Returning to UK within tax year

siboxster

Hi

Can someone help please? I left UK on 10th May 2009 to take up a tax-free role in North Africa. For various reasons, this has not worked out very well (failure to be paid on time, other issues) so I want to return to UK. I take a small element in local currency each month upon which I pay tax locally. The rest is paid into a UK bank account. My question is, am I at risk of having to pay UK tax upon my return if I come back in early March? I have residency in my country of work and have spent a total of 75 days in UK to date this tax year - total will be 106 if I return for good as planned in early March. Thanks in anticipation of your help

siboxster

jimmo wrote: »

I am afraid you will be chargeable to UK tax on your total earnings, including those paid to you locally.
To break your UK Residency status you have to be absent from the UK for a complete Tax year so as you left in May 2009 you would have to be absent until after 5 April 2011.

Thanks Jimmo. I worked for only 2 weeks in UK in this tax year before leaving in May - don't know if this is relevant. I thought there was the ability to spend up to 183 days in the UK in the first tax year - does this not apply?

fengirl_2

No, this does not apply. You have remianed resident in the UK this tax year, simple as that.
There may be a double taxation treaty between the Uk and the country in which you are working which emans you would get credit for the overseas tax paid against your UK tax liability.

bluejellyfish

The 183 day rule only applies to someone whose intention is to be out of the UK for a complete tax year. However you must also actually stay out the UK for acomplete tax year for that to apply.

Like fengirls says, your have remained ordinarily resident and HMRC will look to tax your worlwide income.