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Do I pay UK tax if I move to the USA?

Answered by Jordan Onraet-Wells, Founder & Chartered Tax Adviser (CTA). Published 9 August 2026. Last reviewed 9 August 2026.

The short answer

Only on UK-source income once you have genuinely left. Become non-resident under the Statutory Residence Test and the UK stops taxing your worldwide income, keeping its claim over UK rental profits, gains on UK property and certain pensions. The bigger change is on the other side: once you meet the US green card or substantial presence test, America taxes your worldwide income, and your UK accounts, ISAs and any UK company all have to be reported to the US.

Leaving cleanly means becoming non-resident under the Statutory Residence Test, usually with split-year treatment so income after your departure date falls outside the UK net.
UK rental income stays UK-taxable under the Non-Resident Landlord Scheme, and a UK property sale needs a non-resident CGT return and payment within 60 days of completion, even if no tax is due.
Once you are a US tax resident, your UK accounts are reportable via the FBAR (over $10,000 aggregate) and often FATCA Form 8938, and ISA income and gains become fully US-taxable.
A UK limited company typically becomes a controlled foreign corporation for US purposes, bringing annual Form 5471 reporting and potential GILTI inclusions.
Return to the UK within roughly five years and the temporary non-residence rules can drag gains realised while away back into UK tax.

The UK side: leaving cleanly

The UK taxes by residence, so the goal is to become non-resident under the Statutory Residence Test and to claim split-year treatment for the year you go, which divides the tax year into a UK part and an overseas part. Split-year is not automatic: you must fit one of the statutory cases, such as starting full-time work overseas or ceasing to have a UK home. And watch the temporary non-residence trap: if you were UK resident in four of the seven years before leaving and return within roughly five years, gains and certain income realised while away can be taxed when you come back.

What stays UK-taxable after you leave

UK-source income keeps its UK tax bill regardless of where you live. If you let your UK home, the rent falls within the Non-Resident Landlord Scheme, with withholding unless you register to receive it gross, and it stays reportable through Self Assessment. Selling UK residential property as a non-resident means a non-resident CGT return and payment within 60 days of completion, even where there is no gain. UK pensions generally travel well: the UK-US treaty recognises them, so growth inside the fund is not taxed year to year and distributions are taxed in a coordinated way.

The US side is the bigger shift

Once you meet the green card test or the substantial presence test (at least 31 days in the current year and 183 days across a weighted three-year window), the US taxes your worldwide income, and the reporting is unforgiving. UK accounts count towards the FBAR once they exceed $10,000 in aggregate, FATCA Form 8938 often applies on top, ISAs get no US recognition so their income is fully US-taxable, and UK funds are usually punitive PFICs. A UK limited company typically becomes a controlled foreign corporation, with Form 5471 filings and GILTI exposure, so decide what to do with it before your US residence starting date. Horizon advises on the UK side on fixed fees agreed upfront; the US filings are handled by our US partners (Enrolled Agents and CPAs), whom we coordinate for you, and a free clarity call at /book is the easiest first step.

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Sources and further reading

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.

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