Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Fri, 02 Jun 2023 20:39:20 GMT by Michael W
I am a UK citizen and recently received a notification from HMRC asking me to review my foreign income. I lived and worked in the US where I contributed to a 401k account. When I returned to the UK in 2020 I withdrew my full balance from the US pension and paid US tax. I did not declare this as income to HMRC on my self assessment as I believe it was not taxable based on Article 17 Statement 2: Notwithstanding the provisions of paragraph 1 of this Article, a lump-sum payment derived from a pension scheme established in a Contracting State and beneficially owned by a resident of the other Contracting State shall be taxable only in the first-mentioned State. My question is should I have declared this and is it subject to tax in the UK?
Posted Wed, 07 Jun 2023 10:10:48 GMT by HMRC Admin 19

If you have a pension that is not taxable in the UK because of a Double Taxation Agreement (DTA), full details of the pension payer, pension and relevant DTA should have been shown in the ‘Any other information’ box on your tax return.

Thank you.
Posted Wed, 07 Jun 2023 20:59:18 GMT by Michael W
Thanks to confirm do I owe tax on the pension amount? I’ve been sent a letter from HMRC with the following options: 1. I need to bring my tax affairs up to date. I will declare all my outstanding UK tax using H M R C ' s WorldwideDisclosureFacility. 2. I have not declared my overseas income and/or gains as they are covered by personal allowances or reliefs. 3.I have not declared my overseas income and/or gains as they are not liable to UK tax Please can you help me proceed?
Posted Fri, 09 Jun 2023 15:33:50 GMT by HMRC Admin 10
You will need to contact the telephone number provided on the letter as it is a specialist team that are dealing with you.

You must be signed in to post in this forum.