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 on foreign T-bill? Combination of income tax and CGT?

Matthew P
Posts:72
Joined:Thu Oct 30, 2008 12:46 pm
Tax on foreign T-bill? Combination of income tax and CGT?

Postby Matthew P » Wed Nov 17, 2021 7:51 pm

I am considering investing in 1-year Egyptian T-bills. The interest is around 15% pa. After a year I shall get my £E outlay back, but in terms of pounds sterling I will probably get back less than I invested. What is the tax treatment?
[1] Presumably I will pay Income Tax on the interest at my existing income tax rate, i.e. 20%
[2] But I will also have made a loss on my outlay.
Can I reclaim that as a capital loss?

Return to “Income Tax”