Returning expat - tax liability

DeusXM

Apologies if this has been answered elsewhere, but I've tried searching and have been unable to find an answer.

In November 2007 I left the UK to work abroad in a tax-free country. I have no sources of income within the UK and my salary was paid in local currency, into a local bank account.

I will be returning to the UK two years and one month (Dec 2009) after leaving. My question is quite simple: what tax am I liable for?

More precisely:

-Can my earnings between April 2007-April 2008 that were earned overseas be taxed, given I was in the UK until November?
-Can my overseas earnings from April 2008-9 be taxed as I was entirely out of the UK for the duration?
-Can my earnings from April 2009 be taxed on my return?

As background information, I had no income from anything in the UK while overseas, and I also failed to inform the tax office I was leaving the UK to work overseas on an indefinite contract, largely because I didn't realise I needed to.

fengirl_2

As you were out of the UK for at elast a complete tax year, then all your overseas earnings are tax free in the UK.
You need to complete a form P85 now (downloadable from www.hmrc.gov.uk) and send it to your tax office with the P45 from Nov 07. You are probably due a refund.
When you return, complete a form P86.

DeusXM

Wow....a refund? This just gets better! Thanks!

bluejellyfish

Fengirl is right, you are almost certainly due a refund. Try fill out the P85 as accurately as possible. Make sure you tick the box to say you were leaving for a complete year and stress that you have no UK income whatsoever. Hopefully HMRC will then calculate the refund for you. If not you may have to complete a self assesment form which may be a little tricky.

You might aslo be required to complete self assessment for 2009-10.