Historically, residence in the UK was determined by being in the UK in excess of 182 days in any tax year (6 April to 5 April) or by being resident in the UK for an average of 91 days in any tax year, taking the average of the tax year in question and the three previous tax years.
This changed with the introduction of the SRT from 6 April 2013. The SRT consists of the three separate tests which are intended to provide greater certainty as to a taxpayers residency status. For the majority of taxpayers, it will be clear that they are resident in the UK if they:
- spend 183 or more days in the UK in the tax year
- have a home in the UK, and don’t have a home overseas
- work full-time in the UK over a period of 365 days
However, for taxpayers with complex circumstances, there are further tests using the SRT that provide more clarity as to their residency status in the UK.
- An automatic non-residence test.
- An automatic residence test.
- A ‘sufficient ties’ test.
Planning note
There are also special rules for those coming to work in the UK as an employee or as a self-employed person, as well as a special scheme for taxing the income of foreign entertainers and sportspersons who come to perform in the UK.
If you are concerned with your UK tax status, call Exceed for advice.
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