CICEROKEI kei
Joined: 10/15/2024
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Remittance basis vs Arising basis for oversea savings with interests
I am paying higher tax rate in UK and become tax resident for 2 years. I have some savings overseas before I become UK tax resident which generated interest in last tax year. The bank, however, did not separate my principal funds and intest into different account. 1. If I choose remittence basis for the interest earned overseas, when I transfer the money from the account into UK, will the whole some of money charged with higher tax rate? (they become mixed fund). 2. If I choose arising basis and pay the tax for the interest earned overseas. Will there be any tax generated for the money transferring into UK in the future?