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Where Taxpayers and Advisers Meet

Move to UK - tax resident and CGT

mbenz
Posts:3
Joined:Thu Aug 19, 2021 5:27 am
Move to UK - tax resident and CGT

Postby mbenz » Thu Aug 19, 2021 5:37 am

Hello,

I am a Hong Kongese and will move to the UK under the Hong Kong British National (Overseas) Visa policy for retirement and not working.

I just sold my HK property for cash and am planning to arrive in mid-October, effectively spending less than 183 days in the UK in this tax year. I am not sure if I would be a tax resident.

I will use arising basis when filling in the tax return, if needed, next year. I have some questions to ask.

- Will I be liable to CGT of the property sold just sold?
- If I bring some of the proceeds to the UK in October and keep some in Hong Kong. Will there be tax issues when money is transferred from HK to the UK later on?

Thanks a lot!

pawncob
Posts:4750
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: Move to UK - tax resident and CGT

Postby pawncob » Thu Aug 19, 2021 8:13 pm

Assuming it's your PPR, no CGT arises.
No.
With a pinch of salt take what I say, but don't exceed your RDA

mbenz
Posts:3
Joined:Thu Aug 19, 2021 5:27 am

Re: Move to UK - tax resident and CGT

Postby mbenz » Sun Aug 29, 2021 8:22 am

Thanks pawncob, I am clear on the CGT now.

As to the second question, I presume that there will not be any issue moving GBP in and out of the UK for my case (arising basis). However, if that involves foreign currencies like USD or HKD, the forex movement could translate into gains or loss and that may be liable to CGT. Is that correct? Thanks.

mbenz
Posts:3
Joined:Thu Aug 19, 2021 5:27 am

Re: Move to UK - tax resident and CGT

Postby mbenz » Sat Sep 04, 2021 3:30 pm

I still have some questions that would like someone to help on.

1. I have a job in HK earning salaries up till 30 September 2021, the income will be properly taxed in here. Will I be liable for UK tax for the tax year 2021-22?

2. I realized some profits in the HK stock markets this year, can I apply spilt year treatment to minimize the liabilities?

3. I am holding some bitcoin sitting on nice profits, should I sell them before moving to the UK to reset the capital gains?

Thanks a lot.


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