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Posted Mon, 29 May 2023 10:20:04 GMT by Lii Chyuan Ho
As a non UK resident, if I am offered a job in the UK for a year only with an annual income of GBP 120000, will there be a difference in the amount of tax I am required to pay if I come at different time of the year. Let say if my contract starts in April 2023 and ends in March 2024, my annual salary will be exactly 120000 where I will be taxed based on that annual income (about GBP 35432 annually). What if my contract starts in Oct 2023 and ends in September 2024, my annual income for the tax year of "April 2023 to March 2024" will only be 60000 (annual tax about 11432), and my annual income from the tax year of "April 2024 to March 2025" will be 60000 (annual tax about 11432), and in total I only need to pay GBP 22864 for that 12 months of working in the UK. Will there be this large discrepancy (GBP 35432 - GBP 22864 = GBP 12568) if my 12 months annual salary is the same, but due to coming at different time of the tax year, I get taxed differently?
Posted Thu, 01 Jun 2023 10:50:06 GMT by HMRC Admin 10
Yes, the time you arrive will have an effect.
If you are employed for the full tax year, your level of income would mean reduced personal allowances for the year and increased tax.
If you arrive in the middle of the year, your income would then be split so full allowances would be due each year.

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