Application of split year treatment to component income and gains (2013/14 onwards)

Produced by a Tolley Personal Tax expert

Personal Tax

Guidance

STOP PRESS: The remittance basis is abolished from 6 April 2025, although this only applies to foreign income and gains arising on or after that date. The remittance basis rules still apply to unremitted income and gains arising before that date but remitted later. The legislation is included in FA 2025. For more details, see the Abolition of the remittance basis from 2025/26 guidance note.

From 6 April 2025 onwards, a person’s liability to UK tax is determined by their residence status. See the Determining residence status (2013/14 onwards) guidance note.

Although residence is usually determined for the tax year as a whole, it may be possible to split the year into periods of UK residence and non-residence if the person comes to the UK or leaves the UK and meets certain conditions.

Overview of the split year test

Since 6 April 2013 split year treatment for residence status has been codified. Previously the treatment was available by the application of extra-statutory concessions and these concessions

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