Euro's from Irish bank to UK bank - Tax implications
Discussion
On the transfer itself - none.
The question I would ask is, how did the individual acquire the balance in the Irish bank account in the first place?
If it was due to earnings from work done or income from investments or capital gains AND the individual was a UK tax resident at the time the money was received - THEN there could be UK tax implications.
The question I would ask is, how did the individual acquire the balance in the Irish bank account in the first place?
If it was due to earnings from work done or income from investments or capital gains AND the individual was a UK tax resident at the time the money was received - THEN there could be UK tax implications.
Eric Mc said:
On the transfer itself - none.
The question I would ask is, how did the individual acquire the balance in the Irish bank account in the first place?
If it was due to earnings from work done or income from investments or capital gains AND the individual was a UK tax resident at the time the money was received - THEN there could be UK tax implications.
Mmmmmmmmm? I think the relative recieves it as a pension from employment when in the Irish Republic. She is now resident in the UK.The question I would ask is, how did the individual acquire the balance in the Irish bank account in the first place?
If it was due to earnings from work done or income from investments or capital gains AND the individual was a UK tax resident at the time the money was received - THEN there could be UK tax implications.
I assume she is subject to Irish tax being deducted at source on it then.
As she is now a UK resident, she is technically subject to UK tax on this income. However, she will receive a credit for any tax she has already paid in Ireland.
It looks to me that she should be considering completing a UK Self Assessment tax return.
As the basic capital in the bank was accumulated when working and living in Ireland, there would be no UK tax liability arising on the transfer of that cash balance into a UK bank account. Once the money is in a UK bank account, she will be liable to UK tax on the interest she receives on that interest.
As she is now a UK resident, she is technically subject to UK tax on this income. However, she will receive a credit for any tax she has already paid in Ireland.
It looks to me that she should be considering completing a UK Self Assessment tax return.
As the basic capital in the bank was accumulated when working and living in Ireland, there would be no UK tax liability arising on the transfer of that cash balance into a UK bank account. Once the money is in a UK bank account, she will be liable to UK tax on the interest she receives on that interest.
susanq said:
Thanks for your help. It looks as though the relative will get stung for UK tax as she has accumulated this whilst being resident in the UK.
Not necessarilly.If it was accumulated in Ireland, was it subject to Irish tax?
In fact, if she was a UK tax resident WHILST she earned this income, then she is already under a legal obligation to declare that income to the UK authorities now.
a similar question....
we have now sold a property in france--no CGT liability due to number of years we've owned it.
we'd like to transfer some of the money to the UK where we've lived again & paid tax since 2002.
Will CGT be due on this money?
What is the best legal way of minimising any tax due?
we have now sold a property in france--no CGT liability due to number of years we've owned it.
we'd like to transfer some of the money to the UK where we've lived again & paid tax since 2002.
Will CGT be due on this money?
What is the best legal way of minimising any tax due?
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