As you're probably aware, losing your UK resident status can be a very important tax break. If you're non UK resident you are exempt from UK income tax on overseas income and can avoid UK capital gains tax as well.

Actually determining when you are and when you aren't UK resident can therefore have a big impact on your UK tax bill.

This is currently a 'hot topic' with HMRC and they're looking in detail at the nature of many emigrants connections with the UK. The recent (Feb 2010) Court of Appeal decision in the Gaines Cooper saga has reiterated the importance of ensuring there is a distinct break when leaving the UK and avoiding substantial UK connections.

In this section we include all articles concerning non UK residence.

Join up today to read unique tax planning articles and obtain online tax guidance on achieving and using non UK resident status.

New - Free Tax Help for Non UK Residents! Members can access our new Non UK Resident Tax Consultancy Section. This includes detailed scenario based tax planning Q&A's. New Q&A's are to be added to this daily.

Reducing tax for Non UK Residents Final round for Gaines Cooper 23/08/2010 Gaines Cooper has received permission to appeal to the Supreme Court. This article looks at the history of the Gaines Cooper decisions and consider the likely issues in the latest (and possibly final) instalment of the Gaines Cooper saga . . . keep reading Court of Appeal decision in Smallwood and Company Residence 20/08/2010 The Smallwood decision is a useful reminder of the issues in establishing central and management control overseas in the context of an offshore company. In particular the confirmation that you need to look at (1) whether there has been a usurping of the Directors powers, and if not (ii) whether there is an external party that dictates decisions to the Directors is useful. This article looks at the facts and decision of the Smallwood case. . . . keep reading Using an offshore company for a UK property purchase and UK shadow directors 18/08/2010 We're often asked about the UK tax implications of purchasing a UK property via an offshore company. It's well known that non doms have an advantage as this takes the value of the property out of the UK estate for UK inheritance tax purposes, however what are the other tax implications of using an offshore company for UK property? . . . keep reading UK corporation tax planning after you've left the UK 16/08/2010 If you trade via a UK company, the general rule is that it would be subject to UK corporation tax even if the controlling directors or shareholders were non UK resident. However as a non resident individual you may be looking at options to reduce the UK corporation tax charge. In this article we look at the UK tax planning options . . . keep reading Tax Planning after the new UK-Hong Kong Tax Treaty 11/08/2010 Until now there has been no tax treaty between the UK and Hong Kong. On 21 June 2010 a treaty was signed which should be in force from April 2011. In this article we summarise the key provisions of the new tax treaty and the tax planning opportunities arising from this . . . keep reading Review of HMRC draft guidance on company non residence 09/08/2010 One of the key issues in using an offshore company is ensuring it is classed as non UK resident for tax purposes. This will be determined by where the central management and control of the business is carried out. Establishing where the management and control is carried out can be difficult to ascertain. HMRC have recently published some draft guidance on when they will and won't argue an offshore company is UK resident. In this article we provide a brief overview of the impact of this guidance. . . . keep reading 2010 Non-residence checklist 21/07/2010 If you're planning on leaving the UK and establishing non-residence it's essential that you take account of the tax implications and numerous tax planning opportunities available to you. In this checklist we run through around 25 key points that you should be considering . . . keep reading The new CGT transitional rules for non-residents and non-doms As we all know the maximum CGT rate has increased substantially for disposals after 22 June 2010. However, the recent Finance Bill has produced some useful clarifications on the transitional rules that will apply, in particular when disposals are treated as arising before or after 23 June 2010.In this article we look at how the new rules impact on non-residents and non-doms . . . keep reading Latest case on non residence (June 2010) and form P86 14/07/2010 The latest case on non residence came before the First Tier Tribunal in June 2010. It concerned an individual working abroad and whether they were UK resident or not. Although it doesn't add much to the law relating to non residence, it's nevertheless well worth considering . . . keep reading Selling loan notes free of CGT after you're non resident 07/07/2010 When they sell shares in their companies many business owners receive shares or loan notes in the acquiring company.One of the attractions of this route is a CGT deferral. In this article we look at how a recent case has impacted on anyone planning on becoming non resident and selling loan notes free of CGT on deferred gains. . . . keep reading Volcanic Ash and UK Tax 18/06/2010 In this article we look at some of the UK tax implications of the recent volcanic ash cloud including its impact on days spent in the UK for tax residence purposes . . . keep reading Completing the 2010 non residence pages when leaving the UK 14/06/2010 If you've left the UK during tax year 2009/2010 (ie between 6 April 2009 and 5 April 2010) you will need to complete the residence pages of the tax return. In this article we look at how these pages should be completed and exactly why they're asking for the information on the form . . . keep reading The scope of the remittance basis in Ireland and tax planning opportunities 31/05/2010 This article is the first in a series of articles produced by our Irish tax specialist, John Ward. He looks at how the non dom tax regime applies in Ireland, and how non doms can make full use of the remittance basis to avoid Irish tax on foreign income and capital gains . . . keep reading UK available accommodation and its impact on UK residence status in 2010 