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Posted 7 days ago by DamagedLemons
I moved back to the UK from Canada partway through last year and became a UK resident. After I moved back, I became a self-employed consultant, doing work for a company in Canada (the same one that I was employed by when I was a Canadian resident). I was in the UK during this time, providing consultancy services remotely (I didn't travel back to Canada). According to the CRA, I'm supposed to pay income tax on this to them since the company I provided services to is based in Canada, but based on the double taxation agreement and HMRC website, it seems like I'm supposed to pay the taxes on this as foreign income to HMRC. Can you confirm which one is correct? I don't think any special cases apply, e.g. it's not artist income or other special kinds of businesses.
Posted 2 days ago by HMRC Admin 17 Response

Hi ,
 
As UK resident, you need to report the income in the UK ans pay tax here.

If the same source is taxed in Canada, you can claim foreign tax credit relief to reduce your UK liability :

 Tax on foreign income .

Thank you .

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