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Posted Sun, 09 Oct 2022 10:22:58 GMT by Frank Bough
I moved to Australia and am now an Australian tax resident. Before moving to Australia I was a sole trader in the UK. I continue to do self employed work remotely for UK clients by remotely accessing their UK systems from Australia. My invoices are paid into a UK bank account. I realise I need to declare this work on my Australian tax return, but do I still need to declare it on a UK tax return as well? Or do I consider my UK sole trader business ceased the day I moved to Australia?
Posted Thu, 13 Oct 2022 15:49:57 GMT by HMRC Admin 20
Hi Frank Bough,

You would consider your sole trader employment ceased in the UK the day you left.
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: Contents
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 - Residence: The SRT: Split year treatment: Case 4: Starting to have a home in the UK only will help you work out if split year treatment applies. 
Thank you.

Posted Thu, 20 Oct 2022 10:44:11 GMT by Frank Bough
Thank you for your reply. I believe I do qualify for split year treatment. I spent more than 91 days in the UK in the UK half of my split year, so I assume I DO NOT meet the Third Automatic Overseas Test - is that correct? Many thanks,
Posted Mon, 24 Oct 2022 15:36:42 GMT by HMRC Admin 10
I regret that we are unable to verify your decisions.
The decision relating to residency must be yours, based on your interpretation of the guidance.
If you need a difinitive answer, you will need to seek the advice of a professional, such as an accountant.

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