Split year treatment and tax return online by self assessment

Hi, I would like to ask about the split tax treatment, and see if we can finish the tax return online by ourselves. I am not sure if it's appropriate to ask in this forum category, Personal Tax, because I am not sure if some of my questions are related to this parts. please let me know if i should ask in another forum and I am really sorry for that. Many thanks. My family arrive UK since late July last year and we didn't have any jobs (income) in UK since then. We sold our properties in Hong Kong before arrived UK and we do not have any property outside UK now. I would like to ask about tax return & split year treatment in several situations. - For the sold properties in HK, do we need to report this in the UK tax return? Previous job in Hong Kong was until June 2021 and there was a bonus pay in January 2022. In this case, I would like to ask: - does the split year treatment be needed to apply? - if we use the online self assessment, can the split year treatment be applied online as well? In another situation, if the person retired but have the pension every month from Hong Kong. May I know: - if the self assessment is needed or do need to do anything as it's from pension - if the tax return should have been filled (self assessment), does the split year treatment is suitable for this case? - Can the self assessment be registered if we do not have the NI yet? And about the split year treatment - do we still need to report any revenue which is before we arrived UK? Thanks a lot.

Hi,

HMRC cannot advise on hypothetical questions.

If you wish to claim split year, this must be done in the tax return and you will then declare income received since arrival in the UK. The guidance at RDRM12150 will help you work out if split year treatment applies.
 
RDRM12000 - Residence: The SRT: Split year treatment: Contents

If you qualify for split year then you only report any foreign income for the UK part of the year

If you do not qualify then you will need to report all your foreign income to the UK.

Tax on foreign income

Thank you.



 

Thanks for your reply. "If you wish to claim split year, this must be done in the tax return ..." --- Does this mean that I can finish tax return include the foreign income and split year treatment application ONLINE? And all of them can be finished in Self Assessment? I am sorry for my poor explanation. My Family arrived UK at Late July 2021 and did not have any jobs in UK after that. We sold all our properties outside UK before arrival Rented a house in UK since September 2021. --- In this case, should we be eligible to have the split year treatment? thank you very much.

Hi LM, 

Please note that you can claim Split Year Treatment by entering the appropriate information in the 'Residence, remittance basis etc' pages (SA109) of your online Self Assessment tax return.

To find out if you qualify for Split Year treatment, please read the following guidance:  
                                                                   
'Tax on foreign income
                                       
To find out if you actually need to complete a Self Assessment tax return, please use our Self Assessment Criteria tool.    

Check if you need to send a Self Assessment tax return                                     

Thank you. 

 

Thanks for your help. I have filled the registered the self assessment by fill the "Register for Self Assessment and get a tax return: fill in and send (SA1)" online but seems there is no way for me to enter the detail such as the foreign income and also cannot find in the link for SA109 in the online system. Besides, I would also want to ask about the interest rate in banks in Hong Kong, as there maybe a very few interest rate, mostly lower than or around £0.1. Do I need to report or mark this as income if in this case? Also, my father is a retired civil servants in Hong Kong and having a pension from HK government, may i know if this foreign pension would be taxable ?

Hi,
 

If you are filing your tax return online, you need to use 3rd party software to include the residence section SA109. For foreign income you need to tailor your return at section 3 and answer yes to foreign income and yes you need to report it. If your father is now resident in the UK, the Hong Kong pension is not taxable in the UK  . Thank you.

Hi, Is this the list of the 3rd party software for my situation? https://www.gov.uk/self-assessment-tax-return-forms Can i download and use the paper form instead though i had registered online? https://www.gov.uk/government/publications/self-assessment-tax-return-sa100 And in my situation: Register the aelf assessment online Split year treatment No jobs after arrived UK Foreign income Are the form SA100 and SA109 all i need to filled and returned? Thank you.

Hi,

Details of commercial suppliers can be found here:

Self Assessment commercial software suppliers

Yes, you can still send in paper forms but the deadline is 31 October 2022. If you only want to claim split year, then the SA100 and SA109 are all that are needed.

Thank you.

Thanks for your help. For my situation, My bonus pay in January deduct part of it to pay a Mandatory Provident Fund (MPF). its mandatory to pay 5% of the salary for employee when it exceed certain amount in HONG KONG. The MPF is similar to a private pension which is custodied by fund company but mandatory which paid by both employer & employee, and basically the employee could only get back the full amount of it when they retired / reach 65 / apply to get back early when they prove such as by ILR they will no longer work / live in Hong Kong. So when I fill the tax return, SA100, which amount I should fill, the original bonus amount or the amount deducted MPF? For my father's case, his pension is non taxable in UK according to the reply before. May I know if he need to fill any tax return if he do not have any other income after arrived UK? And there is a similar case for my another family member who had income in Hong Kong before arrived UK. But after arrival, no any income at all. May I know if she need any tax return / split year treatment in this case? - Had income before arrived UK - No income after arrived UK - Same as me, arrived UK since July last year which should be the UK resident Thank you very much for you answer.

