zak87

Hi,

This is my situation: I have moved to dubai for work for a UK company via an agency and paid via a 3rd party company.

I landed here on 2nd Nov 2011 and started work straight away i will be doing 8-10 weeks on 1 week back in the UK.

I am being taxed 20% from the agency/3rd party company is this right? if not can I claim it back - I am self employed.

I am working with guys whos payroll company are based in the channel islands and not being taxed.

Iv heard you have to be out of the UK for 91 days then you can stop paying UK tax and you can work abroad for 6 months without paying tax.

Could someone please help and advise me?

thanks.

Zak

flood2

As far as I know you... will still be taxed as UK resident as you are "still a UK resident".

The 91 days is currently(due to change next year) the current allowance you are allowed to be back in UK within a tax year. Since you have been in UK for more than the 91 days so far this year, and will be back home soon. then you will pay tax on all income out here.

Hope this helps

Meow

What you have been told is not correct. Under current legislation if you spend more than 91 days in the UK during a tax year you will be treated as resident for tax purposes (albeit in certain circumstances this can be 183 days if the split year concession is applied but this will change next year anyway).

If you have applied to be UK non-resident then you should not have tax deducted, but you need proper advice. If you want this (rather than guesses from people who aren't fully conversant), then contact me - see my signature below.

gottheTshirt

the 183 days is the rolling 4 year average not the split year concession. The split year concession is a concession which allows you to add time before and after a full tax year to the overall period of non residence. You left UK in November and cannot become non resident until you have been overseas for a full tax year April to April. Once you achieve that then you may be able to claim exemption Under the split year concession) from tax from the date you started work in Dubai. But you do need to get professional advice. The rules will change from April 2012 - the 91 days will become a variable dependent on other factors including accessibility of accommodation in UK, family in UK, number of days work in UK etc.

nikkisizer

Hi Zak,

There are lots of rules concerning residency with HMRC eg. whether you are classed as UK Resident, UK Resident but not Ordinarily Resident, Not UK Resident etc.

Factors such as your employment contract being from a UK company or Local company, connections back in the UK, date you leave the UK and if during a tax year if you qualify for split-year treatment with HMRC, if you are planning to permanently leave the UK, the list goes on!

There is too much to go into detail here but I am based in Dubai so happy to help you further if required

gottheTshirt

You need to fill in form P85
http://search2.hmrc.gov.uk/kb5/hmrc/...rd=5Ay4eloD0nw