Confusion re Foreign Earnings 2015/16

Client misreading HMRC?

Didn't find your answer?

New client has returned to UK after several years employed in Singapore.

Up to 2014/15 he declared his UK property income (below PA) and as non-resident he says HMRC rightly advised him to ignore foreign earnings on SA100

2015/16 he returned permanently to UK 18 September 2015, a week after his Singapore employment ceased permanently and has UK income of salary, dividends and his rents.  Singapore salary and tax supplied by client is sterling.

He's probably seen the split year "headline" and thinks his Singapore income 2015/16 should continue to be ignored.... 

After pickling my brain with the split year (brain on the wane in January) I'd appreciate reassurance to include with DTR as I suspect he's just been in telephone contact with non-agent HMRC helpline who, although OK for easy enquiries, may struggle with this complicated area.

Can someone please confirm he doesn't qualify for split period? And I'd love a nice concise explanation for him as I'm struggling having over-read it!!

Many thanks in advance

 

Replies (6)

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By Tim Vane
19th Jan 2017 10:34

Why do you think he can't claim split year?

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By SteveHa
19th Jan 2017 10:47

I was wondering the same thing myself.

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Sparkly Orange
By Sparkly
19th Jan 2017 10:51

If he was out of the country for a complete tax year and qualified as non-resident in 2014/15 it seems clear to me that he does qualify for split year treatment. If none of the Singapore earnings were for duties carried out in the UK they should be ignored. You may have one week of Singapore earnings to take into account.

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Replying to Sparkly:
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By Portia Nina Levin
19th Jan 2017 12:55

No, the Singapore employment ended one week before he returned to the UK, as I am reading it.

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Portia profile image
By Portia Nina Levin
19th Jan 2017 12:56

Come on! Put us out of our misery. Why do you think that split year does not apply?

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By WallyGandy
20th Jan 2017 23:24

Errrrr.... Brainfade, barking up wrong tree..... It happens, folks.
In fact, my initial view was "shall apply" (as you've all pointed out- many thanks.
Then somehow I managed to talk myself out of it. Cue brainfade.

Serious thanks to all who've helped.

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