Split Year Treatment

[PJ999]

Hello All,

I think I found the answer to this but I am not one hundred percent sure. (Case 6 for split year treatment?).
I moved abroad mid-April for work in year 2024 to 2025 (not working or claiming benefits in the few days I was in the UK at the start of the tax year) and plan to return to the UK having stopped work in early August this tax year, and to be retired.

From HMRC website:
'You will not get split-year treatment if you live abroad for less than a full tax year before returning to the UK.'
This is unclear to me if they literally mean I spent no time living in the UK, as I did spend 2 weeks before I moved abroad (and a week later in the year on holidays) last tax year, or it means that I was non-resident for tax purposes.
Other HMRC pages suggest the latter - that I was not living in the UK as I was non resident for tax purposes (definitely resident for tax purposes and paying income abroad for the whole period).

If I don't get split year treatment, I can't afford to come home until October
Does anyone have any insight on this one?

Many Thanks
PJ

[darthblingbling]

If case 6 doesn't apply, cases 4 and 8 may still apply in your circumstances. But overall would need more information. Generally speaking you need to be non tax resident for the previous tax year in order to claim split year on return, have you looked at your tax residence position for 2024/25?

If for whatever reason split year does not apply, a relevent tax treaty may still provide protection, depending on where you worked and what tied you back to the UK when you went to work abroad.

[AGoodman]

Case 6 is actually a little more specific. There is a good summary here: https://www.gov.uk/hmrc-internal-manuals/residence-and-fig-regime-manual/rfig21190

The actual legislation, which is moderately legible, is in para 49 here: https://www.legislation.gov.uk/ukpga/2013/29/schedule/45

Essentially, you have to have been non-resident for the whole of the previous tax year by qualifying for the Third Automatic Overseas Test - working full time abroad: https://www.gov.uk/hmrc-internal-manuals/residence-and-fig-regime-manual/rfig20140

[PJ999]

Thank you,

This was really helpful and allowed me to figure it out.

Yes, therein lies what was my issue - the legibility.
'Generally speaking you need to be non tax resident for the previous tax year in order to claim split year on return, have you looked at your tax residence position for 2024/25?'
I was definitely not tax resident in the UK for 2024-2025 in terms of automatic ties - I was in the UK only 3 weeks in total and earned no money whereas I was employed abroad (by a non-UK employer) from 22nd April full time for the remainder of the tax year.

'Essentially, you have to have been non-resident for the whole of the previous tax year by qualifying for the Third Automatic Overseas Test - working full time abroad'
Wow! Three pages to reference on HMRC website and I needed a spreadsheet, but came up with a figure of 37.95 so it seems I'm okay.

What tied me back to the UK? I own a house with my partner who still lives there, but also had a place abroad 'home' obviously. So a family tie and an accommodation tie, two ties I think means I can spend up to 90 days in the UK and still be non-resident. Again, seems I'm okay.

Best Wishes
PJ