Part 14Income tax liability: miscellaneous rules
F1Chapter A1Remittance basis
Application of remittance basis
809CClaim for remittance basis by long-term UK resident: nomination of foreign income and gains to which section 809H(2) is to apply
(1)
This section applies to an individual for a tax year if F2...—
F3(za)
the tax year is the tax year 2024-25 or an earlier tax year,
(a)
F4the individual is aged 18 or over in that year, and
F8(1ZA)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9(1A)
An individual meets the 12-year residence test for a tax year if the individual—
F10(a)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F11(b)
has been UK resident in at least 12 of the 14 tax years immediately preceding that year.
(1B)
An individual meets the 7-year residence test for a tax year if the individual—
(a)
does not meet F12... the 12-year residence test for that year, but
(b)
has been UK resident in at least 7 of the 9 tax years immediately preceding that year.
(2)
A claim under section 809B by the individual for that year must contain a nomination of the income or chargeable gains of the individual for that year to which section 809H(2) is to apply.
(3)
The income or chargeable gains nominated must be part (or all) of the individual's foreign income and gains for that year.
(4)
The income and chargeable gains nominated must be such that the relevant tax increase does not exceed F13—
F14(za)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(a)
for an individual who meets the 12-year residence test for that year, F15£60,000;
(b)
for an individual who meets the 7-year residence test for that year, £30,000.
(5)
“The relevant tax increase” is—
(a)
the total amount of income tax and capital gains tax payable by the individual for that year, minus
(b)
the total amount of income tax and capital gains tax that would be payable by the individual for that year apart from section 809H(2).
F16(5A)
The references to income tax in subsection (5) do not include income tax under section 424 (gift aid).
(6)
See section 809Z7 for the meaning of an individual's foreign income and gains for a tax year.