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bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 3829
Experience:  FCCA FCMA CGMA ACIS
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I lived overseas years then returned to UK in Sept 2013.

Customer Question

I lived overseas for 20 years then returned to UK in Sept 2013. I did some work for my brothers company then did some consultancy work for my old office overseas (I did not travel, I did it from the UK). In April 2014 I made my tax declaration and paid what I had to. I left the UK again in August 2014 to work overseas with my family, where i still am.
For the period April-August 2014 I carried on doing consultancy work on a casual basis. During the 2014-2015 tax year I was probably living in UK about 130 days, staying at my mothers house.
When I now go into the online site to make declaration I do not understand how to proceed. I was never officially self employed or a sole trader. Also as I was only in UK a limited period am I still liable? Thanks!
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.
Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question. I would tend to fall back on the 91 day rule. You are entitled to retain your non resident status if you spend less than 91 days in the UK in any one tax year. This, however, can be averaged out over four years so with 130 day against you you will probably wriggle out of any liability. I would caution you however that the general consensus of experts on this site is never to exceed the magic 91 days in any one tax year. I do hope my reply has shown you a way forward.
Customer: replied 1 year ago.
Thanks Keith. Its very helpful. I think I spent about 115 days in the UK in 2014-2015, about 220 in the previous tax year and none in either of the two before that. This averages out at around 83 but however I look at it I would exceed the 91 days in my final tax year. I assume that I should therefore file a declaration. As i mentioned earlier however I am not sure how to go about this as I was never officially self employed or a sole trader. It was basically casual income. If i go on to the HMRC site it seems to ask if I was officially self employed/sole trader. Is this what I should say I was or is there another way to declare this as other/casual income? The online form kind of defeats me! Thanks again. Steve
Expert:  bigduckontax replied 1 year ago.
Yes, but the 91 day rule is covered by the averaging system and you are under the 91 days on a four year average so there is no liability to UK taxation. If your casual income did not exceed the personal allowance (11.1K in 14/15) then you have no tax liability anyway.
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Customer: replied 1 year ago.
That's good to know. Thanks. So I don't need to declare (although I did earn over 11k in 14/15. How do I inform HRMC of this? Through online system?
Expert:  bigduckontax replied 1 year ago.
You should declare, but claim to be non resident under the 91 day rule.
Thank you for your support.

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