Double Taxation Agreement Form UK: What You Need to Know
As an expat or non-resident of the UK, you may be required to pay taxes in both your home country and the UK. However, to avoid being taxed twice, the UK has signed double taxation agreements (DTAs) with over 130 countries. These agreements ensure that individuals and businesses are not taxed on the same income or gains in two different countries.
To take advantage of these DTAs, you need to complete a Double Taxation Agreement Form UK. This form is also known as the Tax Treaty Application Form or Form DT-Individual. In this article, we`ll discuss what the form is, what you need to provide, and how to complete it.
What is a Double Taxation Agreement Form UK?
A Double Taxation Agreement Form UK is a document that allows an individual or business to claim double taxation relief under a DTA. It is used to declare residency status and provide information on the type of income being earned in both the UK and the other country.
What Information is Required?
To complete the form, you will need to provide the following information:
1. Personal Details: Name, address, date of birth, and National Insurance Number (NIN) or Unique Taxpayer Reference (UTR).
2. Residency Status: Declare if you are a resident or non-resident of the UK. If you are a dual resident, provide details of both countries.
3. Income Details: Provide information on the type of income being earned in both the UK and the other country. This can include employment income, dividends, rental income, and capital gains.
4. Tax Paid: Declare the tax paid in the other country on the income earned.
5. Bank Details: Provide bank details for the refund of taxes paid in the UK, if applicable.
How to Complete the Form
The Double Taxation Agreement Form UK can be completed online or in paper format. If completing online, visit the HMRC website and log in to your account. If completing in paper format, download the form from the HMRC website and complete it by hand.
Once the form is completed, it should be submitted to HMRC along with supporting documents such as a copy of your tax return from the other country. HMRC will review the application and issue a certificate of residence if approved.
The Double Taxation Agreement Form UK is a crucial document for individuals and businesses who are earning income in both the UK and another country. By completing this form, you can claim double taxation relief under DTAs and avoid being taxed twice on the same income or gains. If you need assistance in completing the form, seek the advice of an experienced tax professional who is familiar with international tax laws.