NetNutter

HI,

I am returning home after working abroad for 20+ years. All salary I have ever earned abroad has paid local tax and my savings are in Jersey in an instant account now. I will be back in the UK in September.

An accountant I know has advised that I should claim split year treatment and that I need not worry worry about tax on my cash savings. Other companies are asking for 1-3K Sterling to advise me!

Should I not worry or pay?

Many thanks guys,

Jack

JAJ

Where are you returning from?

NetNutter

Thanks JAJ. Currently living in China.
Cheers, Jack

J.JsOH

My forefront thought is that HMRC is not interested in what you got, only what income you receive and only from the date you become resident in UK.

RJB123

I am not an expert but am in a similar situation myself as I will be moving back home in July after 30 years of working overseas. I agree with J.JsOH's comments above but believe that it is also wise to ensure that your savings reach mainland UK before you do. That way there can be no disputing the fact that they were earnt while you were a non resident.

janeyk

as above I have done just that and within month I am one full tax code etc, if you are employed you will fill in a P46 I wrote a note on this about returning from NZ etc and HMRC were swift in action needless to say I have yet to pay tax!

NetNutter

Thanks guys,

That's good news.

So whilst my money is currently in Jersey, you would recommend moving it onshore before I return (July)?

+ If I cash in some matured investments, I assume the same applies (I hope)

I was told that when I arrive I should write to HMRC straight away and claim 'split year treatment' ..? Does anyone know about that please?



Cheers all.

RJB123

Yes that would be my advice but as previously stated I am no expert. Also if you have bought any shares whilst you are non resident and they have increased in value then you might want to consider selling them before returning. That way you should avoid paying tax on any profit that you make.

Flowerina

Hi NetNutter

Hope the link below helps......

http://taxaid.org.uk/situations/migr...year-treatment

Good luck

mickok

I hadn't thought about tax implications regarding current savings. I am returning in May after 35 years in the US.. I have an offshore account but I don't think I can set up a mainland account until after I arrive in the UK. Does anyone know if there are steps I can or should take to ensure that my existing savings (and proceeds from our house sale) are not confused with new income if I transfer these funds AFTER arriving in the UK?

Flowerina

Do you have a HSBC nearby? They should be able to accommodate you opening a UK account and get cheque books, cards etc all sorted so you're ready to go as soon as you land.

They do this going the other way so no reason to think they wouldn't be able to do it on the return.

Good luck

mickok

Thanks Flowerina! I thought they required a Premier account to set that up in advance, I'll give them a call..