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bigduckontax
bigduckontax, Accountant
Category: Tax
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I am a British and own a small hotel in Morocco, I am currently

Customer Question

Hi I am a British and own a small hotel in Morocco, I am currently not a resident in the uk for tax reasons but would like to still be a uk resident, I would like to set up a uk branch of my business to deal with my uk payments and keep my national insurance payments.
Any advice guys?
Thanks sam
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.
Hello, I am Keith, one of the experts on Just Answer, and happy to help you with your question.
You can either be a resident in the UK for tax purposes or you can not. At present you are not.
There is no problem in maintaining an UK bank account and funding it from outside the UK. You can then make voluntary contributions to NI to keep your card stamped, to use an old expression. You will, presuming that you have an UK NI Number, receive a letter annually advising you to top up your contributions. To set up a branch of your business in the UK seems an unnecessary complication.
I do hope that I have been able to shed some light on your situation.
Customer: replied 1 year ago.
I wanted to know how i become a uk resident again, pay national insurance contribution and register my business so I can deal with the uk payments for my business
Customer: replied 1 year ago.
Morocco is a closed currency so I need to set up a uk branch to deal with the uk payments or I will never have any ££
Expert:  bigduckontax replied 1 year ago.
Right, by returning to the UK to live there, relatively easy. However, you cannot be resident in the UK without moving there. However, if you spend more than 183 days in the UK in any one tax year you are liable to UK taxation on your world wide income. Fortunately the UK has a Double Taxation Treaty with Morocco which precludes the same income stream being taxed in both jurisdictions. Any tax deducted in one country being allowable as a tax credit against any liability in the other country. The Treaty does not, however, protect you from differences in rates of taxation.
I do see your problem, without an UK presence you would have no funds to use to fund your NI contributions.
Customer: replied 1 year ago.
So is there a form i need to fill in that tells them i am a uk resident again? as there is to tell them I am not?
Expert:  bigduckontax replied 1 year ago.
You complete a Form P85 when you leave the UK. When you return you merely tell HMRC you are back. The split year procedure will apply to your returning year, one portion non resident the other resident. For the tax year after your return date you will be resident.
Customer: replied 1 year ago.
And how do I merely tell them im back? is there a phone number or a form?
Expert:  bigduckontax replied 1 year ago.
There is no form for this purpose. You should advise your normal tax office if you have one, otherwise tell your local HMRC Office.
Here is the Gov UK not very helpful advice of what to do on return to the UK:
https://www.gov.uk/tax-return-uk
bigduckontax and other Tax Specialists are ready to help you
Expert:  bigduckontax replied 1 year ago.
Thank you for your support.

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