The Statutory Residence Test – or, am I a UK taxpayer?

Posted on May 19th, by Helen in Tax. Comments Off

The Statutory Residence Test was introduced from April 2013 to determine your tax residence; it sets out what makes you UK resident for tax purposes.

With the ease of global travel we have a lot more freedom to choose where we want to live and work. So why should it matter whether we are resident in the UK for tax? Well, if you are UK tax resident then you pay tax on all of your worldwide earnings. And if not, then you will not be entitled to the same tax allowances as a UK resident.

The Statutory Residence Test works as follows:

If you spend 183 days or more  in the UK then you are a UK resident for taxes.

But you will automatically be resident overseas for tax and not the UK if

1.      You spend less than 16 … Read More »