Remittance? Foreign brokerage with UK bonds

[Ian Wright]

The answer is always quite simple. Yes or no? In reality getting to yes or no is very difficult.

I have a UK resident non dom client paying the £30k remittance basis charge so he only reports on UK based income and gains.

My client has a foreign based brokerage account which was funded by foreign income (toxic dirty money which cannot be remitted to the UK).

No money is ever brought to the UK from the foreign brokerage account.

The foreign brokerage account has purchased UK based corporate bonds.

Q1 Is any income derived from the bonds taxable in the UK?

Q2 Does the purchase of UK bonds by the foreign brokerage amount to a remittance for UK tax purposes?

I can not find anything at all anywhere on how to deal with foreign brokerage accounts and the remittance basis.

Any ideas?

Ian

[maths]

The answer is always quite simple. Yes or no?

1. Yes.
2. Yes.