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    ianvhutchinson's Avatar
    ianvhutchinson Posts: 1, Reputation: 1
    New Member
     
    #1

    Feb 20, 2010, 04:25 PM
    Can the UK tax man levy tax on my US income?
    I am working in the US on an H-1B visa. I have paid full US federal and California state taxes for the last 4 years.

    Surely I am exempt from UK taxation under the current treaty. However, the UK tax authorities don't think so!
    Five Rings's Avatar
    Five Rings Posts: 459, Reputation: 7
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    #2

    Feb 21, 2010, 09:40 AM

    I don't believe you are liable to tax in the UK on income earned without the UK.

    See: Residence and Domicile Taxation in the United Kingdom - Wikipedia, the free encyclopedia
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
     
    #3

    Apr 22, 2010, 09:37 AM
    Five Rings:

    In the past, I would agree with you without reservation.

    However, I have been getting reports from clients in the U.K. that the government there is beginning to take the same attitude towards their citizen's world-wide income that the U.S. government has long held. i.e. ALL world-wide income of U.K. citizens is subject to U.K. income taxes.

    This may be something we need to investigate more thoroughly.
    Five Rings's Avatar
    Five Rings Posts: 459, Reputation: 7
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    #4

    Apr 22, 2010, 10:42 AM

    Yes. They are trying to squeeze out as much as they can.

    See: Tax Definitions
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
     
    #5

    May 7, 2010, 01:12 PM
    Well, that is about as clear as mud!

    And I thought U.S. tax regulations were overly complex!

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