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If you have permanent domicile in the UK and have been paying taxes there, the US/UK double taxation treaty states that you will be considered a resident, and there fore taxable in, the UK
Under Article 4 (Residence), a person is generally treated as a resident of a Contracting State ifthat person is, under the laws of that State, liable to tax therein by reason of his domicile,residence or other similar criteria.
Here's the technical explanation of the treaty: Technical Explanation
Here's the treaty itself: Income Tax Treaty Note Article 23, elimination of Double Taxation
As I still don't see you coming into the chat here, I'll move us to the Questions and Answer mode ... Maybe that will help
f this HAS helped, I would appreciate a feedback rating of 3 (OK) or better … That's the only way they will pay us here.
HOWEVER, if you need more on this, PLEASE COME BACK here, so you won't be charged for another question.
Thanks for your answer but you didn't answer the question. I didn't ask
about taxation,but the possible penalties for non reporting to the U.S.
distributions from a trust,and whether the I.R.S. is open to any bargaining on the severity or size of the penalty.