TAX RESIDENCY CERTIFICATES AND DOUBLE TAX TREATY FORMS


There is no formal document issued by the UK Inland Revenue to confirm residency. Instead, the Inland Revenue can be requested to write a letter stating that the company is resident in UK and stating its tax number.

The Inland Revenue is not obliged to respond to such a request and the level of cooperation depends on the officer dealing with the request. They are particularly likely to respond in the negative if the company is new. Logically, the Inland Revenue should respond helpfully if the company has filed a tax return, and trading accounts.

Clients should note that if a residency certificate is requested the Inland Revenue will not subsequently accept dormant accounts. Hence client who insist on a residency certificate (or letter) from the Inland Revenue must be prepared to file trading accounts. This is even the case if the Inland Revenue decline to issue the letter.

The Inland Revenue adopts a very similar approach in regard to DTT forms.

This has implications for the on-going costs of maintaining the company. It also makes it difficult to for Appleton to charge fixed fees for services in this regard.

UK Non-resident companies should not request a tax residency certificate as they are by definition ‘non-resident’.

However, all UK companies (resident or non-resident) have a tax reference number. This is witnessed by Inland Revenue documents such as the CT41G (Corporation Tax New Company Details) or CT603 (Corporation Tax Notice to Deliver a Company Tax Return). Which like any other Inland Revenue document can be notarized and apostilled in London.

Alternatively, we can have a certificate issued by a chartered accountant attesting to the tax residency of the company. This can be notarized and apostilled with a copy of the accountant’s certificate issued by the Institute of Chartered Accountants.