scrawni

What are the tax implications of moving back to the uk after being out of the country for less than a year?

When we came to Oz we told the tax man and got a nice rebate in the process. We will be heading back before the uk tax year end, will will be hit with a tax bill?

I hate anything to do with tax and understand very little, so if someone know the answer, no jargon please just plain english it would be appreciated.

Mandy

Sandra

Ok very simply it can depend on each person circumstance

You are leaving and returning in the current Tax year - yes? Tax years started April 2004 and will end March 2005 - will you be back and earning any money in the UK before the 5 April 2005 this year?

if the answer is no - then there will be no overpayment of your rebate and no you will not get a whumping great tax bill?

answer yes and I will continue.....

Sandra

And really being simple - the only thing that has happened is that you have used up all your tax free allowance - so at worst any money you earn in the UK in Feb or March will be tax at 22 or 40% there will be no big bill to repay, just a bit less in you pay packets for Feb/March if applicable.

I was joking about the big bill - but I work in payroll so I have a stupid sence of humour

scrawni

Thanks Sandra that was a big help. We are thinking of heading back mid march, so may or may not be working by the end of March. By all accounts then we will just have a higher tax to pay, would this be just until the 1st Apr?

Mandy

Sandra

Sorry missed your reply question....my computer isn't sending the correct messages.

Being anal....it is the 5th April....new tax year starts 6th April....so basically do not receive any money before this date (cause it is date paid not day earned) and you will get the normal allowances.

When I stated if you earned money before the Tax Year end you would have a bigger bill - really honestly I am not talking that much bigger, you just miss out on the Tax Free pay and maybe part of the lower band (cause you already had the benefit for the yr when you left and got the refund) - so if you pay tax in March you are going to pay anywhere between 40 (most likely) and 200 pounds (maximum) more than you would in a 'normal' month starting April. All of these amount depend on what you earn....

You really are not going to be stumped earning in March.

If you ever feel like discussing tax differences between the UK and Aus...I can perform a calculation....but only from an anal payroll point of view.

Personally I find it hard here in Aus giving up a larger bit of my earnings in tax compared to what I felt in the UK. But that is personal opinion.

I hope whatever decision you make .............it is the best one.

Ever thought about moving within Aus?

Cheers Sandra