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Posted Tue, 31 May 2022 11:15:28 GMT by Willy Choy
Dear Sirs, I hold a few life insurance and saving insurance policies in HK. Part of the insurance premiums paid are coming from Premium Financing loans that are provided by banks and so need to pay interests on a monthly basis. After coming to Scotland by using BNO visa later, I will surrender it and get back a return and expect that it will be deemed as an income when i report my income tax assessment. Nevertheless, can I deduct the interest expenses first when assessing on the income tax please? Thanks for your advice.
Posted Wed, 01 Jun 2022 11:54:24 GMT by HMRC Admin 26

No, you cannot deduct the interest as expenses.

Thank you.
Posted Mon, 06 Jun 2022 09:34:58 GMT by Willy Choy
Thanks for your kind reply. Nevertheless, the Premium Financing tool is part of the investment when purchasing this insurance policy. If the gross return cannot be deducted the interest expenses when calculating the income tax, my net return will be a negative return after paying the tax, hence can HMRC consider the case in whole structure rather than just looking at the gross return of the insurance policy? Thanks for your advice again.
Posted Tue, 07 Jun 2022 12:56:13 GMT by HMRC Admin 17

No   .

Thank you.

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