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Leaving the UK, comprehensive tax checklist

Comprehensive 6-stage checklist for UK leavers: (1) planning 3 to 6 months pre-departure, SRT preparation and pre-departure financial review; (2) departure year procedural HMRC notifications (P85, NRL1, NT code); (3) first year abroad voluntary NI and continuing SA; (4) years 2 to 5 temporary non-residence clock tracking; (5) year 5+ permanent territory; (6) return-to-UK mechanics. DOCX and PDF.

Last reviewed: 24 May 2026

Guidance, not advice. We explain the rules, we don't assess your situation. Always seek financial or tax advice from your accountant, or contact HMRC. Read our editorial scope →

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Leaving the UK, comprehensive tax checklist

  Stage 1, planning (3 to 6 months before departure)

  Statutory Residence Test (SRT) preparation:
  [ ] Apply Schedule 45 FA 2013 SRT to verify non-residence for tax year of departure.
  [ ] Identify which Automatic Overseas Test applies (most common, Test 3 full-time work overseas).
  [ ] If split-year applies, identify which Case (1 / 2 / 3 for leavers).
  [ ] Document day-counting methodology + retain travel evidence (boarding passes, accommodation receipts).
  [ ] Run HMRC online residence indicator tool + save screenshot.
  [ ] Cross-reference with destination country residence test (for dual-resident DTA position).

  Pre-departure financial review:
  [ ] List all UK source income streams (employment, self-employment, rental, pension, dividends, interest, royalties).
  [ ] List all UK assets potentially subject to NRCGT (UK residential, commercial, property-rich-company shares).
  [ ] Review IHT position under April 2025 LTR test (UK residence 10 of previous 20 years = LTR; tail period applies).
  [ ] Pension situation, type of scheme + drawdown plans + LSA/LSDBA implications.
  [ ] ISA position, existing balances + non-resident-cannot-contribute rule + destination-country tax treatment.
  [ ] If trading via UK Ltd Co, corporate residence / PE risk in destination country.
  [ ] Maintain UK bank account vs close + transition.

  Pre-departure planning:
  [ ] Calculate temporary non-residence implications if return possible within 5 years (TCGA 1992 s.10A).
  [ ] Time pre-departure asset disposals carefully (gains in UK residence year remain in full UK CGT scope).
  [ ] Pension contribution last-year strategy (relevant UK earnings determine relief in year of departure).
  [ ] Use ISA allowance for tax year of departure (final UK-resident contribution opportunity).
  [ ] Estate planning before April 2025 LTR test ticks against you.
  [ ] Currency transfer planning + FX cost optimisation.

  Stage 2, departure (tax year of leaving)

  Procedural HMRC notifications:
  [ ] P85 submission, file online via gov.uk Personal Tax Account where possible; OR submit paper P85 with covering letter (TaxKiln /downloads/p85-covering-letter).
  [ ] NRL1 application if UK landlord, submit ASAP to avoid 20 percent withholding (TaxKiln /downloads/nrl1-covering-letter).
  [ ] NT code application for UK pension, Form DT-Individual via destination country tax authority certification.
  [ ] Update address with HMRC, Personal Tax Account / phone / written notification.
  [ ] Retain UTR, do not cancel Self Assessment if UK source income continues.

  Tax year of departure, final SA return:
  [ ] File final Self Assessment for departure year using SA100 + SA109 split-year + relevant supplementary pages (SA105 UK Property, SA102 Employment, SA103 Self-Employment, SA106 Foreign, SA108 Capital Gains).
  [ ] SA109 split-year case selection, Case 1 / 2 / 3 depending on circumstances.
  [ ] Personal Allowance entitlement on non-resident portion of year (depends on nationality + DTA).

  Other notifications:
  [ ] Notify employer of departure, affects PAYE coding.
  [ ] Notify pension provider, NT code application separately.
  [ ] Notify bank / building society, change address + non-resident savings position.
  [ ] Notify ISA provider, change of residence required notification; no further contributions.
  [ ] Notify Premium Bonds / NS&I, change address.
  [ ] Notify Council Tax (if applicable).
  [ ] DVLA, if vehicle ownership continues in UK.

  Stage 3, first year abroad (post-departure)

  National Insurance + State Pension:
  [ ] Voluntary Class 2 NI application via Form CF83 (GBP 3.50/week 2025/26).
  WARNING: Voluntary Class 2 NI for periods abroad ABOLISHED for new applicants from 6 April 2026, apply BEFORE if eligible.
  [ ] Voluntary Class 3 NI alternative (GBP 17.75/week 2025/26) if Class 2 not available.
  [ ] Verify destination country State Pension uprating status (frozen in approx 150 countries including AU/CA/NZ; uprated in EU/EEA/USA).

  Self Assessment continuing obligation:
  [ ] File annual SA return if UK source income continues.
  [ ] SA109 non-residence pages on each annual return.
  [ ] Claim disregarded income s.811 ITA 2007 where applicable (UK dividends + interest).
  [ ] NRL annual rental income reporting via SA105.
  [ ] UK pension income via SA if no NT code yet.

  Pension contributions:
  [ ] Decide whether to continue UK pension contributions (GBP 3,600 gross max for first 5 tax years post-departure).
  [ ] Verify relevant UK earnings position (rental + dividend not relevant earnings).
  [ ] Avoid QROPS transfer pitches unless genuinely beneficial (25 percent OTC + 5-year continuing UK tax liability).

  Destination country tax:
  [ ] Register with destination country tax authority (typically within 30 to 90 days of arrival).
  [ ] Apply for destination country tax residence certificate (needed for UK DT-Individual application).
  [ ] Understand destination country treatment of UK ISA, Premium Bonds (NOT UK-tax-free in most destinations).

  Stage 4, years 2 to 5 (temporary non-residence window)

  [ ] Avoid early return if pre-departure asset gains realised during non-residence; return within 5 full tax years = TCGA 1992 s.10A catch-up.
  [ ] Track 5-year clock carefully (TaxKiln /downloads/temporary-non-residence-planning-worksheet).
  [ ] Annual SA continuation as required.
  [ ] Annual State Pension forecast + voluntary NI continuation decision.
  [ ] Watch UK source income changes.

  Stage 5, year 5+ (permanent non-residence territory)

  [ ] Temporary non-residence rule no longer applies, gains realised on non-UK assets are clean.
  [ ] IHT tail tracking, depending on total UK residence (10 to 13 years = 3-year tail; 20+ years = 10-year tail per FA 2025 Schedule 1).
  [ ] Continued SA filing for UK source income.
  [ ] Annual State Pension forecast + voluntary NI continuation.

  Stage 6, if returning to UK

  [ ] Apply SRT for tax year of return, Automatic UK Tests / Sufficient Ties / Split-Year Cases 4 to 8.
  [ ] FIG regime claim if 10+ years non-UK-resident (4 years foreign income/gains exemption).
  [ ] Track temporary non-residence catch-up if returning within 5 full tax years (s.10A wash-back).
  [ ] ISA contribution resumption allowed from UK residence year.
  [ ] Pension drawdown UK PAYE re-applies (NT code lapses).

  Statute: Schedule 45 FA 2013 (SRT); ITEPA 2003 (PAYE); ITA 2007 ss.811-813 (disregarded income); TCGA 1992 (CGT); IHTA 1984 + FA 2025 (IHT); SI 1995/2902 (NRLS).

  Guidance, not advice. We explain the rules; we do not assess your situation.

Last reviewed: 24 May 2026