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Where Taxpayers and Advisers Meet

Non dom resident

pjbp
Posts:24
Joined:Wed Aug 06, 2008 3:50 pm

Postby pjbp » Mon Oct 27, 2008 5:16 pm

I am a nondom resident in the UK for over 8 years now. If i remit interest from an offshore savings account to UK is that treated as income or capital?? Do i have to pay income tax in the UK over that interest??

Simon Sweetman
Posts:1690
Joined:Wed Aug 06, 2008 3:11 pm

Postby Simon Sweetman » Tue Oct 28, 2008 8:44 am

In a word, yes. Money remitted from an offshore account is regarded as interest first and is taxable whether you are looking at the new rules or the old ones.

pjbp
Posts:24
Joined:Wed Aug 06, 2008 3:50 pm

Postby pjbp » Tue Oct 28, 2008 12:59 pm

Thank you for the answer! But what is regarded as remittance of capital then?? Will this also be taxed as income??

Simon Sweetman
Posts:1690
Joined:Wed Aug 06, 2008 3:11 pm

Postby Simon Sweetman » Tue Oct 28, 2008 1:05 pm

No, and unless there are underlying capital gains there would be no tax at all. But the remittance is regarded as income up to the total of income received in the account overall.


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