Bringing all my money back to UK in the form of Bankers Check.
#31
BE Vendor - Finance Specialist
Joined: Apr 2014
Posts: 48
Re: Bringing all my money back to UK in the form of Bankers Check.
Hi Editha, if you always get the best rate from FirstDirect that is fantastic! The currency exchange company I use always beats my banks rate, hence my statement..
With regards to the TAX, Michali is correct, any interest accrued is liable to tax, I also pointed out that depending on the amount it is worth going down the offshore route, there are facilities that are available offshore that are extremely beneficial. It all depends on the amount of money being transferred.
With regards to the TAX, Michali is correct, any interest accrued is liable to tax, I also pointed out that depending on the amount it is worth going down the offshore route, there are facilities that are available offshore that are extremely beneficial. It all depends on the amount of money being transferred.
Last edited by CraigM; May 5th 2014 at 7:47 pm. Reason: error
#32
Re: Bringing all my money back to UK in the form of Bankers Check.
That is correct. The first independent financial advisor I spoke to shortly after returning in 2006 kept going on about how I would have to pay tax on all of the savings I was bringing into the country. He had me panicking I would lose 20% of my savings. At some later date I realised I would only pay tax on interest. That's why I would never use an IFA.
Last edited by dunroving; May 5th 2014 at 7:47 pm.
#33
Re: Bringing all my money back to UK in the form of Bankers Check.
My understanding is that there is a tax convention between the USA and the UK preventing double taxation. That means that if someone brings in money from the USA when they become resident in the UK, it will not be taxed, since it has already been taxed in the USA.
Obviously, if they then deposit the money in a UK savings account and it accrues interest, the interest will be taxed in the normal way.
Obviously, if they then deposit the money in a UK savings account and it accrues interest, the interest will be taxed in the normal way.
#34
Re: Bringing all my money back to UK in the form of Bankers Check.
Hi Editha, if you always get the best rate from FirstDirect that is fantastic! The currency exchange company I use always beats my banks rate, hence my statement..
With regards to the TAX, Michali is correct, any interest accrued is liable to tax, I also pointed out that depending on the amount it is worth going down the offshore route, there are facilities that are available offshore that are extremely beneficial. It all depends on the amount of money being transferred.
With regards to the TAX, Michali is correct, any interest accrued is liable to tax, I also pointed out that depending on the amount it is worth going down the offshore route, there are facilities that are available offshore that are extremely beneficial. It all depends on the amount of money being transferred.
#35
Re: Bringing all my money back to UK in the form of Bankers Check.
My understanding is that there is a tax convention between the USA and the UK preventing double taxation. That means that if someone brings in money from the USA when they become resident in the UK, it will not be taxed, since it has already been taxed in the USA.
Obviously, if they then deposit the money in a UK savings account and it accrues interest, the interest will be taxed in the normal way.
Obviously, if they then deposit the money in a UK savings account and it accrues interest, the interest will be taxed in the normal way.
#36
Re: Bringing all my money back to UK in the form of Bankers Check.
If I'm resident in Canada and have an income of $100,000 taxed at 20% (fictional rate), when I move to the UK taking my 100,000 with me, they won't take another 20% off because I would have paid 40% in the UK.
#37
BE Vendor - Finance Specialist
Joined: Apr 2014
Posts: 48
Re: Bringing all my money back to UK in the form of Bankers Check.
Again the benefits all depend on the amount of money being transferred...
#38
Re: Bringing all my money back to UK in the form of Bankers Check.
To be honest there would be no benefit to me as an adviser, it's up the individual to research it himself. I do not work in the UK or US.. I was just passing on my knowledge and trying to help out..
Again the benefits all depend on the amount of money being transferred...
Again the benefits all depend on the amount of money being transferred...
#39
Re: Bringing all my money back to UK in the form of Bankers Check.
At the point at which you earn it, possibly, but moving previously taxed money between the US and the UK, or vice versa does not, in and of itself, create a tax liability.
#40
BE Vendor - Finance Specialist
Joined: Apr 2014
Posts: 48
Re: Bringing all my money back to UK in the form of Bankers Check.
We are not a bank, so we can assist with the set up off offshore bank accounts and yes, we do not charge the individual for this benefit.
The facilities I was talking about however, are not bank accounts, they would be Open Architecture Personal Portfolio Bonds, these are usually used with high net worth individuals, and can be used for mitigating future tax liabilities using the tools available within the structures, again depending on the amount invested, and depending on the country of residence of the individual, they can also be used for Inheritance tax planning, and estate planning, among other things.
I would not be able to advise the OP, as being in the UAE we do not fall under the FCA in the UK. Therefore no monetary benefit to me as an individual.
I was merely trying to give some advice, which I am now quickly regretting on doing.
#41
Re: Bringing all my money back to UK in the form of Bankers Check.
I don't think that is correct Dunroving. It certainly isn't for the UK/Canadian treaty.
If I'm resident in Canada and have an income of $100,000 taxed at 20% (fictional rate), when I move to the UK taking my 100,000 with me, they won't take another 20% off because I would have paid 40% in the UK.
If I'm resident in Canada and have an income of $100,000 taxed at 20% (fictional rate), when I move to the UK taking my 100,000 with me, they won't take another 20% off because I would have paid 40% in the UK.
It dependson where you aare resident for tax purposes, which country/ies you are citizens of.
#42
Re: Bringing all my money back to UK in the form of Bankers Check.
Yes, it is all tied in with timing of the gain, residence for tax purposes and citizenship (if you have US citizenship, for example). I was just clarifying that the dual taxation treaty doesn't mean you will only pay tax in one country. It just means you won't pay the "same" tax twice.