PetW

Hi. Just a quick question which hopefully someone here can answer. I am essentially retired although I do a small part time job and will obviously file taxes accordingly. My question is concerning my retirement UK pension which is paid to me as the Net amount meaning of course tax deducted from source in the UK. Do I declare the Gross amount, The Net amount, or not at all ? Please advise me as I am confused regarding this after hearing conflicting information. Thank you.

Pulaski

You live in the US? .... You're talking about a state pension, not a private pension, a company pension, or a military or civil service pension?

PetW

Thank you Pulaski. I am a dual citizen, British and American. My main pension is a retirement pension (we used to call it your old age pension) paid by the UK government department of pensions and social security. I also receive a widowers pension which is payed through a management company in the UK and it was associated to Santander(previously known as Abbey National).

PetW

Yes I live in the US

lansbury

You need to claim relief from paying UK income tax.

https://www.gov.uk/government/public...ndividual-2002

PetW

Thank you Iansbury. This sounds like a good logical suggestion and I will follow up on this, thank you also for the link. Regarding this year and deadline being so close for tax filing, should I expect to be paying tax on my pension in both the UK and the U.S. Or just the UK where it has already been deducted ?

lansbury

You can include your gross UK income in your US return. You are allowed to claim the tax you paid in the UK against what you will owe in the US. It is called a foreign tax credit.

I can't remember exactly what tax forms you need as it is a long time since I did it, but you should find instructions on the IRS web site.

PetW

Thank you so much Iansbury, useful information and much appreciated.