HMRC Advises On Remittances

By ExpatBriefing.com Editorial 01 August, 2013

HM Revenue and Customs is sending out letters of advice to non-domiciled UK residents on what constitutes a remittance of cash or assets to the UK, although the Institute of Chartered Accountants in England and Wales has accused the tax body of causing "confusion and annoyance" with the move.

Those who have signed up to receive corporate emails from HMRC were given notice of the plan last week, along with a link to a non-exhaustive list of remittances that should be reported on UK tax returns. The list relates to money transfers to the UK, assets brought into the UK, services provided in the UK, the use of credit cards, loans, gifts to others, and other miscellaneous matters.

ICAEW complains that the HRMC "is approaching taxpayers direct when those taxpayers are likely to have appointed agents," and that this "tends to undermine the relationship between client and agent." It adds that it would have been preferable for the agent to have received a copy of the letter sent to their client, or for the client to have been made aware that their agent would not be receiving the letter. Further, the professional body says there should have been more time between the agent being notified of the campaign and the letters being sent out, to allow the agent to alert their clients.

ICAEW also highlights two points where it believes HMRC's list is misleading. ICAEW says that a "personal chattels" exception for assets brought into the UK ought to have been more clearly stated, and that it should have been made clear that funds given to an adult offspring abroad are not a remittance even if he or she brings them into the UK.

Tags: Finance | United Kingdom | Offshore | HM Revenue And Customs (HMRC) | HM Revenue And Customs (HMRC) | Expats | Personal Finance |

 





News Archive