½Û×ÓÊÓƵ

Remittance basis ― overview with employment focus

Produced by Tolley in association with and Steph Carr of BDO LLP
Employment Tax
Guidance

Remittance basis ― overview with employment focus

Produced by Tolley in association with and Steph Carr of BDO LLP
Employment Tax
Guidance
imgtext

Key points

  1. •

    provided certain conditions are met, Overseas Workday Relief (OWR) can be an extremely valuable form of tax relief for non-domiciled individuals who perform employment duties both in the UK and overseas

  2. •

    Up to 2024/25 OWR is only available in the tax year of arrival and subsequent two tax years following a three year period of non-residence

  3. •

    OWR is generally calculated by reference to the percentage of days an individual spends working overseas

  4. •

    a bank account which qualifies for the special mixed fund rules allows for all offshore transfers to be treated as one single transfer for the year and all remittances as one single remittance

Abolition of non-UK domicile basis of taxation from 6 April 2025

The non-UK domicile basis of taxation is withdrawn from 6 April 2025, From that date, OWR is replaced with a new system of foreign income relief. Details of the new relief qualifying conditions, and of the transitional provisions for those who do not

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+â„¢
Nicole Caraglia
Nicole Caraglia

Tax Manager, BDO LLP , Employment Tax, Global Mobility


Nicole is a Tax Manager within BDO London's Global Employer Services tax team. She has specialised in expatriate tax for 10 years, working in a Big 4 and a much smaller professional services firm before joining BDO in 2021.She has worked with a variety of clients, ranging from individuals and start up companies to global corporations with large global mobility programmes.She has experience in assisting clients with their global mobility programmes as well as regular consulting around assignment planning, remote working arrangements, employment taxes, social security and expatriate payroll operation.Nicole has contributed to TolleyGuidance in Employment taxes.

Powered by
  • 11 Dec 2024 17:30

Popular Articles

Taxation of dividend income

Taxation of dividend incomeIntroductionA dividend is a distribution of profit by a company to its shareholders.A dividend is not only a payment in cash. It can be the issue of new shares in exchange for forfeiting the right to a cash payment (a stock dividend). For more detail, see the Cash

14 Jul 2020 13:48 | Produced by Tolley Read more Read more

Parking provision and expenses

Parking provision and expensesCar parking facilities at or near to the employee’s workplaceThere is an exemption from tax and NIC where an employer provides parking, or pays for or reimburses an employee for the costs associated with car parking at or near the place of work; there are no reporting

14 Jul 2020 11:09 | Produced by Tolley Read more Read more

Interest on late paid tax

Interest on late paid taxIntroductionInterest on late paid tax is a compulsory charge set out in legislation to reflect the interest which would have accrued to the Exchequer had the correct amount of tax been paid at the right time.Harmonised legislation was introduced in 2009 to:•set statutory

14 Jul 2020 12:00 | Produced by Tolley in association with Philip Rutherford Read more Read more