Statutory residence test
The measure
The Government will consult in June 2011 on the introduction of a statutory definition of residence to provide greater certainty for taxpayers.
Who will be affected?
Individuals who spend time in the UK or who are looking to leave the UK.
When?
The Government intends to implement the statutory definition of residence from
April 2012.
Our view
The current rules that determine tax residence for individuals are unclear and complex. This has been demonstrated in a number of recent high profile tax cases. A statutory residence test for individuals would provide greater clarity for individuals.
