RFIG50200 - Residence - Other information: Personal Allowances

Individuals resident in the UK  

If an individual is resident in the UK, they will be entitled to certain allowances and reliefs, based on their personal circumstances, which will reduce the amount of tax charged on their income.  

Up to 5 April 2025, individuals who made a claim under section 809B ITA 2007 to be taxed on the remittance basis lost their entitlement to various personal tax allowances (see RDRM32040). In a very small number of cases some remittance basis users may have had their allowances restored by virtue of an entitlement under a double taxation agreement refer to RDRM32050. 

 

Individuals not resident in the UK 

Current legislation sets out a range of circumstances where individuals have a right to claim UK personal allowances and reliefs from income tax, despite being not resident in the UK. The individual may qualify if they are: 

  • an EEA national
  • a British Citizen (including those covered under the British Overseas Territories Act 2002)
  • a resident of the Channel Islands or the Isle of Man
  • a person who has previously resided in the UK and is resident abroad for the sake of their health or that of a member of their family who is resident with the individual
  • a Crown servant
  • a person employed in the service of any territory under His Majesty’s protection
  • a person employed in the service of a missionary society, or
  • a person whose late spouse or late civil partner was employed in the service of the Crown

Certain categories of non-resident individuals are entitled to UK allowances under the provisions of a DTA (see INTM334580).