Treatment of bonus after moving to UAE

[uk_expat]

Hi,

I have UK tax resident and working in the UK for the past few years. My current employer is relocating me to a new role in UAE this September. Under the split-year treatment, I will cease to be UK tax resident on the relocation date. I expect to be paid a bonus in February 2018 which covers my performance for the 2017 calendar year. The bonus is at my employer's discretion - I have no contractual entitlement to it.

Will I have a UK income tax liability on this bonus payment?

Many thanks,

uk_expat

[darthblingbling]

I'm only a student of tax, so don't take it as gospel. But I believe for employment income you are taxable when you are legally entitled to it or when you receive it, whenever is earlier [ITEPA 2003, s.18]

There's a third rule as well if you're a director, but I don't think that applies.

So just make sure you get that split year!

[bd6759]

It is taxable in the year that you receive it, but whether or not it is taxable depends on your circumstances when it is earned.

Since the bonus will relate to duties performed in the UK, it will be taxable in the UK.