residence and domicile Flashcards
when are you automatically not resident in the UK
if you are in the UK for fewer than 16 days in a tax year
if you are not residence for any of the previous 3 teax years and in the UK for fewer than 46 days in any current tax year
if you left the UK to work full time abroad and you are in the UK for less than 91 days in a tax year and less than 31 days in a tax year are spent working in the UK
When are you automatically resident in the UK
if you are in the UK for 183 days or more in a tax year
If your only home is in the UK
If oyu work full time in the UK
When can a split year be used
when leaving or arriving in the UK and you are normally resident or non resident for a full tax year
How is a day of presence counted
a day in which you are present at midnight counts as one day
What rules do you use if the automatic rules do not apply
sufficient ties test
What is the sufficient ties test
is the spouse or minor children resident in UK
is accomodation in the UK made use of during the year
Is more than 40 days work done in the UK in a tax year
spending more than 90 days in the UK i each of the previous 2 years
spending more time in the UK than any single country
How many of the UK ties test are relevant to someone leaving the UK
5
How do the sufficient ties rule determine someone usually leaving the UK
if the person was resident of the previous 3 years
How many sufficient ties apply to someone arriving in the UK
4
For the sufficient ties test how is a person arriving in the UK defined
someone who has not been resident before
how is UK residency determined
by the number of days spent in the UK and the number of UK ties they haev
Which is more difficult to be a non resident someone leaving the UK or someone arriving in the UK
someone leaving
What is the deeming rule
where certain conditions are met after first 30 qualifying days all subsequent days within the tax year are treated as days of presence
What are the conditions for the deeming rule to apply
where someone has 3 or more ties
has been present in the UK for more than 30 days without being present at midnight
has been UK resident in one or more of the 3 pprevious tax years
What is domicile
Country that is your natural home
is it possible to have dual domicile
not under UK law
What is the Domicile of origin
Child takes fathers domicile in England and Wales or the mothers if illegitimate
childs domicile follows parents until 16
Wifes domicile is independent of a husband
What is a domicile of choice
acquired by moving to new country with the intention to permanently live there.
what actions can determine a domicile of choice
living in the country, expressing intention to stay in new country, buying a house there and disposing of property in domicile of origin, getting a job or establishing a business in new country - acquiring citizenship
How long do you have to be in the UK to be considered domiciled here
15 out of last 20 years
If you have a UK domicile what assets are liable to IHT
all worldwide assets
What assets are liable to IHT if you are non uk domiciled but a UK res
IHT on transfers of property in the UK only
if you are non uk dom and non uk res what is your UK income tax liability
liable on UK investment income, employment duties carried on within the UK and income arising from property n the UK
What is your CGT liability if you are non uk dom and non uk res
not liable unless you are a temp resident (uk res property and no res property exempt from this)
When do you need to complete a self assessment if you have overseas income
When the earnngs are in excess of £10,000
How does a CGT double taxation treaty work
usually by making the foreign tax credit paid a credit against the UK tax - no excess can be repaid though
How does Double taxation relief apply to income tax
Usually able to claim exemption (total or partial) from UK tax on some types of income from UK sources
What tax are offshore trusts liable to for a UK resident trustee
UK income tax & local taxation in the country of residence
Are offshore trusts liable to CGT
No
How are transfers of property into a offshore trust treated
a transfer of value so IHT rules apply
