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  • RE: When a clean capital becomes a mixed fund

    I have just relocated to UK. I have an overseas savings account with a bank, which I plan to make it as my clean capital account. The clean capital account generates monthly savings interest. I plan to transfer the exact interest amounts received to a separate income account with the bank. Here are my questions; 1. Does my manual transfer of savings interest from the clean capital account keep my account clean, i.e. I will be able to transfer the fund out of the clean capital account to UK without any tax consequence? 2. I have mistakenly sent £50 out of the clean capital account to UK, which included £1 savings interest generated after my arrival in UK. This was because I have missed my manual transfer of interest to my income account. Do I need to do the self assessment to include the £1 remitted interest? Or, is the £1 considered as exempt property for taxation on remittance? I estimated my savings interest and other foreign income/gains would be less than £2,000 for this coming tax year. Thanks.