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Sam
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Category: Tax
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I have a registered company in Hong Kong (HK), but have a

Resolved Question:

I have a registered company in Hong Kong (HK), but have a British Passport. I have lived in the UK less than 90 days during the last financial year and will do so for this financial year.I have bank accounts and a PayPal account in the UK, and wish to transfer payments made to PayPal on my company website into my UK PayPal account rather than my HK PayPal account.I don't live in HK, so pay no personal income tax there, and the company does not pay any corporation tax on any business outside HK.I do pay income tax in China, where I do some part time teaching at a university!What I want to know, is will there be any personal or corporate tax liabilities for money paid into my UK PayPal account, and if so what they would be.In addition, would there be any complicated formalities with the UK tax authorities, in any situation!Eric
Submitted: 21 days ago.
Category: Tax
Expert:  Sam replied 21 days ago.

Hi, Sam here , one of the UK tax Experts here on Just Answer, thank you for your question and I shall reply shortly

Expert:  Sam replied 21 days ago.

HI Eric

Thanks for your patience

As you spend less than 90 days in the UK then you have no personal tax liabilities in transferring this money into the UK and as long as you do not trade at all in the UK or have any presence at all in the UK with your company then there os no corporation/company tax consideration either

If you were to exceed more than 90 days in the UK and if any of the days you do visit the UK were for business purposes (other than meetings or training) then you would have a liability to consider

Or if you had more ties such as property or immediate family in the UK then the 90 days may be less as then you would be considered under the statutory residence tests link here for more information

https://home.kpmg.com/content/dam/kpmg/.../statutory-residence-test-flowchart.pdf

Thanks

Sam

Customer: replied 21 days ago.
I have no UK property and just a sister and nephews, in the UK. No wife or chidren.If I stop sending money, inside a given tax year, when I return for longer than 90 days, in the same year, there will be no backdated liability!
Expert:  Sam replied 21 days ago.

Hi

Then you do remain having the benefit of up to 90 days in the UK with no tax liability on your proposed arrangement.

And no if you did for one year exceed 90 days then it would just be that tax year in isolation that might have a liability but this will not be backdated. The same applies if you plan to move back to the UK that only income earned after your return would have any UK tax liability not that which had been earned and suffered already Chinese tax

Let me know if I can assist with this matter further, or, if you have all that you need, it would be appreciated if you could rate me for the level of service I have provided

Thanks

Sam

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