Hi,
 

If you qualify for split year then you only report any foreign income for the UK part of the year https: www.gov.uk/hmrc-internal-manuals/residence-domicile-and-remittance-basis/rdrm12000 . If you do not qualify then you will need to report all your foreign income to the UK : Tax on foreign income .  The guidance at RDRM12150 at www.gov.uk will help you work out if split year treatment applies .  The Hong Kong income from employment would only be liable if the duties were actually carrie oput in the UK. Your father does not need to complete a self assessment tax return. The other family member should check themselves using : Check if you need to send a Self Assessment tax return     . Thank you.

Thank you for your help. I tried to fill a paper form, but may I know about UTR, NINO it's my first time to fill tax return in UK so i do not have the UTR. May I know how to I get the UTR or I just simply leave it blank? I check on the page of Register for Self Assessment "If you have not filed a tax return before Register for Self Assessment and Class 2 National Insurance through your business tax account. You’ll need a Government Gateway user ID and password to sign in. If you do not have a user ID for a business tax account, you’ll be able to create one." In my situation, do i still have to apply the Class 2 NI and business tax account even I do not have any business and I am not self-employed? And for my father, he does not have NI as he has retired. The only income after arrived UK except pension may be the bank account interest even if there is any, it will be very few, may be less £0.1 a year (I am not sure if he has any interest as I did not check his bank statement). In his case, does he need the tax return or split year treatment? And how to fill if he does not have NI & UTR? can we just leave it blank? thank you very much

Sorry for my previous reply, I have referred wrong information for self-employed, the require of Class 2 NI. However, my enquiries are still same, can I just leave them blank if I do not have the UTR yet? Besides, because my parents had retired and hence did not register the NI. Could they simply fill the paper form of SA100, SA109 and leave them blank or they have to fill the SA1 first if they need to fill the tax return? Thank you very much.

Hi,
 

You need to register for self assessment first to obtain the UTR and then compete the tax return whether it be online or by paper. Thank you.

Hi,
 

If both claiming split year treatment, this needs to be within a tax return so registering for self assessment is required. You only need to register for Class 2 National Insurance if you are self employed or in a partnership. More guidance is at : Self Assessment tax returns   ., Thank you.

Thanks for your help. I am just trying to help my father to register the Self assessment as although he has retired but may have some interest in bank saving account from Hong Kong. But i find that the Self assessment ask us to enter the class 2 NI and wrote "It's for business", so may i know in my case / my father case, actually do not contain any business or self employed. What i want to do is 1. Report the one-time bonus income from my former employer in Hong Kong and the saving account interests (if any) from Hong Kong. 2. Split year treatment And my father should be similar to me except the bonus income. I suppose I should get the UTR number fist by submitting the SA1, and then fill the forms SA100, SA109 but seems SA1 ask me for Class 2 NI and the self assessment account registration is for business? May I have a correct linkage for the personal tax account which is suitable for my/my father's case? Or i should register the class 2 NI for the from SA1 ? I am afraid the time is not enough as the class 2 NI may not generate for me in time but I should get the UTR on 1 Oct as i know? thank you very much

Hi,

You will want to register using the following link as this will not ask for Class 2 National Insurance.

Register for Self Assessment

You should receive the UTR in time for filing a paper return by 31 October.

Thank you.

Really appreciate your help. I tried your link for my parents, but after i have created a government ID for them. Then I am stuck in the "We need to check your identity" as my parents do not have an NI. Even I tried "I do not have a National Insurance number, or have lost or forgotten it", it will only return "The information you gave does not match our records" May I seek your advice that what I should do? Should I apply for the new NI for them as I do not know if i can have the NI in time? Or I can bypass the NI and finish the self-assessment? Thank you very much.

Hi,

You will need to use the option for fill in, print and post as you will not be able to register online:

Register for Self Assessment

Thank you.

Hi， My family came to UK with me by BNO visa in last year. He is retired long time ago. He received money from Hong Kong from three sources: 1. bank interest 2. money gift from my sibling who is living in Hong Kong 3. old age allowance (similar to new state pension in UK) from HK government. May I ask: All of the three items are needed to be declared to the HMRC? Or just bank interest is needed to be declared? Or just interest and the allowance are needed to be declared as foreign income? Thanks.

Hi Skinny,

Under Article 17 of the Double Taxation Agreement, the pension from Hong Kong is not taxable in the UK so this doesn't need to be declared. The payment of the gift is not taxable income so doesnt need declared. Any bank interest does need to be declared.

Thank you.