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Posted Wed, 24 Jul 2024 11:18:50 GMT by Aviv Shany
Hello, I'm a tax resident in the UK and have received interest income from a savings account in a foreign country in the past tax year. In that country 20% tax rate has been deducted at source by the bank, while I'm in a higher tax band in the UK. I have two questions on this: 1. Is it possible to account for the tax that was already deducted at source (assuming the countries have a tax agreement) and only pay the remaining 20%? 2. How can I report it in my self assessment tax return? Thanks!
Posted Fri, 26 Jul 2024 05:46:37 GMT by HMRC Admin 25 Response
Hi Aviv Shany,
You report this in the foreign section of the tax return and you can claim Foreign Tax Credit relief for the tax paid abroad.
Please see guidance here:
Relief for foreign tax paid (Self Assessment helpsheet HS263)
Thank you. 

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