this is the case. it is not simply application of basic rules, but a careful look at individual circumstances. details given so far are not enough to give an answer.

http://ewnbusiness.com/475/tie-break...-tax-residency

We got affected by this a while back and we were requested to give every date of entry into the UK and out. The 91 day rule is not as straightforward as you are led to believe. They did some calculation of the days between visits to the UK but in the end all was fine.
After this correspondance, that went on for months, - we were forever receiving letters from them.
Get everything you are told in writing as we had contradictions several times.

The point I am making is that by intending to stay out for a whole tax year and to remain employed you are, in the begining, able to be classed as a non res of the UK. OF COURSE if you don't realise those intentions then things change and your non res status will be reconsidered by HMRC. I think you are being obtuse on this point. Temporary approval ... ahem.

To date I have not received any communication telling me that my temporary non res status is now more concrete. The original classiification that you call temporary still stands!

You will never receive an concrete confirmation from HMRC, that can only obtained that from winning a case in the high court, till then it's just 'an opinion'. The joys of the UK legal system. The recenve will only reconcider your claims if they investigate, th UK system is self assesment.

Interestingly when I left in the UK in 94, I had a discussion with my UK lawyer in 95, he said to be totally sure of no problems later I should do the following:-

Sell my Flat
Sell any UK Shares
Close any interest baring accounts in the UK
Not set foot in the UK for a full tax year minimium

He bellieved it was necessary to demonstrate that you had really left the UK & thats 17 years ago.

http://www.lowtax.net/lowtax/html/offon/uk/uktax.html

Yup, we all know how slippery the Revenue are on its opinions and these opinions can be changed even taking in retrospective time.

All I am saying is, it is better to have a favourable opinion from the Revenue that you are considered non res. And to get this you should intend to the things we all know we should do from the off.

The chances of being investigated when your bounty of unpaid tax is small (less than 100k) are in my humble opinion very small.

My brother has been under investigation for over 10 years, & to date has received no additional demands for payment. It's got to the stage where he will have to go to the High Court to ask for the case to be closed. He responds to the revenues questions within 30 days, they take 2 years or more before asking for more information.

Interest is payable on unpaid tax at I bilieve 8% copmound so the unpaid tax will double in 9 years before addimg penalties of 100%. It's not something you want to get wrong.

With the UK budget deficet expats are an easy target, expect the heat to go up!

exactly, this is the big worry. the UK is scraping around for tax money and expats could be high on the hit list.

An expat earning 120,000 chf could easily owe the UK revenue £100,000 after 5 years. NI contributions are not deductible in the uk, Swiss pension that can be taken to buy a house almost certainly wont be, same for the various insurances, so your UK taxable income could be 10% or more higher than your Swiss, much of which will be taxable at 40%.



As the UK has only 1 income tax, which is equivalent to Bundessteuer, will you even get credit for Canton or Geminde tax? Geminde tax of course would be equal to rates or whatever they call it now.

Thanks to all for the feedback.

On the HMRC website, searching for "HMRC6" brings up the relevant PDF.

Basically stay away for at least 1 year. There is the 180 days (or 90 day average) rule, but a host of other indicators such as maintaining a residence. Investment property is ok.

All of the other stuff such as bank accounts, directorships etc are secondary indicators and it would be prudent to minimise these.

I agree- doesn't sound like you have left the UK for tax purposes. The rules are changing in the UK from next April as well, so probably worth speaking to a UK adviser.

These taxes are covered by the treaty, so yes.