Go Back  British Expats > Living & Moving Abroad > Moving back or to the UK
Reload this Page >

Best time of year to move back for HMRC

Best time of year to move back for HMRC

Old Mar 11th 2015, 10:08 pm
  #1  
Just Joined
Thread Starter
 
Joined: Mar 2015
Posts: 8
Phil Jones is an unknown quantity at this point
Default Best time of year to move back for HMRC

Perhaps another retired ex-pat who has moved back to the UK with only pension income has faced my situation.

I'm wondering how long after moving back to the UK with only pension income (UK and Canada) a person should wait before contacting HMRC and announcing their return? Does the person wait for a year or so to go by so that HMRC can see that their residence has been primarily in the UK over the preceding year? Or should a person tell them within a few months of moving back to put HMRC on notice of the situation? If a person was returning to a job in the UK, HMRC would find out quickly via tax deductions by the UK employer. But with pensions that doesn't happen. I am presently classed as 'non-resident' by HMRC while a resident of Canada so no tax is being withheld on pension payments from a UK SIPP.

The Canadian tax form is filed by everyone in Canada at the start of each calendar year and has a place to enter a date for entering Canada or leaving Canada so it's relatively clear cut how you report to the Canadian tax people as to whether you have started/stopped being a resident of Canada. But as far as HMRC it seems vague as to when a retired ex-pat should tell them of resuming residence in the UK. I couldn't find anything on the HMRC website.

Has any other ex-pat gone through a similar situation? If so, I wonder how they handled it in regard to contacting HMRC.

I wonder if the UK tax year (April 6 to April 5) is relevant on when to contact HMRC? Maybe just after April 6 would be a good time?

I'd also be interested in whether anyone would have any thoughts as to whether there is a best time of year in regard tax and HMRC to move back to the UK -- given that a person has the choice of when to move back, i.e. no new job involved. Perhaps in April, given the UK tax year?

Thanks for any feedback!

Last edited by Phil Jones; Mar 11th 2015 at 10:15 pm. Reason: adding
Phil Jones is offline  
Old Mar 11th 2015, 10:28 pm
  #2  
Dichotomus tinker
 
not2old's Avatar
 
Joined: Aug 2013
Location: Ontario, Canada
Posts: 6,660
not2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond reputenot2old has a reputation beyond repute
Default Re: Best time of year to move back for HMRC

Originally Posted by Phil Jones

I'd also be interested in whether anyone would have any thoughts as to whether there is a best time of year in regard tax and HMRC to move back to the UK -- given that a person has the choice of when to move back, i.e. no new job involved. Perhaps in April, given the UK tax year?

Thanks for any feedback!
anytime really to move back - spring is best IMO.

Just that the UK tax year is April 5 & as you know 'world income declaration' for Canada & the UK.

https://www.gov.uk/personal-tax/self-assessment

If you are cutting ties with Canada as far as 'non resident' just fill in the declaration paperwork, otherwise (I believe) you'll forever have to continue to file a Canadian tax return

T4058 - Non-Residents and Income Tax - 2014

Non-residents of Canada

As far as contacting the UK pension folks in the UK, do that prior to leaving Canada & immediately on your arrival to give them your UK address. Hopefully you will get a boost in your state pension that was not indexed in Canada

https://www.gov.uk/international-pension-centre

Last edited by not2old; Mar 11th 2015 at 11:27 pm.
not2old is offline  
Old Mar 12th 2015, 12:17 am
  #3  
Just Joined
Thread Starter
 
Joined: Mar 2015
Posts: 8
Phil Jones is an unknown quantity at this point
Default Re: Best time of year to move back for HMRC

Thanks, not2old. So much paperwork involved in moving between countries, particularly in regard the tax people! A person doesn't want to do it too often! Thanks again.
Phil Jones is offline  
Old Mar 12th 2015, 10:10 pm
  #4  
 
Pulaski's Avatar
 
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 52,397
Pulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond repute
Default Re: Best time of year to move back for HMRC

If you have taxable income taxable in the UK move back such that your income before the end of the tax year is about the same as your annual tax allowance. So if your income per month is approximately one third of your annual tax allowance then look to return to the UK about three months before the end of the tax year (i.e. early January), thereby getting three months of tax free income.
Pulaski is offline  
Old Mar 13th 2015, 3:31 am
  #5  
Just Joined
Thread Starter
 
Joined: Mar 2015
Posts: 8
Phil Jones is an unknown quantity at this point
Default Re: Best time of year to move back for HMRC

Thanks, Pulaski. That's helpful. It would tie in with the Canadian tax as well since Canada uses the calendar year for taxation. So if one put on the Canadian tax form that he had left Canada on 31 December (or a slightly earlier date), he wouldn't need to file a tax form for the next year (assuming Canada accepted the stated departure date -- as they did the last time I left). And then you also get the UK tax benefit that you mentioned.
Phil Jones is offline  

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Contact Us - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service -

Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Use of this site indicates your consent to the Terms of Use.