Originally posted by ContrataxLtd
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Reply to: Working in the middle east ,tax issues
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Previously on "Working in the middle east ,tax issues"
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Originally posted by Fred Bloggs View PostThe prerequisite condition is that you are out of the UK a FULL tax year before you can claim non tax resident status. In the year of departure and year of arrival in the UK you an claim split year treatment. But, again, you MUST have been out of the UK for a FULL tax year to qualify. As the OP has only been away six months (if I read correctly) then it is impossible for him to pass any of the automatic overseas tests. I suggest to begin with the OP uses the HMRC on line tool which determines if you are non tax resident or not. As it stands, I see no hope for the OP avoiding UK tax on his earnings.
If he is working full time overseas in 2017/18 or doesn't spend more than 16 days in the UK during 2017/18 then again he is likely to be non resident in the UK for tax purposes based on the limited information available.
If the OP is only working overseas for 6 months then returning to the UK he will probably remain tax resident throughout, although a long holiday abroad can sometimes be cheaper than paying the UK tax that would become due.
As I think everyone agrees, this can be a very complex area to advise on as there are a large number of factors to consider and can even depend on future actions of a following tax year so professional advice is always recommend. There is no way proper advice could be given on a forum, just general pointers and that's why advice on non residency is often reasonable costly (although for the tax normally at stake it's relatively cheap!).
Martin
Contratax Ltd
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Originally posted by dotcom12 View PostI have worked in the Middle East, broadly speaking to be non resident you will need to be or have the intention to be out of the UK for a full tax year i.e. 6 April -5 April. Provided that you satisfy the test and then you limit your visits to the UK to less than 90 days per year, i think you should be ok.
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Originally posted by BlasterBates View PostMake sure you have notified HMRC that you left, otherwise they will be hounding you for a tax return.
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Originally posted by ContrataxLtd View PostAs others have said you do need professional advice here. As a very general rule, if you are in the UK for less than 16 days in a whole tax year you will be classed as non resident under the first automatic overseas test but you need a good review of your situation to ensure you do things correctly.
Google RDR3 and have a long read for a good place to start.
Martin
Contratax Ltd
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Make sure you have notified HMRC that you left, otherwise they will be hounding you for a tax return.
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I have worked in the Middle East, broadly speaking to be non resident you will need to be or have the intention to be out of the UK for a full tax year i.e. 6 April -5 April. Provided that you satisfy the test and then you limit your visits to the UK to less than 90 days per year, i think you should be ok.
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Originally posted by SCOTLAD View PostHi new member,
Has anyone on here worked in the middle east and had any tax problems when returning to the UK? I was under the impression when i came out here 6months ago as long as didn't return to the UK for more than 16 days i would be ok.
The HMRC website is very difficult to understand, so was just wondering if anybody on here could steer me in the right direction or even an accountant that could help?
Thanks in advance
you work abroad full-time (averaging at least 35 hours a week) and spent fewer than 91 days in the UK, of which no more than 30 were spent working
https://www.gov.uk/tax-right-retire-abroad-return-to-uk
If you rent or own a property and return to it regularly there is a possibility you might be resident. As others have said I would take advice if you're not sure.Last edited by BlasterBates; 3 July 2017, 16:32.
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Originally posted by SCOTLAD View PostHi new member,
Has anyone on here worked in the middle east and had any tax problems when returning to the UK? I was under the impression when i came out here 6months ago as long as didn't return to the UK for more than 16 days i would be ok.
The HMRC website is very difficult to understand, so was just wondering if anybody on here could steer me in the right direction or even an accountant that could help?
Thanks in advance
Google RDR3 and have a long read for a good place to start.
Martin
Contratax Ltd
Leave a comment:
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Originally posted by SCOTLAD View PostHi new member,
Has anyone on here worked in the middle east and had any tax problems when returning to the UK? I was under the impression when i came out here 6months ago as long as didn't return to the UK for more than 16 days i would be ok.
The HMRC website is very difficult to understand, so was just wondering if anybody on here could steer me in the right direction or even an accountant that could help?
Thanks in advance
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16 days?
Originally posted by SCOTLAD View PostHi new member,
Has anyone on here worked in the middle east and had any tax problems when returning to the UK? I was under the impression when i came out here 6months ago as long as didn't return to the UK for more than 16 days i would be ok.
The HMRC website is very difficult to understand, so was just wondering if anybody on here could steer me in the right direction or even an accountant that could help?
Thanks in advance
You won't do that in 6-months on its own. It is a complicated situation to understand, so you should speak to a tax advisor.
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Working in the middle east ,tax issues
Hi new member,
Has anyone on here worked in the middle east and had any tax problems when returning to the UK? I was under the impression when i came out here 6months ago as long as didn't return to the UK for more than 16 days i would be ok.
The HMRC website is very difficult to understand, so was just wondering if anybody on here could steer me in the right direction or even an accountant that could help?
Thanks in advanceTags: None
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