split year treatment bonus

Hi, I was never UK resident and arrived UK on 10 Nov 2022 by BNO visa and become UK resident. After checking, split year treatment is applicable to me. I was still working for the same employer, Hong Kong company, before and after I arrived UK during the whole tax year 2022/2023. In UK I work at home. I have the following enquiries. 1) I was entitled to a bonus payment for the period of 1 Apr 22- 31 Mar 23 and received it at end of March 2023. Can this bonus payment be treated also with split year treatment and split it into 2 parts, non-UK(HK, not subject to UK tax) and UK( subject to UK tax)? 2) According to double taxation agreement with Hong Kong, my salary from 10 Nov 22 to 6 Apr 23 is subject to UK tax. But my whole year salary is subject to Hong Kong tax. Is it correct that I can claim tax relief on the part of salary during my stay in UK? Thanks.

Hi siusiuhak,

If you qualify for split year then you only report any foreign income for the UK part of the year RDRM12000 - Residence: The SRT: Split year treatment.
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, uk will help you work out if split year treatment applies.
As such, you can apportion the bonus payment for the income prior to arrival.
As you will only be reporting the UK part of your income, you may want to claim relief in Hong Kong for any of the UK tax paid. you cannot claim foreign tax credit relief as you are not resident for 22/23

 Thank you.

Hi , I have a similar case as above, I physically in UK since 10 Dec 2022, and I still working for the same HK employer until 28 Feb 2023. I have a bouns payment base on company result ended 31 Dec 2022 and full year 2022 personal performance. The bonus bank in my HK account in Apr 2023, and HK employer has declared this in my 22/23 salary tax return in HK. So I wonder if this can be apportion if my split year treatment is calculated on the date I am in UK, thus only from 10Dec to 31 Dec portion. Or if when my tax resident states confirmed, it is in Jan 2023, so that the bonus related to 2022 whole year not count. Or it is still need to report and pay tax as when I received I am already a tax resident. As I read thru some other forums answers, some says full from arising, some say can apportion and some says no as not tax resident yet for Dec 2022. Thank you.

Hi
As the bonus relates to work you carried out in Hong Kong, while resident in Hong Kong, it is not taxable in the UK, even if you are resident in the UK at the time the bonus is paid.

HI Admin I have further check the guidance, my split year treatment start date should be 10 Dec by case 4 as at that time I start to have a only UK home here. so for the double pay on Dec 2022 and bonus related to company result ended 31 Dec 2022 and my full year 2022 personal performance, if these 2 amount should be apportioned as much part is related to my work in Hong Kong. Thank you.

Hi JCSK,
Under the terms of the double taxation treaty, payment for employment carried out in Hong Kong is only taxable there. as the bonus relates to this, you don't declare it in the UK.
Thank you.