Can I Avoid Paying taxes?

Juan_Federico

Hi,

I´ve been out the uk for almost a year now, althought I never gave any notice to HMRC, and been having businesses there with 1 london based company and temp work for other uk businesses, and being paid on my business account in the uk. But I don´t intend to live in the UK in the foreseeable future. I now live in Portugal.

What do you think, can I avoid paying taxes in the UK? Or what would be the best advice? Close the cycle there, declare in april and pay whatever I am liable for? It isn´t much money neither, I made last year something near 13k GBP as self employed.

Thanks,
Juan Federico

System

Are you registered as self-employed in the UK?

Juan_Federico

Yes, I am since January 2009. then I left the UK in May 2009

usedandabused

Juan_Federico wrote: »

Hi,

I´ve been out the uk for almost a year now, althought I never gave any notice to HMRC, and been having businesses there with 1 london based company and temp work for other uk businesses, and being paid on my business account in the uk. But I don´t intend to live in the UK in the foreseeable future. I now live in Portugal.

What do you think, can I avoid paying taxes in the UK? Or what would be the best advice? Close the cycle there, declare in april and pay whatever I am liable for? It isn´t much money neither, I made last year something near 13k GBP as self employed.

Thanks,
Juan Federico

NO chance, you have not notified HMRC, also where were you born?

you have not severed all ties with the UK, therefore get your cheque book ready my son.

Juan_Federico

I guessed so, but it was worth to ask.

My nationality is portuguese.

usedandabused

Juan_Federico wrote: »

I guessed so, but it was worth to ask.

My nationality is portuguese.

you should notify HMRC that you have left the UK though, obviously you're domiciled in Portugal though, but you need to watch out for remittance charges, if I were you, I'd fill this out asap:
FORM P85(s)

Therefore the Revenue can assess you, and only charge you income arising in the UK, but remember the remittance may apply, where you either remit all but 2K of your earnings to the uk you get a personal allowance of 6475, and no 30k remittance charge.

if you don't then you get no allowance and stung with a 30k charge in addition to uk tax due

Juan_Federico

Well I don´t plan to ask for a tax repayment. I just want to sort this out, and severe all ties with the UK in good form. You never know what could happen in the future.

All my clients started paying me here, and Everything´s prepared to pay next year taxes in Portugal.

I just want to finish the cycle.

Many many thanks for your answer.

usedandabused

Well that form is not strictly speaking a claim form for repayment, however if a repayment was to arise, the revenue can rebate the value to you.
However the purpose is to establish for their records and even for you, when you left, so you’re not liable for more tax then you should pay, this also gives rise to whether you fall within the remittance charge or not, or if you’re caught in the resident/not oridnary resident for tax purposes (i.e over the duration you were in the UK did you exceed 90 days? Etc).
If I was you, I would start to sever all ties with the UK, that means winding down your business, closing down accounts etc, if you have anything linking you to the UK, the UK will tax you on income arising here, simples!