Domicile is often confused with tax residence but they are not the same.

Domicile is determined from general law rather than tax law and it is possible to be tax resident in one country but domiciled in another.

Under English law, each person acquires a domicile at birth and this determines the relationship between the individual and the legal system with which she is most closely connected.

The rules which consider domicile try to establish where that person is considered to have her "permanent home". There is no single legal definition for this and the interpretation of "permanent" may vary.

If you were born in the UK you will normally have acquired a UK domicile at birth. It can be difficult to acquire a domicile anywhere else.

For non-UK nationals, a UK domicile is not automatically acquired when living in the UK but from 6 April 2017 new 'deemed domicile' rules came into force for long term UK residents.

There is more information on domicile and the remittance basis of taxation on our Expat FAQs page.

In the UK, tax residence is based largely on physical presence, although other factors such as family, work, home and habitual time in the UK may need to be considered.

When considering the number of days in the UK all days where you are in the UK at midnight will count as a UK day for the residence calculation.

It is not enough to simply count your days in the UK in order to determine your residence status. The Statutory Residence Test will consider a number of factors, based on your circumstances, to determine residence status.

For 2019/20 and 2020/21 special rules applied those who were unable to travel due to COVID-19 restrictions.

For more details of the rules to determine tax residence status - check our Tax Residence Rules page.

Expatriate taxation is perhaps the most complex area of personal taxation, not least because it can involve the interaction of the tax systems of two or more countries.

Often, expats will retain a UK property while seconded overseas and receive rental income. We can help with annual tax return filing obligations to disclose continuing non-resident status and taxable rental profits.

There is more information on how tax applies to UK rental income on our Rental Income page.

There can be many tax issues for the internationally mobile employee and tax planning ahead of time is usually worthwhile - particularly if you are expecting to return to the UK.

We answer enquiries through our website for UK expatriates all over the world and for foreign nationals working in the UK.

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Need More Information?

If you need more information to decide your residence or domicile status check our Expat FAQs page or our UK Tax Information page for a mere general commentary. Or ask us for a personal tax residence review.