MargF123 Allen
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Split year treatment and ongoing UK income from work pension
Hoping for clarity. Was UK resident for tax purposes in tax year 2023-24 ( resident for more than 183 days) Had worked as a teacher until Dec 2023. Took my Teacher Pension from 1 January 2023. This is paid monthly into my UK bank account. Moved to Western Australia Jan 15th 2023 to take up a new job. Will be a temporary resident here for another 3 years. Am taxed on my Aus income here. ( Aus tax not interested in my teacher pension as I am a temporary resident) Completed a tax return to HMRC as they wrote requesting I did this and filled in the S109 form to declare my Uk income and Aus income. At the time I did not request split year treatment. On reflection I think I should have done this as I meet the criteria for Case 1 and the sufficient hours overseas test. Before I submit a amended return version to HMRC my main question that I can't work out or find on fact sheets is will split year apply if I am still receiving teacher pension income while working abroad? I receive no other UK income. Thank you New to this forum so sorry if this has been asked before but chasing round in circles trying to understand... Have just started a new job in WA-16th Jan 2024- on a 482 skills shortage temporary visa. Contract is 4 years. I was a teacher in UK until December 31st 2023. I claimed my Teachers Pension in January this year and it will now be paid monthly going forward. I have always worked in UK. I am trying to understand how the tax works. I have done the Australian online ' test' which makes me an Australian resident for tax purposes but it also makes me a temporary worker because of my visa ( and therefore as I understand it, Australia will not try to tax my UK pension) Having looked at HMRC site though, it also seems to make me a UK resident for tax purposes becuase I spent 183 days+ in UK between April 2023 and now. Can I be a tax resident in both? Aware of the reciprocal tax agreement but no idea how it works- are there forms? I have also read about split tax and looked at the case studies. I would fulfil the critera for case study 1. However, when I read about applying for split tax status it says you have to do this through self assessment. I have never done self assessment as I have always been employed. Do I have to apply? I spoke briefly with a tax advisor in UK before leaving and he just said 'your UK income will be taxed in UK and your Australia income will be taxed in Australia' Is it as simple as that? I have also been told I should submit a P85 to claim an income tax rebate although not sure if that applies to me as I will pay tax on my UK pension- I think?? Really not sure whether I should be doing anything or not and too much Googling is making me even more confused! If anyone has been in a similar position, or has advice to offer, I would be very appreciative! Thank you