Revenue guidance on residence in the UK is set out in HMRC6. When an individual leaves the UK to take up full time employment abroad, that person will be regarded as not resident and not ordinarily resident in the UK from the day following departure to the day before final return to the UK, so long as the employment covers at least one complete tax year.
The proposed change looks at the position of duties of employment carried out in the UK after departure. The individual needs to demonstrate that there has been a clean break with the UK when taking up the employment abroad. However, HMRC accept that he may need to return to the UK to carry out some duties in employment, but propose that in HMRC6 there should be a cut off of 10 days a year below which an individual should be able to maintain that there has been a break with the UK.
This means that anyone who has moved abroad to work will need to review their situation to ensure that their non-resident status is not jeopardised. Please contact Paul Bramall on 020 7182 4741 or your normal Gabelle contact for further information.