This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

Tax Rebate - Exchange Rate Help

pwrigtom
Posts:3
Joined:Sun Dec 06, 2015 1:11 pm
Tax Rebate - Exchange Rate Help

Postby pwrigtom » Wed Oct 18, 2017 10:17 am

Good Morning Everyone.

During the 2015/16 tax year i was an Irish Tax payer, living in the UK.

A few weeks ago i obtained a rebate from the Irish Tax Revenue for a sizable amount in euros €.

I want to amend my 2015/16 UK tax return to reflect this.

My Question is regarding exchange rate, the rebate was for tax paid in 2015/16 thus can i use the exchange rate for this time or do i have to use the exchange rate at the time the rebate was paid to me (i.e Last week).

I hope to be able to use a 2015/16 average as this results in me keeping more of my rebate! However i have fallen foul of HMRC before and don't want to be investigated again!

Tom

bd6759
Posts:4262
Joined:Sat Feb 01, 2014 3:26 pm

Re: Tax Rebate - Exchange Rate Help

Postby bd6759 » Wed Oct 18, 2017 1:24 pm

Use the same rate as you used to calculate the relief in your 2015-16 tax return,

maths
Posts:8507
Joined:Wed Aug 06, 2008 3:25 pm

Re: Tax Rebate - Exchange Rate Help

Postby maths » Wed Oct 18, 2017 1:46 pm

I assume this relates to foreign tax credit relief?

If so, the tax rebate in euros should be translated into £ at the time the income was earned not when repaid.

pwrigtom
Posts:3
Joined:Sun Dec 06, 2015 1:11 pm

Re: Tax Rebate - Exchange Rate Help

Postby pwrigtom » Thu Oct 19, 2017 9:32 am

Well both the tax credit relief and the foreign tax paid.

Thank you for your advice.

Do you have any Hmrc references for this information.

Thanks


Return to “Income Tax”