Uk state pension
May 19th 2014, 11:26 pm
#16
Forum Regular
Joined: Feb 2012
Posts: 87
Re: Uk state pension
Still not resolved in my case but in normal cases no tax on pensions should be due for four years. That's the good news.
It seems that in my case, because I had a temporary IRD number linked to a BNZ account prior to residency, that my tax residency dates back more years than normal.
It seems that in my case, because I had a temporary IRD number linked to a BNZ account prior to residency, that my tax residency dates back more years than normal.
May 20th 2014, 12:41 am
#17
Life is what YOU make it.
Joined: Oct 2009
Location: Christchurch
Posts: 3,312
Re: Uk state pension
Providing you complete the correct forms for HMRC (SA109, HS304) together with your Self Assessment submission, correctly completed, then you will be untaxed on your state and private UK pensions for 4 years in NZ as a resident.
These forms are not on line submissable but can be downloaded from HMRC site.
These forms are not on line submissable but can be downloaded from HMRC site.
May 20th 2014, 8:10 am
#18
Just Joined
Joined: Apr 2014
Location: Wellington
Posts: 8
Re: Uk state pension
I didn't complete a P85 when I left UK. Having spoken to HMRC recently, they asked me to complete one and send P45 and P60 - this should ensure my pension is no longer taxed in UK and they will process a refund. I also need to complete a HMRC NZ individual form which you send to IRD, who certify it and send to HMRC in Cardiff.
In addition I need to complete the forms mentioned by Stormer999, waiting for my P11D in June before I can do that.
I spoke to IRD and they have confirmed that Worldwide income is NZ tax free for the first 4 years. Dates for my wife and I will be six months out of sync due to different arrival dates. They have told me not to declare it for four years.
Any doubts call HMRC, they had to put me through to a supervisor, but were very helpful.
Andy
In addition I need to complete the forms mentioned by Stormer999, waiting for my P11D in June before I can do that.
I spoke to IRD and they have confirmed that Worldwide income is NZ tax free for the first 4 years. Dates for my wife and I will be six months out of sync due to different arrival dates. They have told me not to declare it for four years.
Any doubts call HMRC, they had to put me through to a supervisor, but were very helpful.
Andy
May 20th 2014, 9:54 pm
#19
BE Enthusiast
Joined: Jan 2011
Location: New Zealand
Posts: 455
Re: Uk state pension
Mrs Fychan raises an interesting point with a reference to the IRD. As you will be a new migrant, you may qualify for the first 4 years tax free on any overseas income. Therefore you will need to work out if keeping the UK state pension (tax free) is better than swapping it for a NZ pension (Taxable). You can always elect to swap it to a NZ pension at a later date.
Once the 4 years are up, you will have to pay tax on your worldwide income.
Make sure you complete the correct forms to notify the UK authorities that you will no longer be a UK tax resident and therefore no tax to be deducted from Bank account interest, pension payments etc.
As a new migrant, I recommend hiring an accountant for an hour so that you are aware of your tax obligations in NZ.
Once the 4 years are up, you will have to pay tax on your worldwide income.
Make sure you complete the correct forms to notify the UK authorities that you will no longer be a UK tax resident and therefore no tax to be deducted from Bank account interest, pension payments etc.
As a new migrant, I recommend hiring an accountant for an hour so that you are aware of your tax obligations in NZ.