12/05/2010 Following a tax question from one of our members we've looked in detail at how having UK available accomodation will impact on UK residence in 2010. As it will be of interest for many members we've covered this in this article. . . . keep reading New Zealand as a tax haven in 2010 07/05/2010 Ever fancied emigrating to New Zealand? If you have, their transitional residence status offers some superb tax planning opportunities. In this article we look at the tax benefits of transitional residence in NZ and key points for you to bear in mind if you want to make the most of this attractive tax regime . . . keep reading New case on establishing non residence/non ordinary residence when leaving the UK 23/04/2010 After the recent cases on non residence and non ordinary residence (including the Gaines Cooper, Grace and Tucza cases) you would have hoped that there was some element of certainty as to the law relating to non residence. However a very recent decision of the tax tribunal has made it clear that this is certainly not the case. In this article we look at the latest position for anyone looking to establish non residence and argue there is a 'distinct break' in their activities . . . keep reading Moving abroad to avoid the 50% rate of income tax 16/04/2010 As the top rate of income tax (officially known as the 'additional rate') has increased to 50% as from 6 April 2010, we're often asked "Can I move abroad to avoid this 50% tax rate?". In this article we assess how moving abroad can allow you to avoid the new 50% rate of income tax . . . keep reading An important decision for anyone using or planning to use a US LLC 26/03/2010 A recent decision of the first tier tax tribunal has cast doubt on the accepted tax treatment of US Limited Liability Companies ('LLC's'). In this article we look at how LLC's are taxed for UK tax purposes and how this decision will impact on anyone using or planning to use a US LLC . . . keep reading Some thoughts on a possible Statutory Residence Test 12/03/2010 Given the UK residency rules are, to say the least, currently pretty vague there's speculation that the Government will introduce a Statutory Residency Test. In this article we look at how such a test could be formulated and what impact this would have on prospective emigrants . . . keep reading Ordinary residence in 2010 following the Tucza decision 10/03/2010 Following a request from a member we've looked at the potentially important case of Andreas Tucza, which addresses UK ordinary residence status. Just like the Gaines Cooper and Grace decisions looked at residence status under common law, the Tucza case looks at ordinary residence status following a review of the case law. . . . keep reading What the 2010 Gaines Cooper judgement means for anyone looking to establish non residence. 24/02/2010 Since the judgement on 16 February there's been a lot of press coverage of its impact- but what has actually changed? In this article we look at the impact of the Court of Appeal decision and what it means for current or prospective non UK residents . . . keep reading QC's view on how to establish a company as non resident 22/02/2010 Essential reading for anyone interested in using an offshore company to reduce UK tax. In this article we look at the views of one of the top tax QC's on how to establish an offshore company as non UK resident . . . keep reading Qualifying Recognised Overseas Pension Schemes (QROPS) and investments in UK property 08/02/2010 Following an HMRC amendment in October 2009, this article looks at the UK tax implications of a QROPS investing in UK residential property and why you need be careful as to the location of your QROPS investments. . . . keep reading Tax deduction for travelling expenses if working abroad 22/01/2010 Following a request from a site member we've looked at the tax rules relating to obtaining tax relief for travel expenses for you and your close family if you work abroad. This article looks at exactly when you will qualify for a tax deduction for your travelling costs . . . keep reading Top CGT free countries 20/01/2010 If you want to sell shares in your UK company or UK land and property free of capital gains tax, moving overseas and establishing non UK residence is one of the most effective tax planning options. In this list below we've looked at some of the top international destinations that don't levy CGT. . . . keep reading Top countries of residence for the Rich & Famous If you've ever wondered where the Rich & Famous base themselves to avoid tax you'll find this fascinating reading. In this article we look at some of the top tax haven destinations for celebrities and why they're so attractive . . . keep reading Making a 'distinct break' from the UK to establish non UK residence 04/01/2010 One of the key outcomes of the recent High Court and Court of Appeal decisions on residence is that they reiterate that a prospective emigrant should look to ensure there is a 'distinct break' with the UK. This is essential to establish non UK residence. In this article we look at how this could be achieved in practice. . . . keep reading Trading in the UK with a UK company/LLP and how to minimise tax 18/12/2009 If you're a non UK resident looking to carry out any business activities in the UK you should carefully consider whether there could be a charge to UK tax, and if so how this can be mitigated. In this article we look at the dangers of a UK permanent establishment, how this can be avoided and how a UK company or LLP could be used . . . keep reading How non residents can eliminate income tax on UK rental income 14/12/2009 If you're non UK resident and rent out UK property you'll be subject to UK income tax on the rental income. This will fall within the non residents landlord scheme and would initially be subject to basic rate income tax at source for most landlords. In this article we look at the techniques non residents can apply to reduce UK income tax on the rental profits to nil . . . keep reading Employees working overseas and UK tax 07/12/2009 If you've been posted abroad of key importance will be your UK tax status. In this article we look at the UK tax issues including how both UK and overseas earnings are taxed, how to calculate the taxable amount and how to minimise it . . . keep reading More

