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Where Taxpayers and Advisers Meet

CGT gain from index fund - tax resident abroad

bafg
Posts:1
Joined:Sat Jun 04, 2022 8:48 pm
CGT gain from index fund - tax resident abroad

Postby bafg » Sat Jun 04, 2022 9:10 pm

Dear all

I am a British citizen with tax residency only in Germany, having left the UK six years ago.

Before leaving the UK I had invested in HSBC FTSE ALL WORLD INDEX (GB00BMJJJF91). The fund has holdings in thousands of global companies; I bought and hold the shares through Halifax Share Dealing and the fund is domiciled in the UK.

HMRC writes:
Living abroad "You have to pay tax on gains you make on property and land in the UK even if you’re non-resident for tax purposes. You do not pay Capital Gains Tax on other UK assets, for example shares in UK companies, unless you return to the UK within 5 years of leaving."

I don't know if any of this is relevant to my situation/type of investment.

If I sell shares in the fund and realise a gain, would there be UK CGT to pay? What is the deciding factor?

Thanks for your advice!

AGoodman
Posts:1738
Joined:Fri May 16, 2014 3:47 pm

Re: CGT gain from index fund - tax resident abroad

Postby AGoodman » Mon Jun 06, 2022 11:42 am

No, "property" in the HMRC note means interests in land/buildings. Everything else, including funds, are still CGT free for non-residents.


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