non doms - capital remitted to uk
i am about to delve into some research but does anyone know where to start??? client has inherited money from USA and wants to transfer 100,000 USD to UK. Does the remittance basis impact this? or does that only impact income so since this is capital, there is no tax to pay?
thanks
Sounds like he's loaded
Firstly you're right to say that remitting capital is not the same as remitting income, but you need to avoid getting them mixed up. The conventional way to deal with this is to open two accounts. One holds the principal, the other is there to receive interest on the principal. That way the two should not get mixed up. If you remit from the 'capital' account it's easy to prove that there is no element of income involved in the amount you've remitted.
However the obvious point is that if there's a shedload of money involved it's probably worthwhile hiring a specialist