HMRC Admin 25

Hi MalcUnited 2204,
In general, interest arising in the UK and paid to a resident of Canada, is taxable in Canada.
However, the double taxation agreement also gives the UK tax ation rights, depending on the circumstances.
Please have a look at article 11 to help you reach a decision.
CONVENTION BETWEEN THE GOVERNMENT OF THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND AND THE GOVERNMENT OF CANADA FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME AND CAPITAL GAINS
Thank you.

Hi David O'Neill,
You will need to register for Self Assessment as self employed:
Set up as self-employed (a 'sole trader'): step by step
So that Class 2 and Class 4 National Insurance can be applied to your profits.
As this is a one of consultancy, you will need to contact HMRC at 0300 200 3310 or via webchat at:
Self Assessment: general enquiries
To confirm that your self employment has ceased and that no furture tax returns are required.
Thank you. 

Hi Carolyn gong,
You can choose which is more beneficial to you.
You may lose entitlement to allowances depending on your level of income.
See further guidance at:
RDRM32040 - Remittance Basis: Accessing the remittance basis: Claiming the remittance basis: Loss of Personal Allowances and the Annual Exempt Amount
Thank you. 

Hi Jonny001,
We are unable to advise whether your costs are allowable.
Please have a look at CG15250, which advises of the allowable acquisition and disposal costs.
Only if your costs meet the requirements contained on the guidance, would they be allowable.
CG15250 - Expenditure: incidental costs of acquisition and disposal
Thank you. 

Hi David Orr,
Aricle 11 of the UK Canada double taxation treaty, has no guidance or condition to show that this type of savings account would be exempt from UK tax.
There is no relief in the UK on any interest/gains arising in the account.
These will need to be declared accordingly.
CONVENTION BETWEEN THE GOVERNMENT OF THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND AND THE GOVERNMENT OF CANADA FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME AND CAPITAL GAINS
Thank you. 

Hi simon gordon,
As a resident in the USA, with a UK pension.
The pension is not taxable in the UK, but will have tax deducted until we process the validated form mentioned below.
You will need to print off the form here:
Double Taxation: UK-USA (SI 2002 number 2848) (form US-Individual 2002)
Complete it, sign and date it and send it to the IRS.
They may charge you a fee for this.
The IRS will validate the form and send it directly to HMRC.
 HMRC can then ensure that any tax deducted from your UK pension is repaid to you.
The full amount pension received, will be taxable in the USA, if it is taken "periodically at stated times", eg. monthly.
The 25% rule you mention, only applies to lump sum withdrawals from your pension, which would be taxable in the UK.
We cannot advise you on US state or federal taxes.
You will need to seek guidance in this area elsewhere.
Thank you. 
 

Hi YEUNG,
Please have a look at the guidance at CG78310, regarding foreign currency - assets acquired or sold for currency.
You may find there is a capital gain arising when you sold the shares and converted the dollars to sterling.
CG78310 - Foreign currency: assets acquired or sold for currency
Thank you. 

Hi heines Dan,
Please note that a P85 is not the correct form for pensions and cannot be used.  
As you are resident in the USA and have commenced receipt of a UK pension, the pension is by default, taxable until we can advise the provider to apply a 'NT' (no tax) tax code, that ensures no tax is deducted from your pension.
To resolve this, we require the DT indiviual form for the USA to be validated by the IRS.
Double Taxation: UK-USA (SI 2002 number 2848) (form US-Individual 2002)
You would need to print off the form and complete it, declaring your pensions, then send it to the IRS (they may charge a fee for this).
The IRS will then send it directly to HMRC, who can then use the validated form to prevent tax being deducted and refund any tax already paid.
If you have already done this, then you can progress chase your form by calling +44 13 5535 9022 from overseas or via webchat at:
Self Assessment: general enquiries
Monday to Friday: 8am to 6pm Closed on Saturdays, Sundays and Bank Holidays).
Thank you. 
 

Hi Stephanie Duprat,
The costs of the real estates agent, who is managing your rental property, can be set against the gross rental profits.
The estate agents costs incurred in disposing of a property would be set against the capital gain.
Thank you. 


 

Hi Yoko,
Please refer to:
If you no longer need to send a tax return
Thank you.