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Posted Sat, 02 Dec 2023 00:26:22 GMT by
Hi, I have some foreign life insurance policies to be paid annually. The premium is currently paid by my overseas family members. Those policies have not been surrendered yet so I don't have any gain. Question: The premium that paid by my overseas family members, is it categorised as "Gift from family" and required to report to HMRC? Let me recap: No cash transferred to my account/ No gain received as the policies are not surrendered yet. Thank you.
Posted Tue, 05 Dec 2023 15:47:41 GMT by HMRC Admin 32

There is no tax liability in the UK on the payments to your life insurance policy. When the overseas policies mature or are redeemed, you will be given a chargeable event certificate, which will mean that you will need to complete a Self Assessment Tax Return online, declaring the gain in the foreign section.  
Where more that one policy martures or is redeemed in the same tax year, you cannot submit an online tax return. Instead you will need to delcare on a paper tax return (SA100, Sa106), as HMRC will have to work out the tax due to be paid.

Thank you.

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