UK capital gains tax liability of temporary non-residents

Produced by a Tolley Personal Tax expert
Personal Tax
Guidance

UK capital gains tax liability of temporary non-residents

Produced by a Tolley Personal Tax expert
Personal Tax
Guidance
imgtext

Introduction

Any individuals returning to the UK after a period of absence should consider whether the temporary non-residence anti-avoidance provisions apply.

The temporary non-residence rules apply where an individual has been resident in the UK at any time during at least four of the seven tax years prior to departure and is non-resident in the UK for five years or less. Where this is the case, the anti-avoidance rules mean that certain types of UK and foreign income and gains which arose during the period of non-residence are taxed in the tax year in which the individual returns to the UK.

The temporary non-residence rules were significantly changed with effect from 6 April 2013 as part of the introduction of the statutory residence test. The legislation was then rewritten in 2019 with the intention to modernise and simplify the structure of the UK capital gains rules as well as to accommodate the rules on disposals of interests in assets relating to UK land by non-UK residents, without changing the meaning of the temporary

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
Powered by Tolley+
  • 23 Jul 2025 11:20

Popular Articles

Self assessment ― estimates and provisional figures

Self assessment ― estimates and provisional figuresIf the taxpayer does not have sufficient information to enable them to complete the tax return in the time allowed, they should include either a best estimate or a provisional figure. The taxpayer should not either leave a box blank or enter

14 Jul 2020 13:37 | Produced by Tolley Read more Read more

Payroll record keeping

Payroll record keepingUnder SI 2003/2682, reg 97, “...an employer must keep, for not less than 3 years after the end of the tax year to which they relate, all PAYE records which are not required to be sent to [HMRC]...”. Reasons for keeping the records include:•being able to calculate tax and

14 Jul 2020 12:52 | Produced by Tolley in association with Ian Holloway Read more Read more

Classes of NIC and who pays them

Classes of NIC and who pays themClass 1 NICClass 1 NIC is payable on earnings paid to an employed worker which derive from, or are treated as deriving from, an employed earner’s employment in the UK. There are two kinds of Class 1 NIC, primary contributions for which the employee is liable and

Read more Read more