Avoid tax limbo

Residency rules spell tax trouble for doctors working abroad. Melanie Thomas of specialist medical accountants Hall Liddy explains how to avoid being stuck in ‘tax limbo’.

Few doctors leaving the UK to work overseas full-time would think to keep a log of the hours spent on the job or the days they take as leave. Yet without recording details like these, they risk problems with the taxman.

The new rules on residency – which came into force in 2013 and determine whether or not an individual is resident in the UK for a tax year – are so complex that it is often difficult to determine someone’s status without knowing the full details.

There is a whole range of factors to take into account when deciding on residency status and, in many cases, it can be down to the hours and dates worked.