There is plenty to consider when doing the massive move back to the UK, and your taxes is one of them Mercer & Hole, chartered Accountants share 5 tips to get your taxes in order ready for your return to the UK from Australia…
- Plan with taxes in mind: If you make sure that you begin to plan your move a UK tax year in advance then you can take advantage of the tax savings before the end of the tax year.
- Inform the right people: Tell HM Revenue and Customs of your arrival in the UK and make sure that you understand all the requirements and deadlines. There are time limits on various claims so make sure you are prepared.
- Choose simplicity: Realise any capital gains that have been made while working and living in Australia so they are not liable to be taxed in the UK. Choosing to make your move from Australia to the UK after the tax year in April will simplify things.
- Ask for advice: Some UK taxes can be evaded if you or your partner have become ‘non-domiciled’ for UK tax, or either of you are not British by descent. Financial advisers will often advise you to close non-UK bank accounts before you return (as the interest would be taxable on returning back to the UK).
- Consider property tax: If you already have a property in the UK and you want to sell it on return, you might face Capital Gains Tax. You can avoid this by selling the house while you are still in Australia. Alternatively, a financial adviser could gift the UK property into a short-term trust in the tax year before you move back to the UK.