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Taxpayer’s need to care for twin sister and minor children at a time of crisis constituted exceptional circumstances

By Mark McLaughlin, April 2025

The Court of Appeal allowed an appeal by the taxpayer, finding that the Upper Tribunal erred in its approach to the ‘exceptional circumstances’ relaxation in the statutory residence test and in its decision that it did not apply on the facts of the taxpayer’s case. 

Summary 

The Court of Appeal allowed an appeal by the taxpayer, finding that the Upper Tribunal (UT) erred in its approach to the ‘exceptional circumstances’ relaxation in the statutory residence test (SRT) and in its decision that it did not apply on the facts of the taxpayer’s case. 

Background 

The taxpayer (T) was resident in the UK up to and including the tax year 2014/15. She moved with her younger daughter to Ireland on 4 April 2015. In 2015/16, T declared herself, on her self-assessment return, as non-UK resident. Under the SRT, in the absence of exceptional circumstances, T

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