Remittance basis - property sale

Due to logistical reasons, the full proceeds were initially deposited into a single foreign account. Based on documented advice from my tax advisor, I separated the funds into two accounts—one for clean capital and one for taxable gains—18 days after the initial deposit. My advisor confirmed that this approach would be acceptable if done promptly. My questions are: 1)Would this separation of funds be considered valid by HMRC, given that it was based on professional advice and carried out in good faith? 2) Does HMRC have specific guidance on what timeframe constitutes ""promptly"" in cases like this? No other transactions occurred in the account before the funds were separated, and my intention, as documented, has always been to remit only clean capital to the UK. The 18-day timeframe resulted from ongoing discussions with my tax advisor regarding the calculation of CGT. Thank you for your guidance.ello, I am a non-domiciled individual using the remittance basis for UK tax purposes. Recently, I sold a property abroad, and the proceeds included both clean capital (the original purchase price) and taxable gains (the profit from the sale).

My message got scrambled, with its start appearing at the end. I've corrected it now: I am a non-domiciled individual using the remittance basis for UK tax purposes. Recently, I sold a property abroad, and the proceeds included both clean capital (the original purchase price) and taxable gains (the profit from the sale). Due to logistical reasons, the full proceeds were initially deposited into a single foreign account. Based on documented advice from my tax advisor, I separated the funds into two accounts—one for clean capital and one for taxable gains—18 days after the initial deposit. My advisor confirmed that this approach would be acceptable if done promptly. My questions are: 1)Would this separation of funds be considered valid by HMRC, given that it was based on professional advice and carried out in good faith? 2) Does HMRC have specific guidance on what timeframe constitutes ""promptly"" in cases like this? No other transactions occurred in the account before the funds were separated, and my intention, as documented, has always been to remit only clean capital to the UK. The 18-day timeframe resulted from ongoing discussions with my tax advisor regarding the calculation of CGT. Thank you for your guidance.

My message got scrambled, with its start appearing at the end. I've corrected it now: I am a non-domiciled individual using the remittance basis for UK tax purposes. Recently, I sold a property abroad, and the proceeds included both clean capital (the original purchase price) and taxable gains (the profit from the sale). Due to logistical reasons, the full proceeds were initially deposited into a single foreign account. Based on documented advice from my tax advisor, I separated the funds into two accounts—one for clean capital and one for taxable gains—18 days after the initial deposit. My advisor confirmed that this approach would be acceptable if done promptly. My questions are: 1)Would this separation of funds be considered valid by HMRC, given that it was based on professional advice and carried out in good faith? 2) Does HMRC have specific guidance on what timeframe constitutes "promptly" in cases like this? No other transactions occurred in the account before the funds were separated, and my intention, as documented, has always been to remit only clean capital to the UK. The 18-day timeframe resulted from ongoing discussions with my tax advisor regarding the calculation of CGT. Thank you for your guidance.

Hi,
Please have a look at the guidance at RDRM35000 onwards, regarding mixed funds and clean capital and the remittance basis:
RDRM35200 - Remittance Basis: Amounts Remitted: Mixed Funds
Thank you.