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Posted Tue, 30 Jan 2024 23:14:09 GMT by
I have an historic Pension in Australia - I think it is called an 'Account Based Pension'. The funds are held in a series of managed funds and I receive interest, dividends and when these are traded capital gains/loss each year. I pay several tiers of management fees to both the Fund and my Funds Mamagement company. The Australian Government requires that I draw down these funds annually as a pension. The minimum amount is 5% per tax year, which I draw down on a monthly basis. As I am over pension age I pay no tax within the funds. The funds have performed in such a way that the income from the funds has been eaten up by fees and the Net income is less than the 5% I draw down. The funds remain in australia and are not remitted to the UK. How should I treat this in my UK tax return please?
Posted Fri, 02 Feb 2024 08:16:12 GMT by HMRC Admin 19
Hi,

As it it classed as a pension, this income would be declared to the UK if you are UK tax resident and domciled. You can see guidance here:

Tax on foreign income

Thank you.

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