Legislation introduced in Finance Bill 2013 includes the rules which determine an individual's tax residence on a statutory basis via the Statutory Residence Test (SRT). HMRC has published draft guidance to support the legislation. In addition, HMRC will also be launching an on-line residence indicator. The first version will be a pilot version.

For the majority of people whether or not they are resident for tax purposes is quite straightforward under the test and their position should not change. For those with complex circumstances the SRT is intended to provide more certainty about their residence status.

In this issue of tax.point on here Eugene O'Neill writes on the new SRT and summarises the tests to consider when determining an individual's residence status.