My client was, until 2014-15, UK resident and started receiving UK property income in that year (as well as UK employment income and savings income, plus a small amount of overseas interest). I always completed a tax return for him and included all sources of income in that tax return.
My client moved to India in early April 2015 and has been resident in India ever since. This is the first time that I have been required to prepare a tax return for a non-resident taxpayer and I just wanted to check that I have not missed anything. I propose to:
- complete a UK tax return and include only the details of my client's UK income (property income and a few pounds of bank interest)
- claim the UK personal allowance via the Dual Taxation Agreement which I understand is in place with India.
My client will be eligible for a tax refund from HMRC, as all of his income falls within the personal allowance, and his managing agent has deducted tax as he is a non-resident landlord (he has not yet applied to have the rent paid gross).
Does the above sound reasonable, or have I missed anything obvious with respect to a non-resident tax return. I am using Taxfiler software (which again is quite new to me as I usually use the HMRC software for tax returns with no complexities, but this is not available for non-resident tax returns).
Any advice would be much appreciated.