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taxadvisor.uk, Chartered Certified Accountant
Category: Tax
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Experience:  FCCA - over 40 years experience as a qualified accountant (UK based Practitioner)
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No,. I am a Hong Kong citizen. My daughter invested in a

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Hi Paul,
JA: Have you talked to a tax professional about this?
Customer: No
JA: Anything else you want the Accountant to know before I connect you?
Customer: Hi, my name is***** am a Hong Kong citizen. My daughter invested in a student accomodation in UK while she was studying in University of Nottingham. She is holding the British citizen passport and is allowed to stay in UK without limitation. She domiciled in Hong Kong and never worked in UK. She only stayed in UK during her 4 years' academic life. She returned to Hong Kong for work after completed her University degree. Her gross rental income for the tax year ending 5/4/2019 was GBP1,287.01 and Tax taken off was GBP214.50 by the accomodation management for tax paying. She had been approved for Non-Residential Landlord Scheme from 1/7/2018 but she could not receive any rental from this date onward because the developer was under administration. The rental she had received were overdue rentals before this date. She submitted an refund request in October for the tax deducted but did not receive any response. Instead she received a reminder from HMRC reminding her to submit her Self Assessment tax return. Do you think she need to submit the return? What can she do and can you assist? How much will be the cost?
JA: The Expert's answer will cost $10 to $100, depending on the issue type and time to respond. You'll see the exact amount on the next page and can decide then. It's way less expensive and more convenient than any face-to-face visit.
Customer: So I am waiting for this page!
JA: Which tax year is the refund for?
Customer: Tax year 2019. I supposed she can be entertained with the personal allowance.

Hello and welcome to JustAnswer. I am here to help you. I am reviewing your question and will respond to you shortly.
Many thanks

Thank you for your question.

If your daughter has received notice to file a tax return then she should. She has been approved for Non-Residential Landlord Scheme from 1 Jul 2018 albeit she did not receive any rental income from this date.

She needs to file a tax return in order to claim a refund.

As a UK National she would be entitled to UK tax free personal allowance and hopefully it would cover all or atleast most of her rental income.

My aim is to give you a professional service. I hope this is helpful and answers your question.

Please remember to rate my service by selecting the 5 stars at the top of the screen before you leave JA today. If you need more assistance, please use the reply box below and let me know. It has been my pleasure to assist you with your question.

Customer: replied 5 days ago.
My daughter obtained British citizenship under "British Nationality (HK) Act 1997*. She domiciled in Hong Kong since borne and only stayed in UK for the 4 years of academic study. Within these four years, she should be classified as UK resident due to her annual staying days counted. She didn't have any National Insurance Number as she had not work in UK so she didn't register for it. Will she still be entitled to UK tax free personal allowance? She returned to Hong Kong on 8/8/2018 and worked in Hong Kong. Within the period of 6/4/2018 until she left, she stayed in UK for about 100 days. Will she be necessary to pay the tax of her Hong Kong income to HMRC? In filling the Self Assessment does she need to tell HMRC her Hong Kong income? How much will you charge if we appoint you to fill the SA for her?

Thank you for your reply.

If you are a UK National, you are entiled to tax free personal allowance whether you are resident in the UK or are non resident in UK for tax purposes.

As non resident you are only taxed on income arising in the UK.

As your daugther does not have a National insurance number, you would have to file paper tax return.

I will be happy to assist you in completing the tax return as a premium service.

i will send you an offer here.

I hope this is helpful and answers your question.

Customer: replied 5 days ago.
"She returned to Hong Kong on 8/8/2018 and worked in Hong Kong. Within the period of 6/4/2018 until she left, she stayed in UK for about 100 days."
In the above circumstances, what will be her resident status? Resident in the UK or Non resident in UK?
Customer: replied 5 days ago.
I mean for tax purpose.

Thank you for your reply.

She was resident in the UK for more than 90 days in each of the previous two years and aslo has a property in the UK. Normally she would be regarded as UK resident for tax purposes

As she has left the UK for Hong Kong in Aug 2018, she should apply for split year treatment for tax year 2018-19. i.e. Resident upto 7 Au g 2018 and non resident from 8 Aug 2018.

I hope this is helpful and answers your question.

Customer: replied 5 days ago.
In future If my daughter being classified as a non-resident in UK, will she still need to complete the SA tax return? Can she write to HMRC telling them she had changed her tax status and not filing the SA?

Thank you for your reply.

If she has income from UK property then she has to file UK tax return as property income is chargeable to UK taxation.

Once she has no income from a UK source, she would not have to file a UK tax return.

I hope this is helpfuland answers your question.

If there are no more issues, I will appreciate if you would kindly rate my service by selecting the 5 stars at the top of the screen to ensure I get credited for it by Just Answer today.

 

Customer: replied 5 days ago.
Don't worry, I will rate at the top to credit the Expert after our communications of today.
In the tax year ending 5/4/2018, her gross rental income was GBP2,402.42 and Tax paid was GBP400.41 . As you mentioned above, she should be UK resident for tax purpose. Should she also be entitled to tax free personal allowance in that year? Will she be possible to ask for refund of the tax paid?

Thank you for your reply.

She would be entitled to tax refund for tax year 2017-18 as her income was below her tax free personal allowance.

I hope this is helpful and answers your question.

taxadvisor.uk and other Tax Specialists are ready to help you
Customer: replied 5 days ago.
Thanks a lot. Still waiting for your offer. Please email to me.

I thank you for accepting my answer.

Best wishes.