What is the statutory residence test?
Answered 17 March 2026
The Statutory Residence Test (SRT)
What the law says
The Statutory Residence Test (SRT) was introduced by Finance Act 2013, s.218 and Schedule 45, with effect from 6 April 2013. Schedule 45 contains provision for determining whether individuals are resident in the United Kingdom for the purposes of income tax, capital gains tax and (where relevant) inheritance tax and corporation tax, provision about split years, and provision about periods when individuals are temporarily non-resident.
The term "resident" means resident in accordance with the statutory residence test in Part 1 of Schedule 45 to the Finance Act 2013.
The Basic Rule (Schedule 45, paragraph 3)
An individual ("P") is resident in the UK for a tax year ("year X") if:
- (a) the automatic residence test is met for that year, or
- (b) the sufficient ties test is met for that year.
If neither test is met, P is not resident in the UK for that year.
The Automatic Residence Test (paragraph 5)
The automatic residence test is met if P meets:
- at least one of the automatic UK tests, and
- none of the automatic overseas tests.
Many of the automatic overseas tests (paragraphs 12, 13 and 14) and the automatic UK tests (paragraphs 7 and 8) depend on the number of days the person spends in the UK.
The Sufficient Ties Test (paragraph 17)
If the automatic residence test is not met, the sufficient ties test applies. Under this test, a person's residence is determined by a combination of:
- (a) the number of UK ties, and
- (b) the number of days the person spends in the UK.
The number of ties sufficient to make a person UK resident depends on whether P was resident in the UK for any of the previous 3 tax years, and the number of days spent in the UK in year X. The combinations are set out in Tables at paragraphs 18 and 19 of Schedule 45.
Split Years and Temporary Non-Residence
Schedule 45 also provides for split year treatment: where an individual starts to live or work abroad or comes from abroad to live or work in the UK during a year, the tax year can be split into a UK part and an overseas part if specific criteria are met.
Separately, temporary non-residence rules apply where an individual has been UK resident, goes abroad for 5 years or less, and was UK resident for at least 4 of the 7 tax years immediately preceding departure.
HMRC Guidance / Practice
HMRC recommends the following step-by-step approach to determine residence status under the SRT:
| Step | Action | Outcome |
|---|---|---|
| 1 | Has the individual spent 183 days or more in the UK? (First automatic UK test) | If yes → UK resident |
| 2 | Consider the 3 automatic overseas tests | If one is met → not UK resident |
| 3 | Consider the second or third automatic UK tests | If one is met → UK resident |
| 4 | Consider the sufficient ties test | If met → UK resident; if not → not UK resident |
Prior to the SRT, residence was determined by case law and HMRC guidance (booklet IR20, later replaced by HMRC6). The SRT replaced this with a statutory framework.
For 2013-14 and later years, ordinary residence no longer needs to be considered.
Detailed guidance is published by HMRC in the Residence, Domicile and Remittance Basis Manual (RDRM) and in booklet RDR3: Statutory Residence Test.
Citation sources
reasons set out below, we allow HMRC’s appeal on each of their grounds. We remake the decision and dismiss the Taxpayer’s appeal. She was thus tax resident in the UK during the relevant year. The Statutory Residence Test 11. The SRT was introduced by FA 2013, s 218 and Sch 45. A person’s residence status had previously been determined by case law and HMRC guidance; for many years the latter was contained in booklet IR20; with effect from 6 April 2009, this was replaced by booklet HMRC6. 12. The
For 2013-14 and subsequent years a persons residence position is determined by applying the rules within The Statutory Residence Test. Guidance on the Statutory Residence Test and the can be found in the Residence Domicile and Remittance Manual and RDR3. When considering whether the provisions of TCGA92/S10A* can be applied it may be necessary to consider the residence position of an individual in the years up to and including 2012-13 e.g. to check the residence position of an individual in the
PART 6 Other provisions Residence Statutory residence test 218 1 Schedule 45 contains— a provision for determining whether individuals are resident in the United Kingdom for the purposes of income tax, capital gains tax and (where relevant) inheritance tax and corporation tax, b provision about split years, and c provision about periods when individuals are temporarily non-resident. 2 The Treasury may by order make any incidental, supplemental, consequential, transitional or saving provision in
ground that this was the first time that paragraph 22 has been the subject to judicial consideration. 11. Section 218(1) of FA 2013 provides that: “(1) Schedule 45 contains— (a) provision for determining whether individuals are resident in the United Kingdom for the purposes of income tax, capital gains tax and (where relevant) inheritance tax and corporation tax, (b) provision about split years, and (c) provision about periods when individuals are temporarily non-resident.” 12. Under the SRT, a
An individual will be resident in the UK for a tax year, and at all times in that tax year, (although the effect of this rule is relaxed under split year treatment, see RFIG21000 onwards), if none of the automatic overseas tests are met and either: 1 of the automatic UK tests the sufficient ties tests are met. The following steps should be taken to ascertain an individual's residence status under the SRT: Step 1 - has the individual spent 183 days or more in the UK in the relevant year, (first a
With the introdution of the Statutory Residence Test (SRT), and the repeal of ITA03/s832 being replaced by FA2013 Sch 45 Part 4 para 110, the conditions for temporary non-residence have also changed. Individuals will be regarded as temporarily non-UK resident if: following a residence period where they had sole UK residence, one or more residence periods occur for which the individual does not have sole UK residence at least 4 out of the 7 tax years immediately preceding the year of departure we
The terms ‘resident’ and ‘ordinarily resident’ have the same meaning as in the Income Tax Acts. The term ‘domicile’ should also be interpreted on the same basis as applies for Income Tax. From 6 April 2017 this includes deemed domicile. A Statutory Residence Test for individuals was introduced for tax years from 6/4/2013. In addition, for 2013/14 and later years, ordinary residence no longer needs to be considered. Guidance on the Statutory Residence Test and the meanings of resident, ordinarily
Under the Statutory Residence Test (SRT) the individual is either UK resident or non-UK resident for a full tax year. However, if during a year the individual starts to live or work abroad or comes from abroad to live or work in the UK, the tax year can be split into 2 parts if their circumstances meet specific criteria. The UK resident individual must consider whether split-year treatment applies to them. If they meet all the conditions of one of the split-year cases that case will be applied t
” has the meaning given by section 989 of ITA 2007 ; “ permanent establishment ”, in relation to a company, is to be read in accordance with Chapter 2 of Part 24 of CTA 2010; “ personal representatives ” has the same meaning as in the Corporation Tax Acts (see section 1119 of CTA 2010) ; “ property investment LLP ” has the meaning given by section 1004 of ITA 2007 ; “ qualifying new resident ” has the meaning given by section 845B of ITTOIA 2005 (which sets out the circumstances in which an indi
2-2013 and 2014-2015. 10. The SRT was introduced by Finance Act 2013 with effect from 6 April 2013. 11. Paragraph 3 of Schedule 45 sets out what is described as “The basic rule” as follows: 3 An individual (“P”) is resident in the UK for a tax year (“year X”) if— (a) the automatic residence test is met for that year, or (b) the sufficient ties test is met for that year. 4 If neither of those tests is met for that year, P is not resident in the UK for that year. The automatic residence test 5 The