Transferring personal money to UK

Hello, I have a bit of savings back in my home country which I would like to bring over to the UK to help purchase my first home. I would have to bring about £40k, will I have to pay tax on this money? (This money has been in a savings account for a few years now, all tax has been paid in my home country and I would not like to pay again).

Hi,
 

There would be no income tax implications on this unless you have previously claimed the remittance basis on this income that you are now bringing into the UK. If the money generates any interest in a bank however, this would be reportable for tax purposes. Thank you.

Hi, Thanks for the fast response. Am I right to assume I can just transfer my offshore savings to my UK bank and wont need to do anything else? (such as self assessment)

Hi,
 

For income tax purposes, yes this is all you would need to do. As advised though, if you have previously not delared this income to us due to the remittance basis then t his will become taxable when brought into the UK.

Thank you.

Hello, I am in the same situation. I want to buy my first home and have savings which I want to transfer to UK account. I am not sure if I understood if I would need to pay any taxes. Could you please explain this sentence: if you have previously not declared this income to us due to the remittance basis then this will become taxable when brought into the UK. What does it mean remittance basis? As money which I have was not my income but it was a gift from my parents and my savings I did not declare it in the UK. All taxes were paid in my home country. Thanks Indre

Hi,

As a UK resident, any foreign income earned while a UK resident generally needs to be reported to the UK unlss you are non domicile. In theses cases you can defer reporting the income until it is brought into the UK.

Gifts of money would not need to be reported for tax purposes. Any interest gained on the amount would however have been subject to UK tax. 

Thank you.

Thanks also for the reply above. I also have a question, what if I have had this money before being a UK domicile? What I mean is, I am not working outside the UK, all the money I have kept at my home country is from my past earnings. What should I do in this case?

Hi,
 

If this is money you had before becoming UK resident for tax purposes then you can bring in that money without any tax implications. Thank you.

As a British citizen who is both non-dom (I believe) and non resident, if I transfer money from offshore to invest in the UK, is this subject to any UK tax? The funds are held in an EU country but I am resident in a Latin American country, where I pay tax Some years, I do have to complete a UK tax return as a non-resident

Hi SteveL55,

If the income is actully in the UK you might need to do a Self Assessment tax return. 

See further guidanc here :

Tax on your UK income if you live abroad.





 

I am a British Citizen currently living and working in Japan. I have a small amount of rental income in Japan having rented out my Uk residence. I need to send money from Japan to the Uk to pay my mortgage and send money to my children. I have paid income tax in Japan on this money. Is there a tax consequence to transferring money to the Uk?

Hi,

As the property being let is in the UK and under article 6 of the UK/Japan double taxation agreement, the income from this property is taxable in the United Kingdom.  

UK/Japan Double Taxation Convention

You are a non resident landlord and should be completing Self Aassessment tax returns each year. You can see more information here:

Check if you need to send a Self Assessment tax return

You may also have to pay tax on the property in Japan. If that is the case, you claim a tax credit for the tax paid in the UK and thus avoid double taxation.  

HMRC is currently running a let property campaign, allowing disclosure relating to the past tax years:

Let Property Campaign: your guide to making a disclosure

There are no Income Tax implications arising from the transfer of money to the UK.

Thank you.