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Posted Thu, 17 Jun 2021 04:23:27 GMT by Samernest
Context: - I will move from Hong Kong to UK permanently 30.07.2021. - My employment contract in HK ended on 10.08.2021. I will take annual leave from 25.07.21 - 10.08.2021 based on the annual leave I earned before I 30.07.2021 - I will start a new job in UK with a local contract on 11.08.2021. - Following clarifications from guidance I amm sure that the Split Year Treatment applies to me in this case. Issue: - If I received payments on 11.08.2021 after the end of my Hong Kong employment (which is the annual leave payment for the period 25.07.21 - 10.08.2021) Question: - How to consider this payment (received after the date of the beginning of the Split Year Treatment) in my UK self-assessment, in order to avoid double taxation? Should I include exclude this payment from UK part on tax reporting? Thanks in advance for your support.
Posted Tue, 22 Jun 2021 11:23:24 GMT by HMRC Admin 9

If you are claiming split year, then any foreign income received after the UK part of the year would be subject to tax in the UK regardless of which period it relates to.

You will enter this income under the employment section of the return and enter the tax paid in the foreign section of the return and then claim Foreign Tax Credit Relief for tax already paid so that you are not taxed twice on the same income. 

Thank you. 

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