The short version: A non-resident is someone whose permanent home for tax purposes isn’t in the UK. You might work here temporarily or have income from the UK while living abroad. Non-residents only pay UK tax on UK source income.
How do you know if you’re non-resident?
HMRC uses the Statutory Residence Test. Key factors include how many days you spend in the UK, whether you have a home here, and your connections to the country. Spend fewer than 183 days here and you’re likely non-resident, but it’s not always that simple.
What does it mean for tax?
Non-residents pay UK tax on income from UK sources, like rental property or UK employment. They don’t pay UK tax on foreign income. But if you’re tax resident elsewhere, you’ll pay tax there instead.
Do you still need to file a UK return?
Possibly. If you have UK rental income, UK employment, or capital gains from UK property, you may need to file even as a non-resident. Selling UK property triggers specific reporting requirements.
Leaving the UK?
If you’re moving abroad and want to become non-resident, you need to properly break your UK ties. Just leaving isn’t always enough. The rules are complex.
Working out your residence status? Talk to us and we’ll help you understand your obligations.
