H (British) & W (Japanese, no UK passport and has not naturalised) are living abroad for work, and are renting out their UK home while they are away. H is entitled to PA, no issues. W does not meet the criteria in s56 ITA2007 and so must rely on the relevant tax treaty to claim allowance (if any).
During the year, they moved from Singapore to Japan. Under the Singapore DTR, there is no PA available to W because PA is restricted to Singapore nationals, and she is Japanese. I read the Japan DTR as saying she is entitled to a UK PA when resident in Japan, because she is a Japanese national.
I cannot find any guidance on whether she will be entitled to the full UK PA for the year, even though she was only resident in Japan for part of the year.
Does anyone know, can a PA be pro-rated or is it binary ie you either receive the PA in full or you don’t.
Where it is not clear, is it reasonable to interpret the entitlement in the way that is best for the tax payer (ie full allowance)
Lastly, does anyone know where I might find more information? Am trying to read the OECD guidance but it makes HMRC look exciting!