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I came to UK under HSMP programme 4 years ago in 2008 and working

 
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  • Answered by:TonyTax
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Customer Question

I came to UK under HSMP programme 4 years ago in 2008 and working in UK,I have some property abroad, if I sell that property and bring money to UK, should I have to pay tax on it, secondly my father wants to send me more than £100,000 as gift should I have to pay tax on that

Submitted: 346 days and 5 hours ago.
Category: UK Tax
Value: £11
Status: CLOSED
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Expert:  TonyTax replied 346 days and 4 hours ago.

Hi.

If you bring in the monies from the sale of property abroad, you will have to pay Capital Gains Tax if you make gains in excess of £10,600 in any one tax year. Take a look at section 5 of HMRC6. You will qualify for some exemption if one of the properties was your main home at some stage in the past. Take a look at HS283 for more on this.

Any cash gift you receive will not be taxable in the UK.

Let me know if you have any further queries.

Customer replied 345 days and 10 hours ago.

I am not satisfied with answer, I am in uk for less than 5 years, and property purchased from income before coming to uk, this property was not purchased from uk income, can it be considered under exemptions, the property I want to sell is an empty plot and worth £140000,

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Expert:  TonyTax replied 345 days and 10 hours ago.

I tell people what the rules are. Whether they are satisfied or not is irrelevant as I don't make the rules. That's George Osborne's job.

Assuming you are not domiciled in the UK, if you don't bring the money into the UK, you can claim to be taxed on the remittance basis, ie on foreign income or gains you do bring into the UK. As long as you have been in the UK for less than 7 of the previous 9 tax years which you have, you won't have to pay the Remittance Basis Charge of £30,000 for any tax year that you claim to be taxed on the remittance basis for. However, unless you have "dual resident" status in one of the countries listed on page 33 of HMRC6, you will lose your entitlement to UK personal tax allowances and the capital gains exemption. See the chart on page 28 of HMRC6.TonyTax41036.7282055208

Expert TypeTax Consultant
Category: UK Tax
Pos. Feedback: 99.0 %
Accepts: 6461
Answered: 5/7/2012

Experience: Inc Tax, CGT, Corp Tax, IHT, VAT.

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