Tax and how to avoid paying too much on return
#1
Senior
Thread Starter
Joined: Aug 2008
Location: UK
Posts: 25
Tax and how to avoid paying too much on return
When I last posted we were going to live in France then tribal headquarters got the better of us and we are now returning to UK next year 2011. We left UK in 1984 so we desperately need information from someone who has recently returned to the UK and is familiar with bringing funds into the UK and advice on how to avoid loosing any income from it to the dreaded tax man... legally. Having lost a packet in the great financial crunch we would prefer not lose any more.
If anyone can help with tax advisors; what methods can be used to avoid tax; what sort of investments are good in the UK and what costs are involved.
We have used the net extensively but the more you read the more complicated it seems to get and the tax office web is as clear as dried mud. Some things you read about would cost more than the tax you would have to pay.
Any help, hints or advice would be greatly appreciated together with information how to avoid the pitfalls and potholes en route.
If anyone can help with tax advisors; what methods can be used to avoid tax; what sort of investments are good in the UK and what costs are involved.
We have used the net extensively but the more you read the more complicated it seems to get and the tax office web is as clear as dried mud. Some things you read about would cost more than the tax you would have to pay.
Any help, hints or advice would be greatly appreciated together with information how to avoid the pitfalls and potholes en route.
#2
Re: Tax and how to avoid paying too much on return
Surely you need to talk to a UK tax advisor. I'd be very wary of Internet advice for something so complicated.
#3
Senior
Thread Starter
Joined: Aug 2008
Location: UK
Posts: 25
Re: Tax and how to avoid paying too much on return
I couldn't agree more. I was just hoping that someone might have dealt with a tax adviser that they could recommend. Trying to find one in the UK from Australia is not easy.
#4
Joined: Feb 2002
Posts: 6,848
Re: Tax and how to avoid paying too much on return
When I last posted we were going to live in France then tribal headquarters got the better of us and we are now returning to UK next year 2011. We left UK in 1984 so we desperately need information from someone who has recently returned to the UK and is familiar with bringing funds into the UK and advice on how to avoid loosing any income from it to the dreaded tax man... legally. Having lost a packet in the great financial crunch we would prefer not lose any more.
If anyone can help with tax advisors; what methods can be used to avoid tax; what sort of investments are good in the UK and what costs are involved.
We have used the net extensively but the more you read the more complicated it seems to get and the tax office web is as clear as dried mud. Some things you read about would cost more than the tax you would have to pay.
Any help, hints or advice would be greatly appreciated together with information how to avoid the pitfalls and potholes en route.
If anyone can help with tax advisors; what methods can be used to avoid tax; what sort of investments are good in the UK and what costs are involved.
We have used the net extensively but the more you read the more complicated it seems to get and the tax office web is as clear as dried mud. Some things you read about would cost more than the tax you would have to pay.
Any help, hints or advice would be greatly appreciated together with information how to avoid the pitfalls and potholes en route.
http://www.expatwealth.telegraph.co....age_info_id=40
http://www.ifaonline.co.uk/internati...+go+home+again
#5
Just Joined
Joined: Jul 2010
Location: Scotland
Posts: 18
Re: Tax and how to avoid paying too much on return
You should take the advice of some lawyer in UK.
#6
Re: Tax and how to avoid paying too much on return
You do not get taxed simply for bringing funds into the UK.
The UK likes people to bring funds in, it if good for the economy and all that.
The UK likes people to bring funds in, it if good for the economy and all that.
#7
Re: Tax and how to avoid paying too much on return
Try contacting 'Meow' - look on Middle East forum.
She is a well informed financial advisor who has a finger on every pulse.
She would probably give you basic advice via PM.
She is a well informed financial advisor who has a finger on every pulse.
She would probably give you basic advice via PM.
#8
Forum Regular
Joined: Apr 2009
Location: London, UK
Posts: 30
Re: Tax and how to avoid paying too much on return
I agree with Bermudashorts above, there's no taxes for simply moving back to the UK and transferring your funds in. May be we didn't understand the question. If they did that though no one would move back!
#9
Re: Tax and how to avoid paying too much on return
the OP is also concerned about being taxed on investment income from his funds once in UK
yes, tax will be levied on worldwide sourced income, including investment income, this can't be avoided legally
if the sums involved are large, seek out a UK based tax consultant BEFORE you relocate, e.g. W T Fry
if not. why worry? just declare and pay the necessary...
yes, tax will be levied on worldwide sourced income, including investment income, this can't be avoided legally
if the sums involved are large, seek out a UK based tax consultant BEFORE you relocate, e.g. W T Fry
if not. why worry? just declare and pay the necessary...
#10
Senior
Thread Starter
Joined: Aug 2008
Location: UK
Posts: 25
Re: Tax and how to avoid paying too much on return
Thanks you guys for the information and also sorry for the late reply ... been away. I have had dealings with W Fry and so have other friends of mine. You have to watch them!! .... and they very often produce a large tome in reply, don't answer the question and try and charge you for stuff any tame idiot can get from the internet. They will charge you because they have put it on paper as if they are the only ones that knew it ....... I didn't fall for that one so probably can't go back. There are others that come up with weird and wonderful schemes to avoid paying tax but in reality their schemes cost more to administer than the tax you would have paid in the first place.
What I am really trying to find out but all the experts seem cagey about it is, once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600 plus your personal allowance before you pay tax on what's left but can any of the remainder be counted as "return of capital" if the investment was from tax paid funds as in the case of someone coming back to UK having been away a long time and 'Non Resident for Tax purposes in UK" who has saved that money and done the tax elsewhere. I know some of the income from Annuities can be counted as return of capital.
