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UK State Pension & SIPP tax - Non UK Resident
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WHU1
Posts: 2 Newbie

in Cutting tax
I plan to retire to Paraguay where I will become tax resident. Foreign Income is zero tax in Paraguay. As I will be non tax resident in UK what if any tax will I pay on my fully paid up state pension and my fully crystallised SIPP which is in drawdown?
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Thanks for the reply - much appreciated.
I'm confident I will meet the Paraguay requirements to secure tax resident status there and am aware of the DTA implication on UK income. I will definitely meet the UK Statutory Residence Test's (SRT) to secure non tax resident status in the UK. The grey area for me is, assuming HMRC agree I am UK non tax resident, what evidence do HMRC give to that effect (e.g a non resident tax code) and what is the HMRC process to secure this? I would need something from HMRC confirming non resident UK tax status to register with my SIPP provider, who currently tax my drawdowns at source based on the tax code provided to them by HMRC? Only other option would be retrospective tax refund claim via self assessment - hope that's not the case!0
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