inheritance tax on cash from parents based overseas

Hi there, I am a UK resident, a relative overseas passed away and left money for me. It has all been processed under the country's tax law with the executor. When the money is transferred to my UK account, do I pay tax or need to claim on a self-assessment tax return? Thanks

Hi gvenn1

You do not need to declare the actual capital that you have received. You will need to report any dividends or interest that this then generates as taxable income.

Thank you

Hi, my husband (Polish Nationality with RTR) inherited property from his mum. Inheritance in Poland are tax free. We are selling the property and would like to buy property here. do we have to pay taxes of this? what is the best course of action? Thank you

Hi
You dont pay inheritance tax but as selling the property, capital gains is likely to be due:
Tax when you sell property

Hi, My father who is not a UK citizen, moved to the UK a couple of years ago and applied for aspouse visa (my mother is a UK citizen) which he received. My father has property outside the UK, which he inherited years before becoming a UK resident, as well some savings account,s which were opened when he was working outside UK, before moving to the UK. Are these assests, which are outside the UK, belonging to my father before he become a UK resident, liable for inheritance tax?

Hi,

Inheritance Tax is a tax on the estate (the property, money and possessions) of someone who’s died. A UK domiciled individual is liable to inheritance tax on his worldwide assets. Individual's who are not domiciled in the UK, are only liable to inheritance tax on assets situated in the UK

You can find guidance on how to value an estate below, which includes a calculator to help work out of inheritance tax is payable.

How Inheritance Tax works: thresholds, rules and allowances

Thank you.

My widowed parent has lived and owned property in France for 20 years. She has French and British bank and saving accounts, what happens to her British accounts upon her death. Where will the tax be paid? Could she convert to a joint account with a British relative to avoid this?

Hi, I wonder if you can help. My siblings in Iran are about to dispose of my late father's assets. They wish to send me my share to my UK bank account. Are such funds subject to UK inheritance Tax ? For your information , I was born in Iran but have lived here since 1974. Thank you.

Hi PK Myers
When a resident of France passes away, the deceased individual's  tax affairs are entirely a matter for the French tax authorities.
HMRC does not provide tax planning advice, so I am unable to comment on your mother's bank account  arrangements.

Hi Farokh
Please note we do not deal with Inheritance tax queries on this forum.  
You can contact the Inheritance helpline on 0300 123 1072.

Hi, The IHT applies on UK based assets. Are stocks, shares classified as assets? Does IHT also apply on non-UK domiciled ETFs held by UK investors? May I know how does it work for UK citizen who is not living in the UK over that last 15 years? Thanks a lot.

Hi,

Please contact the Inheritance Tax team for advice.

Inheritance Tax: general enquiries

Thank you.

Hi there, Hope you can assist. I'm a UK citizen, my father (Italian citizen) passed away two years ago. I inherited a property and some money he left me, which was all taxed locally at the time and sits in a local bank account in my name. He also left some investments, which have all been transferred to me. 1) do I need to declare these investments even though I haven't yet made any gains from them? 2) I would like to start renting out the property next year, how do I declare this? Many thanks!

Hi ,
 

For the investments, you would only be declaring any interest or dividends they have generated whilst they are in your bank account. This also applies to the capital received and will be declared as foreign income. For the property, you will need to register for self assessment in order to declare this along with any interest that has been received - : Tax on foreign income  . Thank you .

My parents passed away and left me inheritance, they lived and were residents in Brazil. We paid all the local taxes in Brazil and they left me some cash from a property sale which I will receive shortly and a property that will be passed to my name. I aam residend in the UK. For now I will be receiving the income from the rental of that property and I'm aware that I have to declare and pay tax on it. DoI have to declare or pay any tax on theinheritance cash I will receive? And in the future, if I sell the other property, will I have to pay UK tax on it? Thanks,

Hi
You do not need to declare the cash received as part of the inheritance.
You will need to declare the rental income you receive and if you sell the property, you will need to report this as a capital gain for any increase in value from the date inherited to the date sold.