HMRC employs the Statutory Residence Test to assess an individual's tax residency, considering various factors. If an individual does not qualify as a resident in the UK under this test, their foreign income and gains are generally exempt from UK taxation. As a non-resident taxpayer, one’s liability for UK income tax is limited to income derived from UK sources, while capital gains tax primarily applies to the sale of UK land and property, which must be reported to HMRC within 60 days of the transaction. It is advisable for non-resident individuals to seek professional guidance before self-assessing their tax residency status, as missteps could result in substantial financial consequences.
A non-resident company is liable for UK corporation tax on the trading profits generated by a UK Permanent Establishment (PE) and, regardless of the existence of a UK PE, on profits derived from trading in or developing UK land, as well as from a UK property rental business. Additionally, non-resident companies are subject to UK corporation tax on gains from direct and certain indirect disposals of UK property. Any other income sourced from the UK that is received by a non-resident company is taxed at the basic income tax rate currently 20%, without any allowances, unless relief is provided by a Double Tax Treaty, if applicable.
From capital gains tax and personal tax returns for non-resident individuals to corporation tax returns for non-resident companies, our expertise provides you with accurate and informed advice regarding your tax responsibilities as a non-UK resident. We remain abreast of the latest developments in tax legislation to offer you the most effective and up-to-date tax strategies. Navigating the complexities of tax obligations in the UK as a non-resident can be daunting. Our team delivers specialised guidance and services designed for non-UK resident individuals and companies, ensuring compliance with UK tax regulations.
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