The following Personal Tax guidance note by Tolley provides comprehensive and up to date tax information covering:
The remittance basis charge was introduced with effect from 6 April 2008. It is an annual charge payable by ‘long-term’ UK residents for the privilege of claiming the remittance basis.
Note that, from 6 April 2017, taxpayers who wish to utilise the remittance basis (but do not qualify for it automatically) must pay one of the following charges:
ITA 2007, s 809C
The £90,000 remittance basis charge was abolished with effect from 6 April 2017.
The remittance basis is discussed in the Remittance basis ― overview guidance note and the remittance basis charge is covered in the Remittance basis ― formal election guidance note.
The Payment of tax due under Self Assessment guidance note discusses the various options available to the taxpayer to pay his Self Assessment tax liability.
The remittance basis charge is part of that Self Assessment tax liability, but is worth considering separately, as payment of the charge from an overseas bank account is not considered to be a remittance of income or gains if:
ITA 2007, s 809V
The transfer of funds from an overseas account to a UK account to pay the tax does not
**Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason.
Access this article and thousands of others like it free for 7 days with a trial of TolleyGuidance.
Read full article
Already a subscriber? Login