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I'm afraid that still doesn't help. Could you please confirm that, if I DO NOT remit the income to the UK, am non-domiciled, and earn less than £2000 from foreign interest/dividends, I do not need to complete a self assessment?
Dear Admins, Thank-you for the prompt reply, but unfortunately, it does not answer my question, which is: Do I need to file a self-assessment return? I am non-UK-domiciled, and my only income was foreign investment/interest income below £2000, none of which has been remitted to the UK. Does the requirement to file a return if foreign investment income exceeds £300 only apply to UK-domiciled taxpayers? Thanks again,
The Australian Tax Office assumes that, upon ceasing to be a tax resident, a person has disposed of any investments at the then-market rate. That means they are liable for tax on any resulting capital gains for the relevant year, but not subsequently. (Note that this is "deemed disposal", rather than an actual sale of the assets.) If the person becomes a UK tax resident at that time, should the basis for UK capital gains tax be calculated as though those same foreign assets (Australian investments) were purchased on the same day for the same price?
Am I right in thinking that the apparent contradictions are due to some sources assuming the person is being taxed on UK employment income? That is, if I were earning a UK income, I would only need to submit a Self Assessment return if my foreign investment income were >£2000. However, if foreign investments are my only income source, the £300 threshold applies and I need to file a return, even though I'll have no UK tax liability?
Hello HMRC Admins.
I too am confused about seemingly conflicting info on different parts of the HMRC website.
- On the Register for Self Assessment page (https://www.gov.uk/government/publications/self-assessment-register-for-self-assessment-and-get-a-tax-return-sa1), it does state clearly that any foreign income over £300 requires that a self assessment be completed. This agrees with the admins' replies.
- Under "Tax if you’re non-domiciled" (https://www.gov.uk/tax-foreign-income/non-domiciled-residents), it says,"You must report foreign income or gains of £2,000 or more, or any money that you bring to the UK, in a Self Assessment tax return," and "You do not pay UK tax on your foreign income or gains if ... less than £2,000 in the tax year (and) you do not bring them into the UK... If this applies to you, you do not need to do anything." This indicates that *any* foreign income below £2000 does not require Self Assessment, if it's the only source of income.
- The "Check if you need to send a Self Assessment tax return" form (https://www.gov.uk/check-if-you-need-tax-return) asks "Do you need to pay tax on ... Income from outside the UK?" Because my foreign income is from investments/savings and