Global events, such as COVID-19, and personal circumstances can play a part in your decision to move back to the UK. An unexpected move can be a busy time with many factors to consider, and tax and financial planning can often be bumped down the priority list. However, any return, even just your spouse and/or family heading back to the UK, could expose you to unexpected tax liabilities, much sooner than you may think.
In recent weeks many expatriates have begun planning an unforeseen or accelerated return to the UK. Our webinar explained how the UK tax system could impact your finances in this situation and highlighted some steps you can take to ensure you don’t pay any more tax than you need to. Our speaker was International Tax Manager, Peter Webb.
Peter covered the trigger points that make you UK resident for tax purposes along with common mistakes that can expose you to tax in the UK before you even arrive. He explained the key considerations you should bear in mind before leaving as well as some tax-efficient investment strategies you can adopt once in the UK.
The webinar also touched on the importance of understanding your residence and domicile status, and the impact of each of these classifications on your UK tax exposure. It explored how the Statutory Residence Test works and what pension planning you may need to bear in mind. Another key factor to consider when planning a return to the UK is how your employment status and your UK property can be interpreted by HM Revenue and Customs (the UK tax authority) with regards your tax status. The presentation explored the tax implications faced by British expatriates from a UK Income Tax, Capital Gains Tax and Inheritance Tax perspective.