3rd automatic overseas test - remote working

According to the 3rd automatic overseas test: You’ll be non-UK resident for the tax year if you work full-time overseas over the tax year and: - you spend fewer than 91 days in the UK in the tax year - the number of days on which you work for more than 3 hours in the UK is less than 31 - there is no significant break from your overseas work I have been a UK resident for the last 8 years and working as PAYEE under my own LTD company. I permanantly moved to India in May 2023 and continued to do my UK work remotely and receiving salary and dividends into my UK bank account. 1. Will that be considered as working overseas even though I was working for a UK company and on UK payroll? 2. Do I need to show this PAYEE income and dividends in the self-assessment?

Hi,

This may actually fall under split year. 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 at GOV.UK will help you work out if split year treatment applies. 

Thank you.

For split year treatment to apply, I need to qualify as a UK resident. However I am qualified as a resident in other country (having spent more than 185 days in the tax year). In my case can I report as non-resident in UK?

Hi,

That is for you to decide based on the guidance available.

Which tax year do you want to check your UK residence status for?

Thank you.