Client with a property income from New Zealand. Property was bought several years ago and made losses until last year but expect to make income this year. Client is registered as Non-Resident for Tax purpose with NZ Tax authorities. I understand that there are arising and remittance basis to account for these in the UK. What would be the best treatment for such scenario, especially when client doesn't intend to live in the UK permanently but has been tax resident for the past 2 years and have been filing SA returns with no foreign income/losses info?
My question - can the prior year losses be carried forward to this year even though they were not declared earlier or should it be declared in full and nothing brought forward from prior years. I am interested from other experienced professionals re the residency and foreign income tax position.
Thanks
Gladstone.
Replies (2)
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The previous returns are wrong as there was more than £2,000 of gross income. You have an ethical obligation to correct these under the guidelines of whichever body you belong to.
The answer you seek will follow once the returns are corrected.