Tax on 1 year in Australia

dolphin_uk

Hi, I am currently working as a higher rate tax payer in Australia. I left the UK in Feb 2012 and will return in March 2013 having visited for a week in November. This was a planned 1 year contract abroad.

Whilst in Australia I have received tax benefits via LAFHA (living away from home allowance) and salary packaging (meals and entertainment) via work.

1) I assume that I will have to pay UK tax on my 2012-2013 Australian income based on the double taxation agreement, paying the difference of UK tax minus tax paid in Australia. As I have been in Oz for more than 6 months I think I am viewed as a Australian resident.

2) Does it make a difference if I decide not to start work in the UK prior to the start of the 2013-2014 tax year? My flight is due to arrive at the beginning of March.

3) Will I be taxed on my 'tax-allowances' e.g. LAFHA, salary packaging and professional related expenses in the UK?

Unfortunately, I think that I am going to have to pay lots of tax when I get back...

Thanks for any advice.

xylophone

http://www.hmrc.gov.uk/paye/employees/changes/work-abroad.htm
http://www.hmrc.gov.uk/incometax/tax-leave-uk.htm
might throw some light - otherwise check with HMRC.