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Posted Wed, 14 Jun 2023 12:45:45 GMT by
I recently moved to Guernsey. I am one of the 4 directors of a UK limited company. My work is 100% remote and there is no need for me to travel to the UK for business. Not planning to spend more than 30 days in the UK per year. My salary is paid through UK PAYE. My accountant advises me to apply for NT tax code as Guernsey has double taxation treaty with the UK and I am required to pay 20% in Guernsey. Can I apply for NT code as I am no longer a UK resident?
Posted Fri, 16 Jun 2023 08:21:38 GMT by HMRC Admin 5
Hi,

The guidance at PAYE81500 advises that you should complete form P85, as an employee of a UK based employer who is going to work abroad for at least a complete tax year and is applying for a tax code of NT.
If you are required to complete a self assessment tax return for the year that you leave, you should do so if the point above still applies .  
Where an individual has already completed an SA return for the year they left the UK, a P85 is not needed as the return will show the residence position (PAYE81645 - PAYE operation: international employments: issuing form P85).

Thank you

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