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Posted Fri, 26 Jan 2024 17:28:03 GMT by
I live in the UK and am tax residence in both UK and South AFrica. I receive a monthly amount from my South African pension fund in Rands which I then transfer to my UK bank account (in pounds). I submit a tax return annually to South African Revenue Servies and pay South African tax on the monthly remuneration from my pension fund. When I complete the self assessment in the UK do I show under foreign income the monthly amount I receive? And can I deduct on the self assessment the amount (in pounds) of tax I pay in South Africa on this monies?
Posted Wed, 31 Jan 2024 07:53:43 GMT by HMRC Admin 25
Hi SherryCoate,
Yes, you need to declare the income from South Africa on the return, you can claim Foreign Tax Credit Relief for the foreign tax paid.
Tax on foreign income
Thank you, 
Posted Wed, 31 Jan 2024 08:37:45 GMT by Clive Smaldon
Im a tax acct, not HMRC. HMRC, This is incomplete...if a UK treaty resident. Under the DTA South African pensions are taxable ONLY in the county of treaty resdience (the person asking the question needs to determine which country has treaty residence as they are statutorily resident in both). If treaty reasident in the UK you cannot claim the tax paid in South Africa, the South African pensions should be paid gross (you need to complete forms RST01 and RST02 send to HMRC, get certificates of tax resdience in the UK, get HMRC to certify the forms) then send to South Africa for the tax to be repaid in South Africa. HMRC will disallow the tax credit eventually as claimed, it is not claimable in the UK as the pensions are ONLY taxable in the UK under the DTA for UK residents. If the person is treaty resident in South Africa then the pensions and tax do not go on Self Assessment forms.
Posted Wed, 31 Jan 2024 18:00:02 GMT by
Thanks

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