Latest Non Resident Tax Questions Tax efficient extraction of company profits as a non resident - USERNAME:davebiggam Moving to US - income tax implications USERNAME: ckchowes Using offshore company, transfer of assets abroad and UK corporation tax - USERNAME: lhuggybear Protecting overseas earnings from UK tax USERNAME: anon Disclosure of capital gain on property in Turkey USERNAME:JudithB Non resident, living in France and tax repayment? USERNAME:cabmort UK NIC on share option gain when non resident - USERNAME:Pioroman Non resident vesting of share options and UK tax USERNAME: Pioroman Non residence/P85 questions - USERNAME: Juliet1 QROPS/SIPPS tax questions USERNAME:andreaapb Non UK resident structuring loan finance for UK tax deduction Defining the "power to enjoy the income" for the transfer of asset provisions UK property owned by offshore company and UK tax on transfer Structuring investment in Guernsey company and future non residence Bed and breakfasting properties as non resident and offshore bonds Non resident moving to Malta and UK tax on LLP profits Dutch employee and UK tax? Moving to the Phillipines and avoiding UK CGT Avoiding tax if come to UK for childrens education UK income tax questions for non UK resident/NZ resident Remittance basis in Malta Greek individual trading in the UK? UK and Greek tax Using UK company as a non resident Buying US property and minimising UK and US tax 5 year non residence requirement for CGT purposes UK income tax and dividends from a UK company Non residence and spouses status Non resident CGT and French property Non resident/offshore tax questions More

Tax Articles on Non UK Resident Status

We have a lot of tax articles covering non UK resident issues in our Emigration section. Here's a selection: