Non-residents will not be able to work in the UK for more than ten days without it potentially affecting their residence status; if they are relying on the so-called “full time working abroad” exemption from UK tax residence, according to new guidance issued by HMRC.
Where an individual is treated as non-resident by virtue of holding a full time contract abroad but works more than 10 days in the UK they may still be able to persuade the taxman they are non-resident: as long as they are not carrying out substantive duties in the UK. They could still spend up to 90 days here and still qualify for the exemption, but should expect a stiff challenge if they do.
This could affect people coming back to the UK for business meetings.
Lynam Tax domicile specialists have decades of experience in dealing with tax residence and domicile issues.
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