Income Tax Act 2007

[F1809CClaim for remittance basis by long-term UK resident: nomination of foreign income and gains to which section 809H(2) is to applyU.K.
This section has no associated Explanatory Notes

(1)This section applies to an individual for a tax year if the individual—

(a)is aged 18 or over in that year, and

[F2(b)meets the 12-year residence test or the 7-year residence test for that year.]

[F3(1A)An individual meets the 12-year residence test for a tax year if the individual 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 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 [F4

(a)for an individual who meets the 12-year residence test for that year, £50,000;

(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).

[F5(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.]

Textual Amendments

F1Pt. 14 Ch. A1 inserted (21.7.2008 with effect in accordance with Sch. 7 para. 81 of the amending Act) by Finance Act 2008 (c. 9), Sch. 7 para. 1 (with Sch. 7 paras. 85-89)

F2S. 809C(1)(b) substituted (17.7.2012) (with effect in accordance with Sch. 12 para. 5 of the amending Act) by Finance Act 2012 (c. 14), Sch. 12 para. 2(2)

F3S. 809C(1A)(1B) inserted (17.7.2012) (with effect in accordance with Sch. 12 para. 5 of the amending Act) by Finance Act 2012 (c. 14), Sch. 12 para. 2(3)

F4Words in s. 809C(4) substituted (17.7.2012) (with effect in accordance with Sch. 12 para. 5 of the amending Act) by Finance Act 2012 (c. 14), Sch. 12 para. 2(4)

F5S. 809C(5A) inserted (with effect in accordance with Sch. 27 para. 15(1) of the amending Act) by Finance Act 2009 (c. 10), Sch. 27 para. 2