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Posted Sat, 20 Nov 2021 05:16:59 GMT by Mote Pro
Dear Sir/Madam, Here is my case. My visa is just approved at 2021-11-19. I will land UK at 2022-06-05. I have a fixed term insurance bought years ago and its mature at 2022-08-31. There would be accumulated interest and dividend which are over any UK related personal and dividend tax allowances. My question is: the mature date of my insurance and its gains happen before I becoming UK resident AT THAT DATE; of course I finally become UK resident in the tax year (2022-23) since I will start stay in UK since landing. It seems that transaction still falls into 2022-23 tax years. Would this transaction be counted as payable tax gain of 2022-23 or it could be treated as Clean Capital? Thanks!
Posted Tue, 23 Nov 2021 14:24:22 GMT by HMRC Admin 29

If you are UK tax resident then all taxable income needs to be declared to the UK for that tax year, unless you are claiming either the remittance basis where you are not bringing the income into the UK, or split year where you only declare the income from any period after which you arrived in the UK.

You can find further guidance here:

Residence, domicile and the remittance basis: RDR1

RDRM12000 - Residence: The SRT: Split year treatment: Contents

Guidance on foreign life insurance policies, in case this needs to be reported, can be found here:

Gains on foreign life insurance policies (Self Assessment helpsheet HS321)

Thank you.

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