Tweets and Facebook Posts Could Make You UK Tax Resident
Published / Last Updated on 25/08/2016
Tweets and Facebook Posts Could Make You UK Tax Resident.
HMRC has this week updated its guidance on the Statutory Residence Text in the UK. The point at which you are resident for taxation.
This article and the link is therefore important to those expats that are non-resident but do spend time in the UK, particularly if potentially working.
Our main article at http://www.expatadvice.com/html/article.php/zcid/2251/type/article/finance/UK_Statutory_Residence_Test_2013 explains the Automatic Overseas Resident and the Automatic UK Resident rules or where the position is unclear, the Sufficient Ties test, based upon a points system. It covers periods that you can fall foul and become resident after just 16 days or 46 days or 91 days of the 183 day rule. Much depends upon you, your work, your relatives, your property and access to a bed and more.
There is even new guidance on if you have an unexpected stay e.g. though civil unrest elsewhere, airline delays or family illness/injury resulting on you staying in UK longer than anticipated.
Tweeting, Email or Chatting may add extra days
You now also need to be careful about staying here for say an overnight stop over and if you work. In the new guidance, HMRC offers two scenarios where you have an overnight stop over. In scenario 1, the person stays overnight in the UK, uses email personally and meets up with a UK colleague probably for a beer but does not talk work. This transit day is not counted for total days as resident. In the second scenario, the person sends a few business emails, contacts his boss via social media and had an informal chat with a colleague but talked work. This then counts as a day of residency.
What does all this mean?
If you live or work overseas you must be careful when in the UK and record what you do. It is perhaps easier to careful not to get involved in work matters unless you have enough “spare” days in the 16/46/91 days rules etc.
It seems ludicrous and impractical to be able to police your What’s App, Twitter or Facebook accounts and emails, but there you have it. If you are tight on days and do not want to be caught for residency, don’t work!