By the by, I didn't use Meow because I really need someone in UK who does the lot and fills in my tax return afterwards ... never was any good at those ........
Get's complicated don' it ............
What I am really trying to find out but all the experts seem cagey about it is, once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600 plus your personal allowance before you pay tax on what's left but can any of the remainder be counted as "return of capital" if the investment was from tax paid funds as in the case of someone coming back to UK having been away a long time and 'Non Resident for Tax purposes in UK" who has saved that money and done the tax elsewhere. I know some of the income from Annuities can be counted as return of capital.
By the by, I didn't use Meow because I really need someone in UK who does the lot and fills in my tax return afterwards ... never was any good at those ........
Get's complicated don' it ............
Last edited by donpedro1939; Dec 13th 2010 at 5:59 pm. Reason: addition
#11
Re: Tax and how to avoid paying too much on return
once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600
I strongly suggest you do more internet research to find the answer otherwise you may be in for a shock come tax return time in UK
but, I'm willing (and would be most grateful) to be proven wrong...
#12
BE Forum Addict
Joined: Aug 2007
Posts: 1,782
Re: Tax and how to avoid paying too much on return
Thanks you guys for the information and also sorry for the late reply ... been away. I have had dealings with W Fry and so have other friends of mine. You have to watch them!! .... and they very often produce a large tome in reply, don't answer the question and try and charge you for stuff any tame idiot can get from the internet. They will charge you because they have put it on paper as if they are the only ones that knew it ....... I didn't fall for that one so probably can't go back. There are others that come up with weird and wonderful schemes to avoid paying tax but in reality their schemes cost more to administer than the tax you would have paid in the first place.
What I am really trying to find out but all the experts seem cagey about it is, once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600 plus your personal allowance before you pay tax on what's left but can any of the remainder be counted as "return of capital" if the investment was from tax paid funds as in the case of someone coming back to UK having been away a long time and 'Non Resident for Tax purposes in UK" who has saved that money and done the tax elsewhere. I know some of the income from Annuities can be counted as return of capital.
By the by, I didn't use Meow because I really need someone in UK who does the lot and fills in my tax return afterwards ... never was any good at those ........
Get's complicated don' it ............
What I am really trying to find out but all the experts seem cagey about it is, once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600 plus your personal allowance before you pay tax on what's left but can any of the remainder be counted as "return of capital" if the investment was from tax paid funds as in the case of someone coming back to UK having been away a long time and 'Non Resident for Tax purposes in UK" who has saved that money and done the tax elsewhere. I know some of the income from Annuities can be counted as return of capital.
By the by, I didn't use Meow because I really need someone in UK who does the lot and fills in my tax return afterwards ... never was any good at those ........
Get's complicated don' it ............
http://www.hmrc.gov.uk/cgt/
Otherwise, if you liquidate everything in the country of your departure (and pay the taxes), you can bring the money into the UK free of tax.
Last edited by johnh009; Dec 16th 2010 at 8:56 am.
#13
Senior
Thread Starter
Joined: Aug 2008
Location: UK
Posts: 25
Re: Tax and how to avoid paying too much on return
Thanks for that John5655. It seems it's as I thought i.e. take of your CG allowance and then take your personal allowance of what remains and that's your taxable income .... unless I have read the HM rules incorrectly.
#14
Banned
Joined: May 2008
Location: Lagrange 2
Posts: 1,507
Re: Tax and how to avoid paying too much on return
Thanks you guys for the information and also sorry for the late reply ... been away. I have had dealings with W Fry and so have other friends of mine. You have to watch them!! .... and they very often produce a large tome in reply, don't answer the question and try and charge you for stuff any tame idiot can get from the internet. They will charge you because they have put it on paper as if they are the only ones that knew it ....... I didn't fall for that one so probably can't go back. There are others that come up with weird and wonderful schemes to avoid paying tax but in reality their schemes cost more to administer than the tax you would have paid in the first place.
What I am really trying to find out but all the experts seem cagey about it is, once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600 plus your personal allowance before you pay tax on what's left but can any of the remainder be counted as "return of capital" if the investment was from tax paid funds as in the case of someone coming back to UK having been away a long time and 'Non Resident for Tax purposes in UK" who has saved that money and done the tax elsewhere. I know some of the income from Annuities can be counted as return of capital.
By the by, I didn't use Meow because I really need someone in UK who does the lot and fills in my tax return afterwards ... never was any good at those ........
Get's complicated don' it ............
What I am really trying to find out but all the experts seem cagey about it is, once you invest and take out a salary from that investment, I know you can take the Capital Gains tax allowance off, I think at present it's £10600 plus your personal allowance before you pay tax on what's left but can any of the remainder be counted as "return of capital" if the investment was from tax paid funds as in the case of someone coming back to UK having been away a long time and 'Non Resident for Tax purposes in UK" who has saved that money and done the tax elsewhere. I know some of the income from Annuities can be counted as return of capital.
By the by, I didn't use Meow because I really need someone in UK who does the lot and fills in my tax return afterwards ... never was any good at those ........
Get's complicated don' it ............
I think that you should concentrate on your tax form if that is the issue and separate investing from Tax as an activity. With investing you will never get a straight answer from an adviser - they can only offer alternatives. And you are going to pay for it handsomley too.
Good luck!
#15
BE Forum Addict
Joined: Aug 2007
Posts: 1,782
Re: Tax and how to avoid paying too much on return
And, there is so much free information out there on investing from the newspapers (Telegraph, Times, etc) to the financial web sites, I wonder if it is worth paying an advisor at all. The best blue chip dividend paying stocks and funds are well publicised and not a closely guarded secret. You just need the time and patience to plough through it all.
Last edited by johnh009; Dec 16th 2010 at 9:21 pm.