HMRC Admin 5
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RE: Do I need to cancel the first Junior ISA account?
Hi
You should check with the ISA providers, whether they would accept you opening a new junior ISA, if you closed the unused original.
Please also have a look at Junior ISAs for ISA managers
Thank you -
RE: Pension contribution / higher rate tax / annual allowance
Hi andrewd8323
No. Claiming personal pension relief will increase the income taxable at 20% and reduce your income taxable at your highest rate by the same amount.
This could have the effect of restoring personal allowances or a proportion of them.
Thank you
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RE: Trading/investing in shares with a share ISA full time
Hi
All profits or gains from an ISA are tax free and do not need to be declared.
Thanks -
RE: Transferring Property As a Gift
Hi
Capital gains tax is paid on gains arising from the disposal of asset(s) for more that they were acquired for, after costs are taken into consideration.
Private residence relief can be used to offset the chargeable capital gains where the property was your main residence. Please have a look at the guidance on stamp duty at Stamp Duty Land Tax, as it may still be payable, evenif you only have one property.
Thank you -
RE: Inheritance tax implication of gifting part of a shared ownership property
Hi
If you gift the property someone other than your spouse or civil partner, you may be subject to capital gains tax on the disposal. Whether you can still use the property is not a tax matter. It is up to the properties owners.
Thank you -
RE: Creation of Leaseholds From a Freehold
Hi Steve L
We can only provide general information/guidance in this forum.
For an answer to a question of this nature, you would need to contact our self assesment helpline on 0300 200 3310, contact our webchat facility at Contact HMRC or seek professional advice.
Thank you -
RE: USA Traditional IRA Distribution / Withdrawal
Hi
A traditional IRA, is not recognised in the UK as a pension schemee, but as a savings account and monies taken from the IRA is treated as interest arising from a savings account.
The traditional IRA is taxable in the USA, since payments into the account receive tax relief given to the individual by the employer.
This means that money taken out of the IRA, whether as regular payments or as a lump sum, is taxable in the UK and is reported as overseas interest in the foreign section of the tax return, when you are resident in the UK.
In the foreign section of the self assessment tax return SA106, you declare the income from the IRA. There is no US taxation if the pension is subject and liable to UK tax.
If US tax is withheld, then the individual, should seek a refund of this tax (file a form 1040NR). HMRC will not give a credit for this tax against any UK tax charged on this income.
Thank you -
RE: Do I need to submit self assessment?
Hi PT Yu
Split year treatment is not automatically given. You will need to review the guidance on split year treatment to determine that is available to you, based on your circumstances.
If split year treatment does apply, you need to claim it through a self assessment tax return.
If it does not apply, then you need to declare your world-wide income for the whole tax year in a self assessment tax return, where you have income or capital gains from overseas.
Thank you -
RE: Can we back pay into pension to reduce tax?
Hi
No. Tax relief is only available in the tax year in which the pension payment is made. You cannot carry it back.
Thank you -
RE: Child benefit- what type of pension is deductable
Hi 1556849
Up to £30k of redundancy pay is tax-free. Any amount over this is classed as taxable income, and added to your Adjusted Net Income when calculating Child Benefit.
If your taxable income is over £60K in 23/24, you would be due to repay the full amount of Child Benefit received.
Other factors may affect your individual calculation, though - for more advice, contact our Child Benefit department on Child Benefit: general enquiries
Thank you