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Sam, Accountant
Category: Tax
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Capital gains tax from the UK Can someone please

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Capital gains tax for leavers from the UK
Can someone please clarify the situation for a recent non-uk resident who may be forced (owing to a financial settlement of a divorce) to dispose of assets withing 12 months of leaving the UK.
My understanding is that there is a five year rule. Does this mean that any disposals withing 5 years of leaving the UK are subject to CGT or does it mean that there is no CGT PROVIDED the non-uk resident does not return to the UK within 5 years?
Thanks for your question, I am Sam and one of the UK tax experts.
I am afraid its not that simple anymore -can you advise
1) What you will dispose of in the UK
2) Are you a British Citizen
3) Do you plan to leave the UK for good, or for at least 5 full tax years
4) What visits might you make back to the UK between now and the next 5 tax years
Customer: replied 3 years ago.

Hi Sam, thanks for your quick response.

I am a partner is an LLP and the intention is that all of the assets will be sold to a third party for x, as yet unknown.

I am a UK citizen, born in the UK and moved to Jersey in July last year. I have paid UK tax in every year including the period ending 6th April 2015 with compensation since 2006 via my membership of the LLP.

I plan to live in Jersey permanently, certainly for 5 years or longer.

I expect to stay in the UK roughly 70 nights per year and, based on the HMRC questionaire that can help to answer the SRT tests, I am non-resident for UK tax purposes.

Hope that helps.

Thanks for your response
Then this does not appear to be a capital gain on an individual but seemingly on the LLP - so the LLP will suffer the capital gains tax rather than you as an individual.
And as its a LLP it does not have shares (as a limited company does) so cannot be considered as a disposal made by an individual for their share of the business owned.
If its a disposal and sale of your share of the business, then this will remain free of Uk tax - and you just need to consider whether this needs to be declared to the Jersey tax authorities, so do seek advise there (we, as I am sure you can appreciate are just UK tax experts)
Let me know if you require any further assistance
Customer: replied 3 years ago.
Thanks Sam
Hi Andrew
You are very welcome
Please do take the time out to rate (click accept) as this ensures I am credited for my time
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