Double Tax Agreement Us Uk

If you reside in two countries simultaneously or if you reside in a country that taxes your worldwide income and you have income and profits from another country (and that country taxes that income on the basis of what it originated in that country), you can move towards the same income in both countries. This is called “double taxation”. If a person is not considered to be resident in the United Kingdom, the person would only be taxable in the United Kingdom under the current double taxation convention if the income comes from UK activities. This is important because it means that all income and profits of non-UK capital are protected against UK taxes. For the purposes of this Article, we consider a person to be resident for tax purposes in the United Kingdom and another country, although there are double taxation treaties between two countries. It is much more common to use the services of a qualified accountant who is experienced in applying for tax relief through double taxation treaties. Fees vary depending on the complexity of a person`s personal circumstances, in almost all cases, tax savings exceed the costs of using an accountant – and they can be sure to pay the right amount of tax with absolute confidence. If there is a double taxation treaty, it may indicate which country is entitled to levy taxes on different types of income. You can find an example of this on our double residence page….