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Where Taxpayers and Advisers Meet

split year treatment

Herbs16
Posts: 73
Joined: Wed Aug 06, 2008 3:53 pm

split year treatment

Postby Herbs16 » Tue Jan 12, 2016 5:02 pm

Hi
Im hoping someone can help me, happy to pay for advice

Im helping a colleague complete his 2015 tax return

He is employed by a uk hospital and always been uk resident but left the uk for good on 21/7/14

He was only in the UK for 55 days in 14/15

He received a £40k salary for that period and paid tax accordingly

When he left the UK, he got a job in Egypt.

How do I complete the tax return, Im assuming hes non resident for 14/15, is he taxable on his uk income?

any help will be appreciated.

Many thanks

maths
Posts: 7903
Joined: Wed Aug 06, 2008 3:25 pm

Re: split year treatment

Postby maths » Tue Jan 12, 2016 7:18 pm

On what basis do you believe for 14/15 he was non-resident?

Almost certainly resident.

Possible split year treatment depending upon details.

GlobalTaxAdviser
Posts: 633
Joined: Fri Dec 05, 2014 1:18 am

Re: split year treatment

Postby GlobalTaxAdviser » Tue Jan 12, 2016 8:38 pm

Case 1 - Split Year applies for those leaving the UK to work abroad full time

Basically he will meet the criteria if he was resident in the UK in the previous year and works sufficient hours abroad plus he meets the third automatic overseas test which basically says if he works full time overseas, spent less than 91 days in the UK and less than 31 days working in the UK in the next tax year

He will need to complete SA109 and the pages are not available on the HMRC self assessment software

Herbs16
Posts: 73
Joined: Wed Aug 06, 2008 3:53 pm

Re: split year treatment

Postby Herbs16 » Wed Jan 13, 2016 3:53 pm

Hi
thanks
I thought as he was in the uk for less than 180 days he will be treated as non resident of the uk?

He was Uk resident the previous year, I need help with the calculation I think

can anyone help me or let me know what you need and what fee will be charged?

Id appreciate any professional advice

Many thanks

GlobalTaxAdviser
Posts: 633
Joined: Fri Dec 05, 2014 1:18 am

Re: split year treatment

Postby GlobalTaxAdviser » Wed Jan 13, 2016 4:47 pm

Hi

Yes to an extent it was correct with the 183 day rule in the good old days but it changed in April 2013 with the Statutory Residency Test which makes it very complicated as you need to go through each part of the test to determine residency and non residency

Kind Regards

GTA

maths
Posts: 7903
Joined: Wed Aug 06, 2008 3:25 pm

Re: split year treatment

Postby maths » Wed Jan 13, 2016 5:16 pm

He is employed by a uk hospital and always been uk resident but left the uk for good on 21/7/14

He was only in the UK for 55 days in 14/15
1. On what date did he start the overseas work.

2. On what date does he anticipate the overseas work will finish.

3. On what date does he intend to return to the UK.

4. Where does the 55 days come from.

erictheone
Posts: 19
Joined: Sat Aug 15, 2015 12:22 pm

Re: split year treatment

Postby erictheone » Tue Jan 26, 2016 5:40 pm

Hi Herbs - I've just been through this split-year treatment for myself, and my advice is simple: just go online to the HMRC website, search for and complete the Statutory Residence Test process, and that will give you the answer. Since the rules changed a few years, there are so many different factors to consider (it's no longer as simple as "How many days living in UK in Year A?" or "Did you own a home outside UK in Year B?"). I therefore doubt that anyone on this forum can give you a definitive answer without having all the specific details that the SRT requires.


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