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Where Taxpayers and Advisers Meet

Remittance basis prior to 2013 for Forex with UK trader

rogerslovan
Posts: 3
Joined: Wed Mar 28, 2018 11:25 am

Remittance basis prior to 2013 for Forex with UK trader

Postby rogerslovan » Wed Mar 28, 2018 11:31 am

Could these funds have been to remitted into the UK?

NZ national earns EURO in Germany. In the tax year of leaving Germany individual was ordinarily and resident in UK but not domiciled. NZ national remits EURO to UK based forex trader for a contract and settles the contract in traders german account. Funds are remitted in NZD to NZ.

Is this service provided by a UK trader caught by the remittance basis? And what amount is taxable, the traders fee (as no funds were remitted into UK)

wamstax
Posts: 1864
Joined: Wed Aug 06, 2008 3:39 pm
Location: Operate Nationally but based in Aberdeen
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Re: Remittance basis prior to 2013 for Forex with UK trader

Postby wamstax » Wed Mar 28, 2018 7:47 pm

Unfortunately I would see the gross contract debt -settling U.K. debt - as being remitted to the U.K. This would be on the basis that the money was used or enjoyed in the U.K.
regards and hope this helps
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rogerslovan
Posts: 3
Joined: Wed Mar 28, 2018 11:25 am

Re: Remittance basis prior to 2013 for Forex with UK trader

Postby rogerslovan » Wed Mar 28, 2018 10:28 pm

The NZD was not remitted to the UK. How could this have been remitted to the UK under ITA07/s809L? Would this have been different before the finance act 2008 changes came into effect 6 apr 209?

rogerslovan
Posts: 3
Joined: Wed Mar 28, 2018 11:25 am

Re: Remittance basis prior to 2013 for Forex with UK trader

Postby rogerslovan » Wed Mar 28, 2018 10:33 pm

Sorry, I mean 06 April 2008

maths
Posts: 7537
Joined: Wed Aug 06, 2008 3:25 pm

Re: Remittance basis prior to 2013 for Forex with UK trader

Postby maths » Thu Mar 29, 2018 2:47 pm

Remittance Condition A relates to services provided in the UK. It seems that services were provided by the UK based forex trader in the UK; hence, the cost of such services constitutes a remittance to the UK.


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