Statutory definition of tax residence and reform of ordinary residence – LITRG response

Published on 13 September 2012

We welcome the opportunity to comment further on residence reform.

Migrants to and from the UK are a mixture of people with varying personal circumstances, but a great many are migrant workers and students on low incomes. These are unrepresented taxpayers who cannot afford professional fees and for whom sources of tax advice are limited or non-existent.

We welcome a statutory residence test (SRT). Our preference would have been for a simple day counting test, but we understand that a policy decision has been taken to pursue the proposed framework of a series of tests. In its current, draft form, we do not feel that the legislation fully achieves the objectives of being clear, objective and simple to use.

We welcome the abolition of the concept of ordinary residence for the majority of circumstances, although we think that the proposed Overseas Workday Relief (OWR) rules need refinement.

To see the full LITRG response please use the link below
The LITRG response
The consultation document


Contact: Joanne Walker (please use form at

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