Do I pay UK tax as a non-resident?

Prior to moving to Qatar, you are likely to have built assets in the UK. These can range from property, savings, general investment accounts, ISA’s and pensions. 

While you may no longer be a resident in the UK, your UK-based assets can still be subject to certain tax rules, particularly concerning income tax.

1. Rental Income: If you own property in the UK and rent it out, the rental income you receive is subject to UK income tax.

As a non-resident landlord, you will need to report this income to HM Revenue and Customs (HMRC) and pay tax on it. If you have a letting agent, they will help guide you to complete the Non Resident Landlord form. 

2. Savings and Investments: Interest from UK savings accounts and dividends from UK investments may also be subject to UK income tax.

However, there are certain allowances and thresholds, such as the Personal Savings Allowance and Dividend Allowance, which may reduce the amount of tax you owe. It’s important to report any interest and dividend income on your UK tax return.

3. Pension Income: If you receive income from a UK pension, this will generally be subject to UK income tax. 

4. Capital Gains Tax: While you may not be liable to pay tax for any captain gains executed whilst a non-resident, there are exceptions.

For example, if you dispose of UK residential property, you may be liable for UK capital gains tax (CGT). Other assets typically aren’t subject to CGT unless you return to the UK within five years of leaving.

Understanding these tax obligations is vital to ensure compliance and to optimise your tax position. Effective tax planning can help you manage your UK assets efficiently, minimising your tax liabilities and ensuring that you are making the most of your financial resources.