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HMRC internal manual

Capital Gains Manual

From
HM Revenue & Customs
Updated
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Operation of S10A for Non-UK Domiciled individuals - No claim to Remittance Basis - year of departure 2012-13 or earlier

If no election for the remittance basis is made for the year of return, TCGA92\S10A applies in the normal way and any gains of an intervening year are chargeable in the year of return.

Example

Mr A a non-UK domiciled individual leaves the UK in year 1 and becomes non-resident from the date of leaving the UK.

Whilst living abroad and in year 3 he realises a gain on an asset that has been held for many years. He then returns to the UK in year 4.

The capital gain made in year 3 is a gain that has arisen in an intervening year and is regarded under S10A as a foreign chargeable gain of year 4 (the year of return).

As there is no election for the remittance basis for year 4 (the year of return) the foreign chargeable gain is all assessable for year 4.

S10A operates in the same way for both UK domiciled and non-domiciled individuals to exclude gains from its scope where the asset disposed of was acquired during the period of temporary non-residence. Further information is given in CG26230.