HC Deb 02 February 1976 vol 904 cc449-50W
Mr. Arthur Lewis

asked the Chancellor of the Exchequer whether he will revise the rule whereby a person who wishes to avoid British taxation must not live in the United Kingdom for more than 60 days in any given financial year to a system whereby the 60 days are taxed on a pro-rata basis of an annual income tax return.

Mr. Robert Sheldon

There are a number of circumstances in which an individual's liability to United Kingdom tax can depend on the length of time he spends in the United Kingdom in a fiscal year, but nothing turns on whether his visits total more than 60 days. I have no plans to tax visitors to this country on their income in proportion to the time they spend here.

Mr. Arthur Lewis

asked the Chancellor of the Exchequer whether he will give details of the steps taken to keep records of persons who declare their intentions to leave Great Britain to avoid taxation and then return at periodical intervals, to see that they do not exceed the limit of 60 days in any given year.

Mr. Robert Sheldon

There is no 60-day limit, but there are other limits which my hon. Friend may have had in mind. Where the tax relief has been given to an wife's earnings allowance, at the basic rates of tax mentioned, are given in the table below.

individual provisionally, which is dependent on the amount of time subsequently spent in the United Kingdom, the Inland Revenue arranges to make further inquiries at appropriate intervals. To specify these arrangements more precisely could make them less effective.

Mr. Arthur Lewis

asked the Chancellor of the Exchequer whether he will change the income tax rules to ensure that any person who claims exemption from taxation due to living abroad shall have to pay full rate of tax on income from whatever source obtained or originating in Great Britain.

Mr. Robert Sheldon

No. In general, income arising in the United Kingdom is liable to United Kingdom tax whether or not the recipient is resident here.