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Posted Tue, 04 Oct 2022 20:50:41 GMT by Ph89
Hi, i have invested in a friend's property abroad in India and he is going to send me £250,000 via bank transfer from his Indian bank account.. he will have to pay transaction fees etc but do I need to notify HMRC if this is from a sale of a property but i had no affiliation with to begin with?? Will i have to pay any tax for recieving my money back????
Posted Tue, 11 Oct 2022 12:47:56 GMT by HMRC Admin 19

If your name is on the title deeds for when the property was purchased, yes, you will need to declare any capital gain. If the money was a gift that is now being returned then no.

Thank you.
Posted Mon, 05 Jun 2023 14:54:29 GMT by Ph89
Hello, further to the above - I am receiving £430,000 so again - I have no affiliation with the sale of the property as I have only 'invested' so will I still be liable to pay tax on this??? The money was essentially A gift that is now being returned back.
Posted Wed, 07 Jun 2023 15:18:12 GMT by HMRC Admin 20
Hi Ph89

As it has been classed as an investment, and the moeny you are receiving is somewhat higher than invested, this would be seen as peer to peer lending and tax would be due on the difference - see guidance at Peer to peer lending.

Thank you.


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