Skip to content

Arising Basis

« Back to Glossary Index

The arising basis is the default way UK residents are taxed on their income and capital gains. Under this system, you pay UK tax on income and gains as soon as they’re earned, regardless of where in the world they arise. So, whether you receive rental income from a flat in France or dividends from shares in New York, HMRC expects you to report it in the UK tax year it’s received.

The alternative is the remittance basis, available to some people with foreign income, but unless you specifically claim it, you’ll be taxed on the arising basis by default.

Tax Guide UK Editorial Team: Our team of financial writers, tax researchers, and editors is dedicated to making UK tax easier to understand — and easier to manage. Every article is thoroughly researched, regularly updated, and written in plain English to help you stay compliant and confident.View Author posts

« Back to Glossary Index


The content on Tax Guide UK is for informational purposes only and should not be considered professional tax or financial advice. We are not a substitute for a qualified advisor. While we aim to keep content accurate and up to date, we make no guarantees and accept no liability for decisions made based on our content.