United Kingdom
22 April 2011 - Upper Tribunal confirms no minimum period for ordinary residence
The Upper Tribunal has upheld the decision of the First Tier Tribunal (FTT) in the "Tuczka" case that there is no minimum period for which an individual has to reside in the UK before ordinary residence can be established.
The FTT considered that the individual had chosen to remain in the UK for a ‘settled purpose’ (i.e. an employment, combined with the decision to purchase a property) during the second year in which he was present in the UK. The FTT therefore decided that he had become ordinarily resident in that year. The Upper Tribunal considered comments on the meaning of ordinary residence in other cases, and upheld the FTT's decision.
Individuals who come to the UK therefore need to bear in mind that evidence of an intention to remain in the UK for a settled purpose can result in their being treated as ordinarily resident sooner rather than later.
The lack of certainty in this type of case, involving the need to make judgments on an individual's intentions, once again highlights the need for a statutory residence test, and it is to be hoped that the formal consultation on a statutory test, announced in the recent Budget, will result in an acceptable and workable test.