Working over seas, split year and 16/17 self assessment?

[dickscovered]

Hi Fred

Generally when split year treatment applies, you fill in SA 109 which gives the information required to determine whether it does in fact apply. After that, on the main form it depends on the nature of your income as to what you fill in.

From your summary, the £11k of pension will always be taxable in the UK. It is UK source income and not eligible for non residents relief, as they call it. Your dividend income is eligible for non residents relief but because it is less than the dividend allowance it makes no difference. For form filling purposes, you should put in the full amount, but I wouldn't bother with actually claiming relief as you do not need to. As for your foreign employment income, you do not include that at all.

Once the company is struck off, you shouldn't have to file a return in principle except that they may ask you to do so. In that case, you do have to, but again only with the UK source income.

Hope that helps

David

[genou]

From your summary, the £11k of pension will always be taxable in the UK. It is UK source income and not eligible for non residents relief, as they call it.

Most UK tax treaties stipulate that pension income is taxable only in the country of residence, unless it is a public pension ( e.g. civil service ) . See e.g. the UAE treaty article 17 https://www.gov.uk/government/uploads/s ... -force.pdf .

If there is not a DTA, I would have thought that a UK pension would not be taxed in the UK as the OP is not UK resident, but don't trust me on that.

[JonE]

Most UK tax treaties stipulate that pension income is taxable only in the country of residence, unless it is a public pension ( e.g. civil service ) .

The UK 'exemption' of pension income requires the tax authority in my country of residence to certify that I'm resident there for the purposes of the double taxation (DT) agreement and that the income will be subject to its tax regime. I had to turn up at the tax office with EUR80 in cash to buy a stamp that has to be affixed to the completed DT-I form (downloadable from HMRC) which they then send to HMRC (in my case, after a few months sitting on it). HMRC then send notice of an NT (Nil Tax) code to providers of (non-state) pensions and refund as appropriate.

Fortunately, the DT-I is a one-off thing rather than annual though enquiring of local tax office staff what other applications there might be for this costly stamp prompted only shrugs.

Some detail (including Oman-specific stuff) downloadable from here:
https://www.gov.uk/government/publicati ... -uk-income

Cheers!

[dickscovered]

All true what is said above, but if you are going to keep the SIPP withdrawal to below the personal allowance level, then it's probably not worth messing around with the DTA paperwork.

BTW, the new dividend allowance only applies to residents, though for practical purposes HMRC does not try to chase any tax due - mainly because they assume that either non-residents relief could be claimed or DTA relief.