Tuesday, 31 May 2011

Tax on money from a foreign relative?

Question
I have received £50,000 from a relative who lives abroad. Is any UK tax due?Answer
Assuming it's a gift then there's no UK tax due. Just bear in mind that any subsequent interest or gains you might earn from saving/investing the money would be liable to tax as usual.

If the money had instead resulted from a joint investment you'd made (e.g. a holiday home) then you'd normally be liable to UK capital gains tax on your share of the profits.

Read this Q and A at http://www.candidmoney.com/questions/question488.aspx

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