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Posted Sun, 03 Nov 2024 12:02:18 GMT by taxtax23
UK resident company earns interest income from its foreign related company. The foreign company pays withholding tax for interest expense in its home country. The DTT between the two countries allows for the offset of withholding tax in the UK. Is it possible for the UK resident company to receive a refund of this withholding tax in the UK in cash or by offsetting? If possible, how does the process work, what are the documents to be declared and how long does it take?
Thanks&Regards
Posted Thu, 07 Nov 2024 13:10:02 GMT by HMRC Admin 13 Response
Hi taxtax23
You can claim double taxation relief on the foreign withholding tax up to amount of the UK tax liability on the foreign income as an offset
Guidance is available at: Relief for Foreign Tax Paid 2024 (HS263)
Thank you 

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