Meg Saksida considers what income tax non-UK residents may need to pay in the UK.
Income derived from a source in the UK is taxable on the individual who has earned that income, wherever they happen to live in the world.
For example, if a Brazilian resident earns rental income from a flat let out in Bristol, the income will be chargeable to tax in the UK, as the income has derived from a source here (i.e., the rental property). The one exception to this principle is ‘free of tax to residents abroad securities’ (FOTRA securities). Even though the income generated from these securities is sourced in the UK, as the name suggests, it is not taxable on non-UK residents.
Foreign income received by those individuals not resident in the UK is not taxable at all in the UK. For example, if the Brazilian resident in the above example was earning rental income in Brazil from the letting of a flat in Sao Paolo,
