JF

When you say "the link," are you referring to the section I just quoted in my most recent message? Do I need to report tax free payments on a Self Assessment?

Hello, I am clarifying this post from a few months ago as your response "conditions mentioned in the link" is ambiguous (I'm not sure which link you are referring to). To recap - I am an American citizen with no ties to the UK. In 2021 and 2022, when I was a US tax resident working in the US, I paid tax-free premiums on a private sickness disability insurance policy. In late 2022 I became disabled and have been receiving payments from that plan ever since. Because I didn't pay tax on the premiums that were paid in 2021 and 2022, the monthly payments I now receive from the plan are taxed in the US. When I relocate to the UK will those payments be taxable to the UK? Or are they exempt under IPTM6110, which states: Scope of the exemption: ITTOIA05/S735 Payments received from an insurance policy are exempt from tax if - the insured person (see below) did not receive income tax relief for the premiums paid for the policy: this means UK income tax, so the exemption is still available if relief has been given outside the UK against foreign taxes - the policy insures against a qualifying health or employment risk - IPTM6115 - the payments are made during the qualifying period - IPTM6115, and - the policy is a genuine insurance policy issued on arm’s length terms (see below). To me, it seems clear that they are exempt from UK tax and I should just continue paying taxes on them to the US, but your last response was confusing, so I want to confirm. Secondly, if they are exempt from tax, do I need to report them on a Self Assessment?

It isn't a pension scheme, it's a sickness disability policy, which is why I believe IPTM6110 applies, not the provisions on pensions. I was not resident at any point in time when the premiums were paid. So, to confirm, this means I did NOT receive income tax relief for the premiums and the payments are therefore exempt from tax? Thank you.

Thank you, I have read these sections extensively. Since I was not a UK resident or paying UK taxes at the time the premiums were paid, does that mean I did not receive income tax relief for the premiums? If this income is not taxable, do I need to declare it on a self-assessment?

Hello, Yes I have read every section of the tax code I can find. My rent alone will likely be £24,000. I am happy to provide my tenancy agreement and receipts of everything I spend money on while in the UK, but I do not want to spend my foreign income on things that won't fall under this category. How am I supposed to know what will be counted as "maintenance" unless HMRC explains this ahead of time?

Is there guidance or a list of what specifically is considered maintenance other than food and rent? For example, healthcare costs, transportation, pet supplies, buying clothes or household items when I arrive such as furniture, pots and pans etc.

Hello, thank you for your response. Does that mean I have to file a self assessment?

I have this same question except my private disability insurance is an American policy, paid with money earned in the US long before I moved to the UK. The HMRC guidance says in order for my disability pay to be exempt from tax, I must not have received Income Tax relief for the premiums paid for the policy. I did receive income tax relief in the US, and because of this I pay tax on the payments in the US. However, I did not receive tax relief in the UK because I was not living here when the premiums were paid and therefore not paying or liable for UK taxes. I have two questions: 1) Are my payments exempt from UK tax in this case? 2) If so, do I have to declare them on a self-assessment or no, since they are not taxable?

I will be coming to the UK from the US in September as a full-time student for one year. I have foreign income from a previous employer (U.S. based) that I receive on a monthly basis into a U.S. bank account. Based on the US-UK tax treaty it's my understanding that I will not have to pay UK tax on any of this income that I bring into the UK as long as it's used for my living and educational expenses. Is there a limit on what my expenses can be? I am an older person with a lot of healthcare expenses, for example, and my rent will likely be higher than a young person sharing with many flatmates as I plan to live alone. Do I have to declare the foreign income and my exact expenses? And if I don't bring some of my income into the UK, will I owe tax on that or can I claim the remittance basis?