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Posted Tue, 13 Dec 2022 14:10:15 GMT by Ron
Hi I have clean capital i a foreign bank. I want to put this into a Fixed Deposit in the same bank. I have the following questions; 1. On maturity, if the interest from this FD goes into a separate account and the capital goes into the original account, will the capital still be clean capital. 2. If the interest and capital go into the same original account, will the capital amount still be considered clean capital. Thanks Ron
Posted Thu, 15 Dec 2022 10:55:41 GMT by HMRC Admin 2

We are not sure what you mean by clean capital.  

Income transferred to the UK is taxable in the UK, so interest paid on maturity and transferred to the UK, is taxable.  

The capital element is not taxable, unless it is derived from income arising in the tax year it is brought to the UK.

Thank you.

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