Income earned abroad

[Yiannis17]

Have a situation here whereby a guy is earning 150k as a non resident - works abroad so tax return is nil as he has been away for some time now from the UK. He is not sent abroad by an employer as he is an independent trader.

His financial adviser appears to think he can show this level of income on his tax return and not be taxed as he is trying to but a house. Am i missing something here please?

[rbailey28]

UK residents are taxable on worldwide income and gains, so whether he pays tax on earnings abroad depends on his residency status. You would have to give me recent history regarding where he has resided for me to answer further.

[rbailey28]

Further to my last post. If he is non resident, why is he filing an SATR anyway ? If he was previously resident he would have had to leave the UK for a complete year without visiting during the year in order to get non resident status, unless he had a contract of employment abroad. Is he buying the house for himself to live in or as a buy to let investment ? If he is buying a house for his own use then he would become resident again when he moved back to the UK, even if for short periods, because he has a house available for his use.