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Posted Wed, 29 Jun 2022 14:24:17 GMT by Waff T
I have several oversea joint property with my parents and 2 sibling in HK. The rental income goes into a HK joint saving account. My father is the one who fully runs these properties and decide what to do with these profit though we are joint owners. If I am the only one become tax resident in the UK, even my share of foreign rental profit won't transfer to UK account, will the profit count as my income tax regarding arising basis? is it imposable to declare I have no share while I have a joint property and joint saving account?
Posted Wed, 29 Jun 2022 17:41:49 GMT by HMRC Admin 10
Hi
The income and expenses should be split evenly amongst all the owners, irrespective of who's bank account it is paid into.
Once you move to the UK, the profit will need to be declared as foreign income :
Tax on foreign income
Thankyou.
Regards.
Posted Fri, 01 Jul 2022 18:24:11 GMT by ANGEL Estevez
Hi, I have a Flat in Spain, where I am from, it is rented to a tenant and I share the ownership with my ex-partner. I pay the 3-monthly tax to the Spanish "Agencia Tributaria" and the money in euros received as a monthly rent stays in Spain in a joint account to cope with the mortgage and different expenses and obligations in Spain, the question is, what do I need to do here in the UK with regards to this flat and income that stays there in Spain? Should I communicate this to HMRC? Thanks in anticipation. Kind regards
Posted Mon, 04 Jul 2022 12:17:09 GMT by HMRC Admin 19
Hi,

It is assumed that you are currently tax resident in the UK. If your annual rental income is in excess of the £1000 property allowance, you may wish to consider claiming the remittance basis. If your total unremitted foreign income is less than £2000, the remittance basis is automatically applied, and no further action is required. 

If your total unremitted foreign income is in excess of £2000, and you decide to claim the remittance basis, you would have to register for Self Assessment (SA) and claim the remittance basis in your SA tax return. You can see information here: 

PIM4410 - Property allowance: contents: overview                                      

Remittance basis 2021 (HS264)

Thank you.

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