Tax Planning & The 2013 Statutory Residence Test

The new Statutory Residence Test ("SRT") will apply from April 2013 and aims to provide a comprehensive method of clearly establishing when an individual will (and won’t) be UK resident.

Before April 2013 determining your residence status will mainly depend on applying HMRC practice and various court decisions to your own circumstances. The position after April 2013 should therefore be much more clear cut.

Nevertheless, the Statutory Residence rules are not necessarily straightforward to apply. In this guide we provide detailed guidance as to how the new rules will work (based on the proposals to date) and the tax planning opportunities available.

There have been numerous proposals and updates and this guide is based on the latest proposals provided in December 2012.

Some of the key topics covered include:

How to maximise your days in the UK without being UK resident
How to take advantage of the specific exemptions provided in the SRT
Detailed analysis of UK accommodation and its importance under the SRT
When you can and can't have a UK home
Avoiding UK ties under the new "Substantial Ties" test
The impact of overseas homes under the SRT
How to structure visits back to the UK tax efficiently
How the new "exceptional days" provisions work
When you can qualify for the split year basis
How the split year basis applies to fiscal nomads
How to avoid being caught by the new "deemed days" provisions
How to determine your residence in periods before April 2013
When and how to use the SRT in 2012/2013 and earlier
And much more...!