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Topic: Need professional help I think!  (Read 1240 times)

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Need professional help I think!
« on: January 03, 2017, 07:04:57 AM »
Hi all,
Just realizing that my husband needs to do UK self assessment for 2015/16 and we need some professional help as it's not clear to me if he's going to be considered resident or non-res for that year.  He had a small amount of UK wages and his employer didn't withhold any taxes as he hadn't got an NI number at that point, so I'm sure we owe something!  Any recommendations on a reasonably priced accountant?  We spoke with one company before we moved over but they were frighteningly expensive and clearly aimed at those whose employers would be paying for their services!  We're in the southeast.
thanks, Julia


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Re: Need professional help I think!
« Reply #1 on: January 03, 2017, 08:52:22 AM »
Are you currently in the UK or the US?  Can you explain a bit more about your situation so that the tax experts here may be able to tell you if you qualify as a resident or not?

In the UK, if you work without a NI number, the employer typically withholds tax at the emergency tax rate (the highest amount) until they receive you NI number.  So I would think it's unlikely he owes.  Also if he only earned a small amount of money, I would imagine it's less than the personal allowance, so he actually doesn't owe any tax.

All just speculation until we know more.


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Re: Need professional help I think!
« Reply #2 on: January 03, 2017, 04:22:40 PM »
I would like to add some comments to those made by KFdancer.

The starting point, for UK tax purposes, is to consider residence. This is determined under the Statutory Residence Test (SRT), and includes the split year aspects. The SRT is complex, but its application can be straightforward, depending on individual circumstances.

If he is resident, then the worldwide income is taxable in the UK.
If he is not resident, then the UK earnings are taxable, although this taxing right can be overridden by the double tax treaty.

The best approach is usually to set out dates of presence and work in the UK, to allow the analysis to start.




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Re: Need professional help I think!
« Reply #3 on: January 03, 2017, 10:26:39 PM »
To answer the questions asked:
We are in the UK.
Regarding the SRT, yes, it is complex, and having spent yesterday trying to determine his status based on the SRT guidelines, I think he is neither clearly uk resident or clearly uk non-resident.  I spent yesterday trying to decipher RDR3 and he might meet the 3rd overseas test (depending on the definition of 'work full-time overseas').  If he isn't non-resident based on the 3rd overseas test then it comes down to the 3rd UK test, at which point I essentially gave up, because it's so ridiculously complicated as he worked in the US, UK, Switzerland and Germany at various times during the tax year :-(  I didn't arrive until in the UK until mid-April, so I'm not impacted for 2015/16.


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Re: Need professional help I think!
« Reply #4 on: January 04, 2017, 03:59:16 AM »
Try Boox accountants. I've used them for self-assessment for the past few years.

I'm not sure what their rates would be right now since it is the busy season for them (self-assessments for 2015-2016 are due at the end of this month) and my situation is a bit more straightforward. My rate was £120 for them to complete the return on my behalf.
2006: Met DH to be in London
2006-2010: LDR, with one year spent in UK in post-grad school
2010: Moved to London on Tier 1 PSW visa
2011: Engaged
2012: Married
2014: ILR Approved at PEO Croydon
2015: I'm finally British!


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