Inheritance and banking
 

Hello

I am British born but now I am a permanent resident and citizen of USA. I am about to inherit about £100k and would prefer not to bring the money over to the states.

Instead, I would like to put it in a UK bank account that I could share with my UK based brother. However, because I don't reside in the UK this is looking like it might be difficult.

Could anyone advise me how I might do this and what sort of account I should be looking for. It doesn't have to be a current account or an account with many features.

tia

Re: Inheritance and banking
 

I think you mean simply that you live in the US... because you can't actually be both a permanent resident and a citizen at the same time. From an immigration POV, you're either one or the other... but never both.


If it's in the UK, that money will also complicate your tax reporting each year - perhaps beyond your sanity's ability to cope!

My advice, split the money and transfer your share to the US.

Ian

Re: Inheritance and banking
 

Yes, This is relevant. If you dont file properly under FBAR and/or FATCA you could land yourself with a penalty from the IRS. If you hold the $100k in your name overseas you have form 8938 to deal with.

Re: Inheritance and banking
 

In reading other threads on this forum I believe the only tax to be paid would be UK inheritance tax and there is none for this amount. However, yes, I do have to declare it even though there is no tax to pay.

My motivation for not moving the money to the US isn't tax avoidance. It is is because I may invest it in the UK so would like to avoid the currency round trip headache.

How do I legitimately park the money in the UK?

Re: Inheritance and banking
 

It is not a question of legitimately parking it in the UK, you can. Your problem will be a practical one of opening a bank account when you are not UK resident and, even more difficult, finding a financial institution where you may invest it. In the unlikely event of achieving that you would need to be extremely careful about how you invest it in order to avoid major US tax complications (Google PFICs!)

Re: Inheritance and banking
 

Exactly. The problem I am seeking help with is opening an account in the UK. It doesn't have to be a full account, just something with my name on it. I presume a savings account would make profit / would be an investment and therefore be liable for declaration for tax.

Re: Inheritance and banking
 

If you are a US citizen, and the UK inheritance is $100,000, check out IRS Form 3520 (and 3520-A). Even before considering where to put the funds (US/UK), there's other reporting that needs attention.

https://www.forbes.com/sites/robertw.../#4a78b6ba2eab

Re: Inheritance and banking
 

Sigh. I'm not asking for advice about the IRS. That is what accountants are for. I just need advice about UK banks.

If anyone can help with that then great. I clearly don't need any more advice about IRS forms.

Re: Inheritance and banking
 

Welcome to BE.

*Sigh* Our members are only trying to be helpful to a new member.

As you are only interested in facts re opening a UK bank account...I will move this thread over to our UK forum.

Re: Inheritance and banking
 

I would prefer it if you could delete the thread in its entirety. I have tried to do so but I don't seem to be able to. I respect and thank people for their efforts, but I think I need to talk to professional people about this.

Thank you

Re: Inheritance and banking
 

Sorry it is not our policy to delete threads when our members have gone to the trouble of posting replies...but I will close it. Pity because I believe there are ways...some of our members in this forum have done this.

PM me if you wish the thread to be re-opened.