HCL_Chan

Dear HMRC Administrator, I had an life insurance policy in Hong Kong which was effective from June 2020 (premium payment term is 5 years). I moved to UK in July 2021, I then surrendered the policy in June 2022 while it was still in force. As this was early cancellation, the cash surrender value was less than the total premium I paid into the policy, so I made a loss (~USD 30K) on foreign life insurance policy. Q1: Can I claim this loss when I file the tax return for 2022-2023? Q2: If answer of Q1 is Yes, may I know in which step of "Tailor your return" should I select "Yes" to enable the online filling of the loss? Or which Form should I use to submit my claim of loss on foreign life insurance policy? Kind Regards

Hi HMRC Admin, Thank you for your clarification. But I find from the Residence, Domicile and Remittance Basis Manual that there is different definition. I copy the examples in below for easy reference. It stays that: - an individual must actually use it as a home. - the individual must use it for at least 1 night during that tax year Although Olan had signed the tenancy agreement on 1 July 2013, but he only moved in and actually using the apartment on 14 July 2013. I can’t understand why Olan’s UK part of the tax year is determined by the date for signing the tenancy agreement but not the actual move in date? So if an individual signed a tenancy agreement while he was still abroad, and if for some reasons the apartment could only be available for him to move in in 6 months after. If he didn’t want to wait and decided to migrate to the UK and stayed in local hotel first while waiting for the availability of the apartment, does it mean his UK part of the tax year was started on the date when he was still abroad, but not the date when he arrived the UK and moved in the apartment? >> Copy from RDRM13050 - Residence: The SRT: Annex A: The principles and characteristics of a home for the purposes of the SRT https://www.gov.uk/hmrc-internal-manuals/residence-domicile-and-remittance-basis/rdrm13050 Example 7: Aneta moved from Poland to the UK and she completed the purchase of her new house on 1 June. Whilst it was empty she stayed with friends, until her belongings arrived. These were moved in by the removal firm on 15 June. Aneta stayed in her new home overnight that night. However, as she had arranged to have some extensive refurbishment done to her bathrooms and kitchen, she stayed in a local hotel and with friends while the main works were carried out. She moved into her home on a permanent basis on 15 July. For SRT purposes HMRC would consider that the house became Aneta’s home from 15 July. The key points are that: - a place must be capable of being used as s home, even if it is temporarily unavailable - an individual must actually use it as a home. >> Copy from RDRM13070 - Residence: The SRT: Annex A: The statutory residence test accommodation tie https://www.gov.uk/hmrc-internal-manuals/residence-domicile-and-remittance-basis/rdrm13070 Any accommodation that is available for an individual’s use while they are in the UK: - must be available to them for a continuous period of at least 91 days during the tax year - the individual must use it for at least 1 night during that tax year Kind Regards

Hi HMRC Admin, I have question about the example of case 4 split year treatment on HMRC website. I copy the example in below for easy reference. My question is about the 1 July 2013 date as mentioned in the example. 1) Does it mean the date when Olan signed the tenancy agreement? 2) Or would it mean the start date of the tenancy agreement? If Olan signed the tenancy agreement on 1 July 2013, while the tenancy started on and included 14 July 2013 and he moved in the apartment on that date. Would Olan’s UK part of the tax year be started on 14 July 2013? Copy from RDRM12160 - Residence: The SRT: Split year treatment: Case 4: The overseas and UK parts of the tax year https://www.gov.uk/hmrc-internal-manuals/residence-domicile-and-remittance-basis/rdrm12160 Olan has been working for his employer in Germany for the last 5 years. He has no UK ties and was not resident in the UK. On 1 June 2013 Olan moves to the UK to look for work here. He rents out his apartment in Germany on a 2 year lease, from 27 May 2013. Olan arrives in the UK and stays in temporary accommodation while he finds an apartment to rent. He signs a 12 month lease on an apartment in London on 1 July 2013. He starts UK employment on 22 July 2013 and remains in the UK for a further 2 years. Olan receives split year treatment for 2013-2014 as he meets the Case 4 conditions: - he is non-UK resident for 2012-2013 - he started to have his only home in the UK during the tax year and that continued until at least the end of the tax year - he had no UK ties from 6 April 2013 to 1 July 2013 For Olan the overseas part of the tax year will end on 30 June 2013, and the UK part of the tax year will start on 1 July 2013, the day he started to have his only home in the UK. Kind Regards

Hi HMRC Admin, I am qualified for split year treatment, I have question when I am completing SA109. As per SA109-notes: If you’re claiming split year treatment, and you’ve put ‘X’ in box 3, the entry in box 10 should only be for days spent in the UK for the overseas part of the year. I come to the UK on 28 July 2021, my UK part of the split year commences on 14 Sep 2021. I put ‘X’ in box 3 of SA109, and I enter 28 07 2021 in box 6. My question: For box 10 (Number of days spent in the UK during 2021-22), I enter 048, which is the number of days between 28 July and 14 Sep (= the days spent in the UK for my overseas part of the year). Is my answer for box 10 correct? Kind Regards

Hi HMRC Admin, I am qualified for split year treatment, so I need to complete SA109 which is not available online unless I purchase third party software. Does it mean that I have to do SA100 and SA109 all together on paper? Can I first do SA100 online and followed by SA109 on paper? Kind Regards

Hi HMRC Admin, Thank you for your advice regarding home test. My situation is that, I sold my resident in Hong Kong before I came to the UK, but I am still holding another property in Hong Kong in joint names with my mother. I stayed in 2 different AirBnB with my wife for less then 30 days each until we moved into a rental apartment for long stay on 14 Sep 2021 till now. Then when do I meet the home test? 1) On 28 July 2021 (the date I landed)? 2) On 27 Aug 2021 (30 days after landing)? 3) On 14 Sep 2021 (when I has a home in the UK)? Kind Regards

Hi HMRC Admin, My status: I came to the UK with BNO Visa together with my wife on 28 July 2021 (lived in the UK for longer than 183 days). I quit my job in Hong Kong and completed tax clearance before I came to the UK (my oversea part income is already taxed in HK). I sold my main resident in Hong Kong before I came to the UK (the capital gain is not taxable in the UK). I am holding another property in HJ in joint names with my mother, she is staying in this property. I stayed in Airbnb A with my wife from 28 July 2021 to 24 Aug 2021 (less than 30 days). We then moved to AirBnB B and stayed there from 24 Aug 2021 to 14 Sep 2021 (also less than 30 days) We eventually rented an apartment and stayed there from 14 Sep 2021 till now. My 1st question: Q1) Based on my situation, I am qualified for split year treatment under case 4, so I don’t need to declare the income/capital gain received prior to my tax residence in the UK, but I am not sure whether the UK part of the split year commences on 28 July (landed) or 287 Aug (30 days after landing) or 14 Sep (has a home in the UK). Please advise which date my UK part commences. I am still being unemployed till now. I have no other income apart from small amount of savings interest from my Hong Kong bank account. My total income from foreign savings interest for 2021/22 is less than the allowance (£1,000). My next questions: Q2) Do I need to file a self-assessment tax return to declare the savings interest even it is below the personal allowance? Q3) If I keep my savings in HK and do not remit to the UK, do I still need to declare the savings interest to HMRC? If yes, which form do I need to fill in and submit? SA100, SA109 and what else? After becoming a UK tax resident, I surrendered my life insurance policy while it was still in force. As this was early cancellation, the cash surrender value that I received was lower than the total premium I paid into the policy. My next question: Q4) Do I need to declare this loss to HMRC? Kind Regards