UK: HMRC Launches Tax Residence Indicator Tool
HMRC has launched a version of the Tax Residence Indicator (TRI) which should prove helpful for those interested in checking whether they are considered to be resident in the UK for tax year 2013-14 and later years for the purposes of Income Tax and Capital Gains Tax.
As you are aware from our previous updates, the Statutory Residence Test (SRT) came into effect from April 6, 2013 and applies from 2013-14 onwards. For earlier years, different rules applied. Sometimes, to work out your residence status for 2013-14 onwards, you will need to know your residence status for tax years 2010-11, 2011-12 and 2012-13. You can, if you choose, elect to have your residence status for those years determined by the SRT, purely for the purpose of establishing your residence status from 2013-14 onwards. You can use TRI to check what your residence status would have been for these earlier tax years for the purposes of the SRT. Any results given by TRI for those years will not change your actual residence status in those years.
Help and guidance is provided if you click on the '?' icon shown beside the questions. As you progress through the Tax Residence Indicator, HMRC provides links to the relevant parts of the Guidance Note: Statutory Residence Test. However we recommend that you read that full guidance before you start, by following the first link below. This will help you answer the questions accurately.
A replacement for the current HMRC6 booklet, reflecting changes to the remittance basis of taxation and the introduction of the SRT will be available soon.