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Posted Mon, 04 Jul 2022 14:35:12 GMT by Ukjames
Hi all I was wondering if anyone could help with understanding whether I need to pay tax to the UK when the company I worked for was sold after I have left the country. I previously worked for a company in the UK but then quit my job and left the UK permanently to move to Jersey in December of 2021 (I will be claiming split year treatment). I received some income when the company was sold in March 2022 (as income from the trustee of the company not as a shareholder) because I had been at the company for 5 years and hadn't left that long ago. It seems like because I had left the UK already, become non-tax resident for the UK through split year treatment, arrived in Jersey and become tax resident for Jersey, that I should not be liable to pay the UK tax on this income. However when I received the payment to my bank account and the payslip early in March 2022, income tax had already been removed at source (by the UK). Could you confirm that I don't owe HMRC tax for this income? If so I am planning to reduce my total tax owed to HMRC by the amount they took off in my 21 to 22 self assessment tax return (I have non-related capital gains tax I owe to offset against it). Many thanks
Posted Tue, 05 Jul 2022 09:57:00 GMT by HMRC Admin 17

The company will have automatically deducted tax under PAYE rulesas they will not be aware of your personal circumstances.

You will still include this within your tax return and claim the relief due under the split year rules  .

Thank you.

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