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Posted Wed, 18 Oct 2023 10:47:04 GMT by Lucy
Hello, Do I pay tax OR have to declare money I receive from abroad as a loan from a friend? Thanks
Posted Fri, 20 Oct 2023 13:33:15 GMT by HMRC Admin 25 Response
Hi Nancy A,
There are no Income Tax implications on the receipt of a cash gift unless the cash gift generates interest or dividends.
These would then potentially be subject to tax.
Further guidance can be found here:
Tax on savings interest
and
Tax on dividends
There is no restriction on the amount that can be received.
Thank you. 



 
Posted Fri, 20 Oct 2023 14:07:51 GMT by Lucy
THANKS FOR YOUR ANSWER. To double-check, this amount won't be a gift. It is a load and I have to pay it back later. Does this change anything? Thanks
Posted Thu, 02 Nov 2023 12:11:51 GMT by Lucy
Thanks for the information. Could you please clarify if I am legally required to declare gifts to HMRC? if yes, how? and would they require evidence that the amount was a gift, if yes, what kind of evidence? Thanks
Posted Thu, 02 Nov 2023 17:36:03 GMT by HMRC Admin 25 Response
Hi Nancy A ,
You are not legally required to declare gifts to HMRC, that you receive.
But for Inheritance Tax purposes, there is a set of critieria that need to be considered for gifts that you make.
How Inheritance Tax works: thresholds, rules and allowances Skip to contents of guide Contents.
Thank you. 

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