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Expatriates may be subject to tax in more than one country on the same earnings, particularly where the individual is resident for tax purposes in two countries or a country calculates the individual's tax liability on a basis that is different to the UK tax rules. See E6.401–E6.404.

Another example of this double taxation is the US federal tax system, which taxes US citizens on their worldwide income. This contrasts with the UK rules which assess earnings by reference to domicile, residence and (prior to 6 April 2013 ordinary residence), with the consequence that certain earnings of a US citizen may be taxable under both the UK and the US domestic tax rules.

Double taxation can be eliminated or reduced by either:

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   •ÌýÌýÌýÌý the domestic law of the UK and other countries, or

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   •ÌýÌýÌýÌý double taxation agreements (also known as DTA or double tax treaties)

Where there is a double tax treaty, it may provide for certain income and gains to be wholly exempt, or for tax to be deducted at a reduced rate.