Firstly, the UK perspective. The UK has the
Statutory Residence Test which defines when and how you lose your UK tax residence. A number of accountancy firms have made nice
flowcharts.
If you spend fewer than 16 days in the UK tax year (April 6 to April 5) then you are automatically not tax resident. If you spend more than 183 days in the UIK tax year then you are automatically tax resident. In a typical leaving case (you were UK tax resident in the previous year, don't have a spouse/partner or <18 age children left in the UK, don't work more than 39 days in the UK, don't have "accessible accommodation" such as a room at a friend's or relatives house and are in some other country for more days than in the UK) then you will be tax resident if you spend > 120 days in the UK. You should consult the charts and check some definitions to see your particular case and maybe consult a tax lawyer if you're not absolutely sure. If you leave part way through a tax year for an overseas job or to set up a home then you can apply for "split year" treatment, but I've heard that this can be a pain and probably needs professional help.
Once you are not UK tax resident you still pay UK tax on some UK income (property sale or rental) and if you move back within 5 years then you can be taxed on capital gains when you sold assets abroad that you owned before you left (stocks,
crypto, etc.).
Secondly, legal residence in UAE with a visa. There are some freelancer visas, else you can set up a company. There are costs (fees, office rental, flat contract, etc.) and changing conditions which an offshore provider can help you navigate. You only need to visit UAE each six months. You can apply for a local
bank account. This can makes life easier, as banking and other services can be difficult for a "
nomad" who has no legal residence of proof of address somewhere.
Thirdly, a tax residence
certificate. You need to be a legal resident and physically in UEA For 180 days in the calendar year. This is useful for businesses using Double Tax Treaties and for individuals who need to prove their
tax residency. I am not aware of any way that it would affect your UK tax non-residence. Some people have reported being asked for a tax residence
certificate by some bank or broker. I don't know if that is an absolute requirement but I could imagine it becoming more common in future.
I plan to stay where I am (UK) & go out to Dubai for a week or so every 6 months.
You would absolutely be UK tax resident in this situation. Some people use offshore legal residence with bank account to hide their activities from their country of residence, but that is risky and can attract big penalties if you are caught. People who want to sleep well at night would use a UK accountant to try to minimise the tax burden (which probably will still be high) or move somewhere with a more attractive tax system (and better weather
).
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