Gazza

Hey all,

I'm leaving the UK 19th July, with a week's holiday in Sinagpore before arrinving in OZ.
I'm currently self employed - if I receive income after leaving the UK but before arriving in Oz - would this be taxable in either country?
I'm aware of the 180 day rule in the UK - but I'd be de-registering as UK tax resident on 19th July and would be out of the UK for the rest of year 2004/05. Also, my accounts are prepared on a cash accounting basis i.e. booked when payments are received/made rather than when invoices are issued/received.

Any thoughts?

Many Thanks

ABCDiamond

it looks like 1 weeks tax free money to me

but as for the legal answer

Gazza

As well as 1 week's income, I'm actually going to get a completion bonus at the end of this contract so if I'm not due to pay any tax then it's a bit of a result for me.

sjn2003

When you say 'cash accounting' I assume you mean for VAT purposes. This is not the same as how you should prepare your accounts for tax purposes, which should be on an invoices issued/received basis - therefore if the monies you receive relate to work done whilst a UK tax resident they should go on your 2004/05 accounts and tax return.

Just out of interest, how are you accounting for any costs you may have to pay?? I bet you manage to squeeze all of them in your books before you leave!!

Just my understanding - I am sure someone else may tell you different

ABCDiamond

"cash accounting" used to be available for accounts for income tax purposes, isn't it still an available option ?


I must admit that the bonus now mentioned, may change things. I am sure the IR would not chase for 1 weeks income, but a "big" bonus ?

Make sure you invoice them from your address in Singapore

This is not legal advice ! so don't shoot me !!