I need to complete a self-assessment tax return for income from foreign property and foreign dividends. I am a UK resident for tax purposes. I have started filling my return in on the online portal and have entered my after tax dividend income in GBP (515) into the 'Dividends' section in this box: Foreign dividends (up to £2,000) (do not include this amount on your foreign pages). Enter the amount in sterling after foreign tax was taken off: (optional)
Question 1. I understood that foreign dividends up to £2,000 were not taxable, is that correct?
Question 2. If that IS correct (that foreign dividends up to £2,000 aren't taxable) - I'm not sure why but in my tax calculation it has included my dividend income with my other taxable income (rather than listing it separately as higher band at nil rate - 515 x 0% like last year).
Please could you help me with this?