Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Readers’ forum: Post retirement

22 January 2020
Issue: 4728 / Categories: Forum & Feedback
Foreign pay and investments for returning UK citizen.

My client is UK domiciled but has been working abroad for a number of years as a senior employee in a large company. Now approaching retirement he is planning to return to the UK and has asked for advice on two related points.

First he is to receive a ‘leaving allowance’ from his employer after he has ceased employment likely to be in excess of $100 000. This will be entirely attributable to his non-UK employment carried out abroad. Am I right in saying that as long as he returns to the UK after the cessation of employment the allowance will not be taxable here? Or should he not return to the UK until the start of the tax year after that in which the allowance is actually paid to him?

Second he is considering investing in a ‘company sponsored international savings...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

back to top icon