RDRM32230 - Remittance Basis: Accessing the remittance basis: Long Term UK Residents: Counting years of UK residence - Minors
From 6 April 2025 it is not possible to use the remittance basis of taxation, however, any foreign income or gains that have arisen to a former remittance basis user prior to this date will continue to be taxed at the usual tax rates if they are remitted to the UK on or after 6 April 2025, subject to any amounts designated under the temporary repatriation facility (TRF) 바카라 사이트“ see RDRM71000.바카라 사이트¯
The guidance in this section only applies to tax years up to and including the 2024-25 tax year and remains for reference purposes only.
The remittance basis charge is only payable by long-term residents aged 18 of over.
However tax years in which the individual is under 18 are counted in determining years of residence for the 바카라 사이트˜seven out of nine바카라 사이트™ rule.
Example
Pranav was born on 23 October 1991. He came to the UK as a school boarder in August 2001 (tax year 2001-2002). He is domiciled outside the UK. He has stayed in education in the UK for every tax year since.
| Year | Status |
|---|---|
1999-2000 |
Not Resident |
2000-2001 |
Not Resident |
2001-2002 |
Resident |
2002-2003 |
Resident |
2003-2004 |
Resident |
2004-2005 |
Resident |
2005-2006 |
Resident |
2006-2007 |
Resident |
2007-2008 |
Resident |
2008-2009 |
Resident |
2009-2010 |
Resident |
In 2008-2009 Pranav has foreign income of £300,000 and he claims to use the remittance basis in that year. He is a long-term resident in the UK as he has been UK resident for eight years, but as he is under 18 he may use the remittance basis in 2008-2009 without paying the remittance basis charge.
In October 2009 (tax year 2009-2010) Pranav turns 18. He has foreign income of £400,000. If he wishes to claim the remittance basis for that tax year he will be liable to the remittance basis charge.