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Posted Thu, 02 Nov 2023 11:44:20 GMT by
Hi, Looking for clarification on how / whether we need to declare a "life dividend" received from a Foreign life insurance policy on self assessment. The "life dividend" has been generated from an overseas term life policy which has no cash value. The IRS view this as a refund of premiums for essentially not using the policy, and is not taxable in the US.
Posted Fri, 03 Nov 2023 12:09:13 GMT by HMRC Admin 13
Hi As it is not a gain on the life insurance policy, there is no tax UK liability.
Posted Sun, 19 Nov 2023 17:56:16 GMT by
Thanks. I just wanted to confirm that this applied to a foreign policy?
Posted Wed, 22 Nov 2023 14:21:23 GMT by HMRC Admin 25
Hi BritishAl23,
If this is the DDS that you are refering to, yes.
Thank you. 
Posted Wed, 22 Nov 2023 18:31:11 GMT by
No. The "life Dividend" from the term life insurance policy mentioned above is not all related to the US treasury bond that I've separately asked about (DDS). I have sought advise from a tax advisor on the life insurance dividend and they have confirmed it is not reportable as no gain on the policy. Does that match your expectations?
Posted Thu, 23 Nov 2023 16:39:00 GMT by HMRC Admin 10
We do not have the necessary infomation to advise on this matter in this forum.  
You will need to decide whether you take the advice of your tax advisor.
Posted Thu, 23 Nov 2023 20:19:37 GMT by
Respectfully, why did you offer initial advice?
Posted Fri, 24 Nov 2023 16:18:17 GMT by HMRC Admin 10
We can only offer general advice and links to guidance on this forum.
For more specific details you can contact us directly or seek personal financial advise.

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