Statutory residence test: split-year treatment when returning to UK

Complex residence rules come into play when Brits living abroad decide to return mid tax year to live in the UK, and careful prior planning and record keeping is essential to avoid potential run-ins with HMRC, explains Jo Lawless FCA CTA, lead technical writer at Croner

When we think of the statutory residence test (SRT), what often springs to mind is day counting and exceptional circumstances, or perhaps a new job overseas or back in the UK.

But for those individuals coming to the UK for reasons other than work, for example they retired abroad but have decided to come back, the issue of whether and when they have a home in the UK can be vitally important for claiming split-year treatment in the year of return.

Your free features:

  • Breaking news and expert analysis
  • Customisable daily newsletters
  • Six free CPD learning modules each year
  • Personalised CPD tracker
  • Top 75 Firms league tables
  • Regulatory changes
  • Hardman’s Tax Data

Sign up to Business & Accountancy Daily

Related Articles
Subscribe