Skip to content
Horizon UK Tax Solutions

Do I pay UK tax if I move to Canada?

Answered by Jordan Onraet-Wells, Founder & Chartered Tax Adviser (CTA). Published 28 July 2026. Last reviewed 28 July 2026.

The short answer

Usually not on your worldwide income, but yes on what you leave behind. Once you become non-UK resident under the Statutory Residence Test, the UK stops taxing your Canadian earnings but keeps taxing UK rental income, gains on UK residential property and pay for UK workdays. Under the 1978 UK-Canada treaty, most UK pensions, including public-service ones, are taxable only in Canada. Canada then taxes you as a resident on your worldwide income at federal and provincial level.

  • The Statutory Residence Test decides your status year by year; in the year you leave, split-year treatment usually taxes you as UK resident only up to departure, claimed on the SA109 pages.
  • UK rental income stays UK-taxable under the Non-Resident Landlord Scheme; file form NRL1 to receive rent gross.
  • If you sell UK residential property as a non-resident, you must report the disposal and pay any Capital Gains Tax within 60 days of completion.
  • Under the 1978 UK-Canada treaty, most UK pensions, even public-service ones such as NHS or civil service pensions, are taxable only in Canada; claim relief with form Canada/Individual.
  • Return to the UK within five years and the temporary non-residence rule can pull certain gains and income back into UK tax.
  • Canada has no special expat regime: worldwide income is taxable federally and provincially from the day you become Canadian resident.

Fixed-fee service

Non-Resident and Expat Tax Return

£550 fixed

A Chartered Tax Adviser prepares and files your UK return for the year you leave, SA109 residence pages and any split-year claim included, and the non-resident returns that follow if you keep UK income. That is the total, agreed before any work starts. Never hourly. A return with several income streams, investments or structures is the Complex Personal Tax Return, from £950, and we tell you which fee applies before you commit.

  • SA109 residence pages and the split-year claim for your departure year
  • UK rental income, employment, pensions and gains on the right pages
  • Personal Allowance claimed as a non-resident where you qualify
  • Filed online as your agent, so the 31 January deadline stays open
Tax returns for expats

What the UK stops taxing when you leave

Your UK position turns on the Statutory Residence Test, assessed for each tax year. Once you are non-resident, the UK no longer taxes your Canadian salary or other foreign income. In the tax year you move, split-year treatment usually applies, so you are taxed as a UK resident up to your departure and as a non-resident afterwards, claimed on the SA109 residence pages of your Self Assessment return. Tell HMRC you are leaving using form P85 if you do not file a return.

What stays UK-taxable, and the five-year trap

UK-source income remains in charge. Rental income from a UK property is taxed under the Non-Resident Landlord Scheme, with form NRL1 letting you receive rent gross. If you sell UK residential property after leaving, you must report the disposal and pay any Capital Gains Tax within 60 days of completion. Pay for days worked in the UK can also stay UK-taxable. Most UK pensions are the exception: under Article 17 of the 1978 UK-Canada treaty they are taxable only in Canada, and unusually this extends to public-service pensions. Finally, if you return to the UK within five years, the temporary non-residence rule can claw certain gains and income realised while abroad back into UK tax.

Canada taxes you too

Canada is not a tax-free destination. Once you are Canadian resident, based mainly on significant residential ties such as a home, a spouse or common-law partner and dependants there, Canada taxes your worldwide income at both federal and provincial level, and it has no special inbound or expat regime. That includes your UK rental income, with double-tax relief generally given for UK tax paid. Our moving to Canada guide covers both sides of the move, and the Canadian detail should be confirmed with a local adviser.

This is general information for the 2026/27 UK tax year, not personal tax advice; speak to a Chartered Tax Adviser about your own position.

Deadline 31 January 2027

Filing a 2025/26 return?

A Chartered Tax Adviser prepares and files it for you, including the pages HMRC's free online service cannot handle. Fixed fees from £350, non-resident and expat returns £550 fixed, agreed before any work starts.

How it works

Applies to you? Ask us directly

A page can only take you so far. Book a free 30-minute clarity call with Jordan, a Chartered Tax Adviser, and get this answered for your exact situation, on a fixed fee agreed upfront.

All quick answers
2025/26 tax returns due 31 January
WhatsApp