HMRC Admin 32 Response

Hi,

The remittance basis can be used where an individual is UK resident, but is not domiciled. If that persion chooses not to remit income arising outside the UK, while they are UK resident, then it is not taxable in the UK.  

If the income is remitted to the UK in a later tax year, it will be taxable in that tax year. The remittance basis rules change when someone has been resident in the UK for 7 or more of the preceeding 9 tax years.  The individual will lose their personal allowance / annual exempt allowance and be taxed on a fixed sum of £30000.00, plus their UK income and gains. The rules then change if the individual has been resident in the UK for 12 or more of the preceeding tax years. The individual will lose their personal allowance / annual exempt allowance and be taxed on a fixed sum of £60000.00, plus their UK income / gains.  

Finally, once a non domiciled person is resident in the UK for 16 years plus, they become 'deemed domiciled' and become subject to tax on their 'world-wide' income in the tax year that it arises. There are guidance noted on residence, domicile and remittance here.

Guidance note for residence, domicile and the remittance basis: RDR1

Thank you.

Hi,

The guidance at SAIM2420 advises that "interest arising on an account held in joint names of spouses or civil partners, each will normally be taxable on half of the interest, under ITA07/S836. Where, however, their beneficial entitlement to interest (or any other income from a jointly owned asset) is not actually 50:50, they may elect to be taxed on their actual entitlement". 

SAIM2420 - Interest: taxation of interest: joint accounts 

You would need to write to HMRC, to make an election to change from 50:50 to an unequal benefitial share of the interest.

Thank you.
 

Hi,

You should enter the amount plus any basic rate tax relief that is given. You will need to check that the amounts are not deducted from your pay before tax, as there is no further relief due on these contributions.

Thank you.

Hi,

You would not be classed as UK tax resident if out for more than 183 days.

You can find further guidance at:

RDR3 Statutory Residence Test

Please also refer to:

Tax on your UK income if you live abroad

Thank you.

Hi,

What you actually do with the gift is up to you.

Thank you.

Hi suresh Patel,

Interest etc is charged on the arising basis. If you are resident and domiciled or deemed domiciled in the UK, when the interest arises, then this interest is taxable in the UK in the year it arises, whether you remit the interest to the UK or not.  

If you are resident, but not domiciled in the UK at in the year the interest arises, and you do not remit the interest to the UK, then it is not taxable. It will, however, be taxable in the year in which you do remit the interest to the UK.

For more information, you should review the guidance on resident, domicile and remittance, which can be found at:

Residence, domicile and the remittance basis: RDR1

Thank you.
 

Hi,

Please see guidance at on what or how to report.

Remittance basis 2022 (HS264)

Thank you.

Hi JOHN Sheldon,

You will need to contact HMRC Self Assessment team to progress chase your return.  

Self Assessment: general enquiries

Thank you.

Hi CHI HO MAN,

There are no Income Tax implications on the receipt of a cash gift unless the income generates interest or dividends. These would then potentially be subject to tax.

Further guidance can be found here:

Tax on savings interest

Tax on dividends 

Thank you.

Hi jg77,

Any interest in joint accounts will be split 50/50 and the sole account will be 100%. As no income has been received from the property, you do not need to declare this.

You can find further guidance is at:

Tax on foreign income

Thank you.