Inheritance
 

Has anyone in the U.S. inherited money from a relative in the U.K.? I'm wondering if I'll have to pay tax on it if I get it transferred over here.

Re: Inheritance
 

Yes and I kept my mouth shut just incase and kept in in my UK bank account.

Re: Inheritance
 

AFAIK, no tax is payable to the IRS if inheritance tax was paid in the UK, or if none was due there.

Re: Inheritance
 

Luckly (for them and me 'cos it means they're still alive) no...sadly I'll be inherting zip.

Re: Inheritance
 

When my Mum goes ..is their tax to be paid on hundred of pairs of shoes ...
Handbags by the caseful ... and unlimited supplies of towels and sheets,

Re: Inheritance
 

depends if your a USC, greencard holder or just on a visa....and local taxes would depend on your state...

Re: Inheritance
 

The receipt of an inheritance? I don't think so. The estate is not relevant to US taxation given that it is "domiciled" in the UK:- inheritance taxes, if any, are paid by the estate not the recipient of the inheritance.

Re: Inheritance
 

If your not a USC, you don't get those benefits though...

Re: Inheritance
 

I believe you're wrong here, Bob.

Either that or our accountant is talking out of his :ohmy:

Re: Inheritance
 

The way I understood it, if you weren't a US citizen and you got it, you didn't get that $2M free and it weren't the estate but you for getting the cash that stumped...but then again, that could have been a maine thing taking their fair share as a state.

Re: Inheritance
 

You are talking about the reverse situation, where the estate is that of a person subject to US tax and the recipient is a non-citizen spouse. And even in that case, the first $2m (or whatever it is this year) avoids estate tax. The difference is that a non-citizen spouse does not get the unlimited marital deduction that a US citizen spouse does. Here's an explanation:

http://www.investorguide.com/igu-art...tax-traps.html

Re: Inheritance
 

Thanks for all the info. I'm a green card holder by the way, and the inheritance from my British family.

Re: Inheritance
 

As far as I know, U.S. law taxes the estate, not the recipient.

You still need to consider:
- the U.S. capital gains tax position on future disposals of the asset; and
- British Inheritance Tax will apply to the estate