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Where Taxpayers and Advisers Meet

Work days and Days spent in the UK

kwt100
Posts: 8
Joined: Tue Mar 17, 2020 5:19 pm

Work days and Days spent in the UK

Postby kwt100 » Tue Mar 17, 2020 5:29 pm

I am confident that I will qualify under the Third automatic overseas test, and am completing my first (split) year. I started in June and am permitted 75 days in the UK, and 25 work days in the UK.

I have roughly 20 work days, in the UK. Two of the work days in the UK were performed on the same day that I departed the UK, before midnight. I will declare obviously these days as work days, but as I left the UK on the same day, presumably those 2 work days do not count as a 'day spent in the UK'? (If they do this would push my days spent in the UK to 77 days).

I note the deeming rule does not apply for the third automatic overseas test, but not sure why that is relevant.

If this is right does this mean for next year's 31 day test, and 91 day test, you could in principle work 30 days in the UK and leave before midnight; and also have 90 days in the UK not working?

maths
Posts: 7797
Joined: Wed Aug 06, 2008 3:25 pm

Re: Work days and Days spent in the UK

Postby maths » Tue Mar 17, 2020 8:29 pm

Days spent in the UK require presence in the UK at midnight UK time.

The deeming rule if it applies means that even if an individual is in the UK but not at midnight such individual will be deemed to have spent a day in the UK thus increasing aggregate days spent in the UK. It is designed to stop individuals regularly spending time in the UK but each time disappearing before midnight avoiding days spent in the UK.

If 90 days were spent in the UK consecutively then a "significant break" from overseas work would occur and the 3rd automatic overseas would be failed if no overseas work was carried out for at least 31 successive days with this period.

kwt100
Posts: 8
Joined: Tue Mar 17, 2020 5:19 pm

Re: Work days and Days spent in the UK

Postby kwt100 » Tue Mar 17, 2020 11:36 pm

Thanks maths, this is clear.

On the following year, the days permitted in the UK are 90, and the work days permitted in the UK are 30. If you choose to work 30 days in the UK and leave before midnight each time, and work days and days in the UK are not particularly consecutive i.e. generally spread over the tax year. Then, it seems to me that you could 'spend' 120 days in the UK, albeit for 30 of them you must leave before midnight - is this right?

maths
Posts: 7797
Joined: Wed Aug 06, 2008 3:25 pm

Re: Work days and Days spent in the UK

Postby maths » Wed Mar 18, 2020 12:30 am

Assuming no significant break (ie no period of at least 31 consecutive days on which no overseas work was carried out) then up to 30 days work in UK would be permissible (leaving before midnight) and up to 90 days could be spent in UK.

However, that would mean out of 365 only 245 days (ie 365 less 120) would be left to carry out overseas work. It seems unlikely (if not impossible) that "sufficient hours could be worked overseas" in the tax year as required as one of the conditions of satisfying the 3rd automatic overseas test.

kwt100
Posts: 8
Joined: Tue Mar 17, 2020 5:19 pm

Re: Work days and Days spent in the UK

Postby kwt100 » Wed Mar 18, 2020 12:11 pm

This is very helpful, thank you again for your time and the clarity.

If I may, I have one further question - the employer offers 'company travel days', that is to say if you are travelling on, say Tuesday, you are entitled to the day before (Monday) and day after (Wednesday) as days to relax and prepare for the flight. These days are paid in the normal way. They may include activities such as packing bags, getting groceries in, sorting our childcare etc. There is no expectation that you should answer emails or otherwise do normal work.

Would this be construed as working days or merely incidental?

maths
Posts: 7797
Joined: Wed Aug 06, 2008 3:25 pm

Re: Work days and Days spent in the UK

Postby maths » Wed Mar 18, 2020 2:41 pm

There is no such concept as "incidental duties" for the 3rd automatic test. The issue is simply whether the sufficient hours requirement is satisfied.

The days to which you refer would not count as days of work whether in UK or overseas. They would still count towards the 365 day count (ie would not be excluded).

kwt100
Posts: 8
Joined: Tue Mar 17, 2020 5:19 pm

Re: Work days and Days spent in the UK

Postby kwt100 » Wed Mar 18, 2020 3:12 pm

Excellent, thank you so much!


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