Do Holidays Count Towards Residence?

Someone who looks after my affairs has told me that days on holiday overseas are not classed as working, so these days are counted as being in the UK. This means I can spend much less time back in the UK if I want to remain non-resident. Is this correct?

Adam Thompson, tax manager of The Fry Group, reckons that the advice you have been given appears to be incorrect, but without full details it is hard for him to be certain.

“I am assuming that you work full time overseas,” says Thompson, “and it is on this basis that you are claiming to be non-resident under the Statutory Residence Test.

“Part of the process of calculating whether you meet the criteria of full time overseas work is to look at the amount of holiday you have taken. But it would be incorrect to say that holiday time taken overseas counts as a UK resident period. There are exceptions to this rule – notably if you are moving back to the UK.”