Fatal Motorcycle Accident Near Pattaya Claims One Life

[mnodi]

I need to find out if I am classed as 'habitually' or 'non-habitually' resident in the UK. I've been here years, but reading the blurb it doesn't matter either way. I think it has to do with owning property in the UK.

I went to the British consulate and they advised that a lawyer needs to look into this, verify it (it has to be looked at on a 'case by case' basis) and sign a document saying so. The lawyer obviously has to have an understanding of UK law.

I emailed the Embassy and they gave me a list of English - speaking - lawyers (with the caveat, that in no way are they responsible for the service they give etc etc). I'm a bit wary of this.

Have any Brits already been through this process and could recommend someone - preferably here in Chiang Mai? Oh, and how much did it cost?

Thanks for any advice anyone can give.

[DavidOxon]

Thanks for bringing this up...made my bloomin day!

A quick Google would suggest you are, and probably so am I!

Time to instigate some ducking and diving maybe???

David

[Thailand]

Are you concerned about residence or domicile?

UK residence is determined by if you live there or spend a particular amount of time there each year, certainly for tax purposes you have to be careful how long you are there.

Domicile is different and is likely that most expats from the UK are still domiciled in the UK and inheritance tax (death duty) on worldwide assets is liable if those assets are currently in excess of £325000.

Sorry if I have gone off track in your particular case.

http://en.wikipedia.org/wiki/Habitual_residence

Edited June 26, 2010 by Thailand

[DavidOxon]

This from the HMRC site

http://www.hmrc.gov.uk/cnr/article-14.2.htm

seems helpful

How does HMRC decide where 'habitual residence' lies?

It is difficult to answer this question, because each case has to be considered on its own particular facts, but in general:

if the worker retains accommodation in the home Member State and their family remain there whilst they are working temporarily in another state they will usually be considered as 'habitually resident' in the home State

if no accommodation is retained in the home State or it is rented out and the worker’s family accompanies them to the other State they will not usually be considered 'habitually resident' in the home State

the longer the worker is abroad, for example two years or more, the more likely it is that they will be considered 'habitually resident' in the other Member State

if the worker has taken up stable employment in another Member State rather than short term employment it is more likely to point to 'habitual residence' there

if the worker does not intend to return to the home State when the employment abroad ends this points to them no longer being considered 'habitually resident' in the home state

if the worker makes frequent returns to the home State whilst working abroad, for pleasure as well as for business reasons this may point to 'habitual residence' there

having a bank/building society account in the home state or still being registered with a doctor are not necessarily indicators pointing to habitual residence in the home state

So . . . would seem I'm OK, lived here 2.5 years Thai wife and mixed race daughter

no immediate desire to return! Home in the UK rented out for 5 years.

one visit to the uk for 1 month in 2.5 years.

Seems to be a little subjective . . think I'll give them a call next week.

When I came here, I called them and they said I wouldn't be liable for UK tax

on work done here, even if sourced from the UK....

Deep joy!

David

Edited for typo

Edited June 26, 2010 by DavidOxon

[Thailand]

UK expats are only liable to UK tax on income arising in the UK, subject to time spent in the UK in any one tax year.

Owning property in the UK would ensure that one is domiciled in the UK (not resident), even fees payed for a club membership in the UK one could be deemed domiciled in the UK even if all other ties have been severed.

Regarding tax and habitual residence:

An individual is liable to UK tax if:

* in any tax year in which he lives in the UK for more than 182 days

or

* If his visits to the UK exceed 91 days per tax year for 4 consecutive tax years in which case he is tax resident in the 5th year or alternatively from the commencement of the tax year in which he first stated his intention to make such visits to the UK

* if he makes regular visits which are substantial, habitual and obligatory: Such visits may indicate residence provided they exclude an element of chance and occasion and provided they follow an almost mechanical regularity.

[mnodi]

Thanks for the advice folks.

This is to do with something other than tax and money.

Regardless of whether I think I am or are not habitually resident (got a pretty good idea), I still need it legally verifying and a letter from that solicitor saying so.

I won't be going back to the UK any time soon, so are there any options on a lawyer doing it here?

[Thailand]

Thanks for the advice folks.

This is to do with something other than tax and money.

Regardless of whether I think I am or are not habitually resident (got a pretty good idea), I still need it legally verifying and a letter from that solicitor saying so.

I won't be going back to the UK any time soon, so are there any options on a lawyer doing it here?

Maybe try the guys at Sunbelt Asia, I believe they have lawyers on board.

[chiang mai]

I would suggest that you are highly unlikely to find a lawyer in Thailand to help you with this since the rules governing residency et al are quite new and are changing all the time, some pseudo IFA's in Thailand claim to understand all the issues but I believe most do not so be very careful on this front - my suggestion would be to Google, download and read HMRC6, the HMRC latest offering on all of this. In a nutshell, owning property in the UK means that you are almost certainly domiciled there, whether you are ordinarily resident there or not is determined by a range of factors not limited to your investments and lifestyle.

[naboo]

Phone the tax office in the UK. I was taken through a series of questions and they declared me non-habitually resident. Surely this is sufficient for the British Embassy....

[chiang mai]

Phone the tax office in the UK. I was taken through a series of questions and they declared me non-habitually resident. Surely this is sufficient for the British Embassy....

Read up on "Gainnes Cooper" and all the associated links and references!