Apple Employees - RSU vesting and tax witheld

Apple Employees - RSU vesting and tax witheld

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I have a client who is an Apple employee.

As part of his salary he receives RSU. The vesting of the RSU appears as gross income on his payslip, and tax and NIC is accounted for normally.

There is a deduction also shown on his payslip of "RSU - tax witheld". I believe this is the tax witheld on the vesting of the RSU in the USA.

The value of the RSU in 2014-15 has pushed my client's income to a level where he will lose his personal allowances. As he had a standard 1000L code operated for PAYE, his 2014-15 liability is about £4,000.

The gross pay has been calculated on the gross value of the RSU,  and he has paid tax on the gross value.

As i understand it, the witholding entry on the payslip does not qualify for a tax credit on the UK tax return, but must instead be reclaimed through the US form 1040NR - can anyone confirm that this is correct?

Also, in the months that the RSUs have vested, the net pay is not the total of gross income less deductions. My research has lead me to conclude that my client has paid some of the employers NIC on the vesting of the RSU - can anyone confirm that this might be the case, and if so , whether this can be reclaimed?

I have looked at previous threads on this subject, but they seem to be either a little out of date or not specific about the possible reclaiming of the witholding tax.

Many thanks to anyone who can assist.

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By NatalieAccountant
01st Sep 2015 16:17

Hi,

 

Did you have any luck in working this out? I have the exact same problem and have spent an hour on the phone to the tax office with no luck!

 

Thanks

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