Non-res status: how do you achieve this? Part 2

I’m back to continue our discussion on what you need to do to make sure that you have effectively cut off ties with the UK in terms of living here. You will need to do this in order to get that non-res status that will allow you to pay tax in your new county rather than in the UK.

As we discussed, the overall pattern of your life must reflect your declared non-resident status and the fact that you have left the UK for the foreseeable future. I pointed out a few measures you could take and promised I would continue with a few tips relating to tax and finances.

Tax

- Send the completed form P85 to HMRC, declaring that you are a non-resident
- You would be well advised not to return to the UK for an entire tax year if possible. This will emphasise the break in residence
- Do not return to the UK for more than 90 days a year in subsequent tax years, remembering to factor in travel days in this number. It seems they are now counted…

Finances

- Cancel all UK credit cards and reduce balances in your UK bank accounts
- Pay all UK accounts and close them. Demand evidence that they are closed in the form of a letter of acknowledgement
- Consider transferring pension arrangements overseas

Cars

- Sell your car and cancel your car insurance and subscriptions to motoring organisations

And then finally, in your new country of residence, once you have moved abroad

- Establish employment or business links in the new country if you are planning to work there
- Obtain a residence permit where necessary
- Contact the local tax authorities to inform them that you have become a resident
- Purchase or rent a property locally on a long lease and buy a car there
- Register with a doctor and dentist in your new country
- Open a local bank account
- Establish social and cultural connections in your new homeland by perhaps joining clubs etc
- Register children at schools if appropriate
- Have a will drawn up in your new country of residence

Provided you can show that your personal, financial and social connections are now firmly lodged abroad you'll have a good chance of non domicile status being accepted. Best of luck, and I’d love any input from you on your findings.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/