You usually have to pay tax on your UK income even if you are not a UK resident (external link). Income includes things like:
- rental income
- savings interest
The country where you live might tax you on your UK income. If it has a ‘double-taxation agreement (external link)’ with the UK, you can claim tax relief in the UK to avoid being taxed twice.
You do not normally pay tax when you sell an asset (external link), apart from on UK property or land.
When Tax is not Due or is Already Deducted
Non-residents do not usually pay UK tax on:
- the State Pension (external link)
- interest from UK government securities (‘gilts’)
If you live abroad and are employed in the UK, your tax is calculated automatically on the days you work in the UK.
When to Report your Income to HMRC
You usually have to send a Self Assessment tax return (external link) if:
- you rent out property in the UK
- you work for yourself in the UK
- you have a pension outside the UK and you were UK resident in one of the 5 previous tax years
- you have other untaxed income
You do not need to report your income to HMRC if you have already claimed tax relief under a ‘double-taxation agreement’.
Sending a Self Assessment Tax Return
You cannot use HMRC’s online services to tell them about your income if you are non-resident. Instead, you need to:
- send your tax return by post (external link)
- use commercial software (external link)
- get help (external link) from a professional, like an accountant
Fill in the ‘residence’ section (form SA109 (external link) if you’re sending it by post) to tell HMRC you are non-resident. Fill in any sections relating to your type of income.
You will be fined if you miss the deadline - it’s earlier if you are sending your return by post (31 October).
If you Have Overpaid
Apply for a refund if you think you have paid too much tax. This might happen if tax is deducted automatically (for example by your bank) but your total UK income is below your Personal Allowance (external link).
Get help (external link) from a professional (like an accountant) if you need advice.