HMRC Admin 20 Response

Hi Rob,
Article 17(2) of the UK/USA DTA provides the US with the right to tax any Lump Sum payment which is made from a US sourced pension scheme (including IRAs). However, the UK is also permitted to tax the same lump sum payment(s), which is in accordance with Article 1(4) of the DTA. A UK resident, Article 1(4) above permits the UK to tax any US sourced Lump Sum payment received, as if Article 17(2) of the DTA was not in force or applicable – Article 1(4) effectively ‘overrides’ the provision at Article 17(2), and the consequence is that both the UK and USA can tax any Lump Sum payment received from a US sourced pension scheme. 
In these situations, double taxation will occur since both the UK and the USA can tax the same income. However, that double taxation will be eliminated in accordance with Article 24(4)(a) of the DTA which requires the UK (as the country of residence) to provide FTCR to offset the US tax correctly paid against the UK tax charged on the same the IRA withdrawal.                            Periodic, frequent, payments or withdrawals (e.g. weekly, monthly, annually etc.), then those payments would have been taxable within the UK and ‘maybe’ exempt from US tax. This is in accordance with Article 17(1)(a) of the DTA     If you are not a US citizen, then periodic pension payments will be fully exempt from US tax and you should claim a full repayment from the US IRS. However, if you are a US Citizen, you will only be permitted to claim the US version of FTCR, which will offset the UK tax paid against a US tax charge. This is because the US taxes its citizens worldwide income, regardless of where they are resident. So, if you are a US citizen, then Article 1(4) (as outline above) would kick in again and, this time, allow the US to tax any periodic payment received, despite Article 17(1) providing the UK with the sole right to tax. Again, Article 1(4) effectively ‘overrides’ Article 17(1), and the consequence is that both the UK and USA can tax any periodic payments received. 
In these situations, double taxation will occur since both the UK and the USA can tax the same income. However, this time, it is for the US to eliminate that double taxation, since they are the ones invoking Article 1(4).
Thank you.

Hi,
It is the £1000 as it is the total earnings that need to be declared.
Thank you.

Hi,
As the claim would now be late, capital gains would still be due -
CG64500 - Private residence relief: only or main residence: two or more residences: late nominations
Thank you.

Hi,
This forum is for general queries only and is intended to help you self-serve.
We are unable to provide specific advice tailored to individual circumstances.  
As previously advised - Report and pay your Capital Gains Tax
Thank you.
 

Hi,
It is when income is withdrawn from the plan.
You can go back to the 2020 tax year and will need to write in to claim overpayment relief -
SACM12150 - Overpayment relief: Form of claims
Thank you.

Hi, 
You are only due the capital gains exemption in the year the asset is sold.
The guidance you are referring to is to let you know that as executor, you are allowed to claim the allowance for a limited period of time to allow you to finalise the estate.
Selling this year would mean only £3000 exemption is due on any gain made so if any tax is due you still need to report this - Report and pay your Capital Gains Tax.
For any other income received in the period of administration, you can write in with the details.
Thank you.

Hi,
Yes you can report it and you will need the SA100 as well as SA108.
Thank you.

Hi Ben,
There are no income tax implications on the receipt of a cash gift unless the cash gift generates interest or dividends.
These would then potentially be subject to tax.
Further guidance can be found here (Tax on savings interest and Tax on dividends).   
Thank you.

Hi,
No the mortgage is not an allowable cost.
Thank you.

Hi,
Ys, the losses are only accounted for when you need to use them. there is no time limit for them to be used.
Thank you.