By On-Rec at 13 December, 2012, 9:16 am
Tom Richards, Tax Director in the expatriate employer solutions team at Grant Thornton UK LLP, commented:
"As previously indicated by HM Revenue & Customs (HMRC), an important change is included in the draft clauses that will form part of Finance Bill 2013 published this morning with regard to overseas workday relief. This relief allows certain employees to claim tax relief in respect of the time they spend working outside of the UK.
"This approach will provide international employers with much greater certainty regarding employment costs and will increase the attractiveness of the UK as a location for internationally mobile employees. The fact that there has been no reduction to the maximum length of time for which overseas workday relief can be claimed is particularly welcome as there has been some speculation that any extension of the relief to assignees who intend to settle in the UK would be balanced by a reduction in the maximum length of time for which the relief is available.
"There is a further important change? to the statutory residence test that is relevant for UK employees working abroad. In previous versions the maximum number of days you can work in the UK per year whilst claiming non residence on the basis of full time work abroad, was set at 20. Comments were invited on a possible relaxation to 25 in the last consultation. In today's draft this limit has unexpectedly been increased to 31 ? a very welcome change.
"In the most recent consultation document and draft legislation, HMRC had proposed that entitlement to overseas workday relief under the statutory residence test would be based upon a subjective assessment of the likely length of an assignee's stay in the UK, similar to the approach set out in existing guidance. In response to the consultation, Grant Thornton UK and others stressed that this approach was not consistent with the stated aims of the statutory residence test to make the rules governing UK residence simpler, easier to apply, and more objective.
"As a result, we are pleased that HMRC has taken these representations into account in the draft legislation published today and has confirmed that overseas workday relief will be available to non UK domiciled individuals who arrive in the UK to work, provided that they have not been resident in the UK for the previous three tax years. The relief will be available for the year of arrival and the following two years, irrespective of the intended length of stay in the UK."
Categories :News | News archive Full Article :view nowhostess brands nh primary david crowder band natalie wood van halen annalynne mccord billy the kid
কোন মন্তব্য নেই:
একটি মন্তব্য পোস্ট করুন