5 months in Dubai, HMRC tax liability?
Sep 8th 2016, 11:06 pm
#1
Just Joined
Thread Starter
Joined: Sep 2016
Posts: 2
5 months in Dubai, HMRC tax liability?
Hello.
I'd appreciate some advice.
I moved to Dubai Jan 2016 with the intent of being away for at least a full tax year. I completed HMRC form P85 at the time.
However, I returned to the UK some 5 months later (June 2016).
As I did not realise being a non UK resident for income tax purposes, I now have an income tax liability to HMRC.
The company I worked for was not UK registered.
I worked on an hourly rate basis and was also paid an additional daily living allowance, which went towards rent, utility bills, transportation, etc. I was paid locally in Dubai. The company did not directly pay any of my expenses.
In short, is there any scope for me to at least claim some of my expenses as being non taxable? From what I've read so far, seems all is taxable.
I'm currently looking to complete my self assessment.
Can someone also advise details of a good accountant with experience in dealing with similar matters.
Cheers
-O
I'd appreciate some advice.
I moved to Dubai Jan 2016 with the intent of being away for at least a full tax year. I completed HMRC form P85 at the time.
However, I returned to the UK some 5 months later (June 2016).
As I did not realise being a non UK resident for income tax purposes, I now have an income tax liability to HMRC.
The company I worked for was not UK registered.
I worked on an hourly rate basis and was also paid an additional daily living allowance, which went towards rent, utility bills, transportation, etc. I was paid locally in Dubai. The company did not directly pay any of my expenses.
In short, is there any scope for me to at least claim some of my expenses as being non taxable? From what I've read so far, seems all is taxable.
I'm currently looking to complete my self assessment.
Can someone also advise details of a good accountant with experience in dealing with similar matters.
Cheers
-O
Sep 9th 2016, 11:19 am
#2
Lost in BE Cyberspace
Joined: Aug 2009
Location: Disneyland, Dubai
Posts: 15,887
Re: 5 months in Dubai, HMRC tax liability?
Ouch.
The only good news seems to be that you crossed two tax years. So you have more time to pay the bill as it will be split.
The only good news seems to be that you crossed two tax years. So you have more time to pay the bill as it will be split.
Sep 9th 2016, 12:05 pm
#3
Lost in BE Cyberspace
Joined: Nov 2012
Location: bute
Posts: 9,740
Re: 5 months in Dubai, HMRC tax liability?
Not sure that there is any wriggle-room. Does someone deal with your tax affairs ?
Sep 9th 2016, 12:26 pm
#4
Bored liberal
Joined: Feb 2007
Location: Over there ----->
Posts: 13,713
Re: 5 months in Dubai, HMRC tax liability?
Hello.
I'd appreciate some advice.
I moved to Dubai Jan 2016 with the intent of being away for at least a full tax year. I completed HMRC form P85 at the time.
However, I returned to the UK some 5 months later (June 2016).
As I did not realise being a non UK resident for income tax purposes, I now have an income tax liability to HMRC.
The company I worked for was not UK registered.
I worked on an hourly rate basis and was also paid an additional daily living allowance, which went towards rent, utility bills, transportation, etc. I was paid locally in Dubai. The company did not directly pay any of my expenses.
In short, is there any scope for me to at least claim some of my expenses as being non taxable? From what I've read so far, seems all is taxable.
I'm currently looking to complete my self assessment.
Can someone also advise details of a good accountant with experience in dealing with similar matters.
Cheers
-O
I'd appreciate some advice.
I moved to Dubai Jan 2016 with the intent of being away for at least a full tax year. I completed HMRC form P85 at the time.
However, I returned to the UK some 5 months later (June 2016).
As I did not realise being a non UK resident for income tax purposes, I now have an income tax liability to HMRC.
The company I worked for was not UK registered.
I worked on an hourly rate basis and was also paid an additional daily living allowance, which went towards rent, utility bills, transportation, etc. I was paid locally in Dubai. The company did not directly pay any of my expenses.
In short, is there any scope for me to at least claim some of my expenses as being non taxable? From what I've read so far, seems all is taxable.
I'm currently looking to complete my self assessment.
Can someone also advise details of a good accountant with experience in dealing with similar matters.
Cheers
-O
As you were away such a short time you will be deemed UK resident for the time you were away and are fully liable for UK Income Tax on all earnings and benefits in kind. Same as in the UK.
Sep 9th 2016, 2:24 pm
#5
BE Forum Addict
Joined: Aug 2009
Location: Dubai
Posts: 4,017
Re: 5 months in Dubai, HMRC tax liability?
Say nowt pay nowt
Sep 9th 2016, 8:54 pm
#6
Just Joined
Thread Starter
Joined: Sep 2016
Posts: 2
Re: 5 months in Dubai, HMRC tax liability?
Cheers folks.
Ya, as its split over 2 tax years, I suppose the impact is a little softer
I do have an accountant, though they don't seem super versed in re. foreign income.
On saying nothing.. hmm.. banks in some countries are now obliged to notify UK authorities of UK account holders.. so for me, ill pass..
Check: gov dot uk/offshoreincome
Ya, as its split over 2 tax years, I suppose the impact is a little softer
I do have an accountant, though they don't seem super versed in re. foreign income.
On saying nothing.. hmm.. banks in some countries are now obliged to notify UK authorities of UK account holders.. so for me, ill pass..
Check: gov dot uk/offshoreincome
Sep 14th 2016, 8:56 am
#7
Bored liberal
Joined: Feb 2007
Location: Over there ----->
Posts: 13,713
Re: 5 months in Dubai, HMRC tax liability?
Cheers folks.
Ya, as its split over 2 tax years, I suppose the impact is a little softer
I do have an accountant, though they don't seem super versed in re. foreign income.
On saying nothing.. hmm.. banks in some countries are now obliged to notify UK authorities of UK account holders.. so for me, ill pass..
Check: gov dot uk/offshoreincome
Ya, as its split over 2 tax years, I suppose the impact is a little softer
I do have an accountant, though they don't seem super versed in re. foreign income.
On saying nothing.. hmm.. banks in some countries are now obliged to notify UK authorities of UK account holders.. so for me, ill pass..
Check: gov dot uk/offshoreincome
Few UK accountants are versed in the rules as they apply to non-residents as they simply don't advise them on a regular basis so are rarely au fait. It's a specialist area and although not exactly fun, I keep up to date and advise on these issues.
