowed ???
And the fact wife still resides in the UK also has a large impact - as you have work home and family ties and have exceeded the 90 day rule - so 4 ties !
Plus the change of location abroad, did you have a return to the UK between these different locations? As this may also impact on previous residency statuses.
However keeping the eye of the task in hand which is this tax year - then you will be treated as resident for this year as with four ties, then any more than 46 days would have seen you resident and this is
1) As you wife still lives in the UK
2) You have a home to return to in the UK
3) You have undertaken some work in the UK and the employer is in the UK and you haven't actually loved abroad you merely work out of the UK some of the time - to be truly not resident you need to have lifted all aspects of your life and taken them to another country
4) You then breach the 91 day rule
If you undertook any work work in the UK for previous years then this work and associated earnings will have a UK tax impact - so you need to alert HMRC (Only training or meetings are considered non work activities)
Let me know if I can assist any furtehr, but for this tax year - you will have a Uk tax position arising
Thanks
Sam
Customer: replied 1 year ago.
Hi Sam,No, the move between jobs didn't entail any time back in the uk, as I went from job to job.In avoiding exceeding 91 days as I can (grandchild isnt born yet), I would still have three ties, albeit this is the only tax year in which I did two weeks work in the uk business.But from your reply, I would be liable to uk tax on my earnings for that time working in the uk?More importantly, for all my times living abroad, my foreign salary should have been declared as uk income and taxed as uk taxable income?
Expert:  Sam replied 1 year ago.
Hi
Thanks for your response
That's good that the move between the jobs did not entail a visit to the UK or this would have required a closer examination of contracts and the impact of residency on that specific tax year.
If you can avoid spending 91 days in the UK then just the work undertaken in the Uk would need reviewing by HMRC - (as you are asked within the self assessment tax return - the residency and remittance part of the return, whether any work is undertaken in the UK) and this would be your maximum tax position to consider (of which you have personal allowances to cover this - as for this year the first £10,600 is tax free) BUT if you exceed 91 days then you create a fourth ties - and you then would be fully liable to tax on ALL income for the year.
Yes you income IS UK income and it was up to you to apply for NO Tax status from HMRC and complete self assessment tax returns each year to prove the income remained tax free by advising them of your ties and days in and out of the UK etc
I'm getting the impression this is not what is happening?? So who determined that you were not liable to tax?
Or have you been just declaring this as foreign income?
Thanks
Sam
Customer: replied 1 year ago.
Hi Sam,I did declare myself non resident when I left the uk, and do complete self assessment forms each year. I do live full time abroad, accommodation contracts etc. I do return to uk for holidays, but have never exceeded the 91 days - and nor now shall I this tax year now you've confirmed the answer!!My tax form this year will need include the dates I worked in the uk and also my associated salary that I was paid for that time? Clearly it will be covered by tax allowance, but from what you say, with two ties and despite having filled in all documents to HMRC my whole foreign salaries should have been taxed?
Expert:  Sam replied 1 year ago.
Hi
Thanks for your response
Initially you just need to indicate that you worked in the UK for a total number of days - HMRC then follow this up with you to see if specific income was earned as a result of that work undertaken in the UK.
No your income should not have been taxed if you remain not resident - which as long as you do not exceed the 91 days so just have 3 ties then you remain as not resident.
You talk of foreign salary but you advise you are employed by the company based in the UK - if you are paid from the UK then you should be treated as taxed through the UK PAYE system - but would have been permitted to claim a NO TAX status and have code NT applied each month against your salary - but if you are paid from abroad, then no furtehr action is needed - as you are then paid from abroad - and its juts avoiding more than 91 days in the Uk AND also alerting HMRc to work undertaken in the UK
Do let me know if I can be of any further assistance - but it would be appreciated if you would rate me (or click accept) to reflect the service I have provided you with today.
Thanks- and have a great weekend
Sam
Customer: replied 1 year ago.
Hi Sam,Many thanks, ***** ***** hope you have a lovely weekend too.I work for Emirates in Dubai, my work here was just to do some business analysis, no payments from uk - just same salary as every month from DXB, so I think that should be ok as you first describe.Many thanks for your great help.Strve
Customer: replied 1 year ago.
Sorry by 'work here' I meant whilst in uk for the two weeks working!
Expert:  Sam replied 1 year ago.
Hi Steve
Thats understood !
Thanks
Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13775
Experience: 26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
Sam and other Tax Specialists are ready to help you

What Customers are Saying:

 
 
 
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
< Previous | Next >
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex
 
 
 

Meet The Experts:

 
 
 
  • Sam

    Sam

    Accountant

    Satisfied Customers:

    7088
    26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
< Previous | Next >
  • http://ww2.justanswer.com/uploads/TA/Tax Expert/2013-8-21_231010_sam.64x64.jpg Sam's Avatar

    Sam

    Accountant

    Satisfied Customers:

    7088
    26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
  • http://ww2.justanswer.com/uploads/BI/bigduckontax/2013-8-12_222058_1.64x64.jpg bigduckontax's Avatar

    bigduckontax

    Accountant

    Satisfied Customers:

    2333
    FCCA FCMA CGMA ACIS
  • http://ww2.justanswer.com/uploads/TA/TaxRobin/2013-8-28_16186_femalebusinessprofessionalbinderhand11038485.64x64.jpg TaxRobin's Avatar

    TaxRobin

    Tax Consultant

    Satisfied Customers:

    524
    International tax
  • /img/opt/shirt.png taxadvisor.uk's Avatar

    taxadvisor.uk

    Chartered Certified Accountant

    Satisfied Customers:

    2845
    FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
  • http://ww2.justanswer.com/uploads/MS/MsAM/2012-6-9_16426_anna.64x64.jpeg Anna's Avatar

    Anna

    Teacher, writer, biologist

    Satisfied Customers:

    270
    Great research skills, variety of work experiences, teaching experience.
  • http://ww2.justanswer.com/uploads/PD/pdheslin/2012-6-6_232056_pambig.64x64.jpg pdheslin's Avatar

    pdheslin

    Consultant

    Satisfied Customers:

    51
    20+ years of internet site creation and search engine optimization. Dozens of search tools at my disposal.