Double taxation relief - same income, different individual

Double taxation relief - same income, different...

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INTM161040 states that "it is not a requirement that the foreign tax on income has to be borne by the same person who is liable to UK tax on the same income"

I have a scenario where 3 UK individuals own an equal share in some Spanish property and which income generated is taxed in Spain as lettings income for non-residents. They each pay an equal share of Spanish tax on the income generated.

However, in the UK the same income is part of an Ordinary Partnership of which all 3 individuals are members, but the profits are not paid out to the members in equal proportions. Therefore, one member will not have any UK tax liability to enable their share of the foreign tax to be relieved under DTR.

An HMRC adviser has indicated that we can make use of the guidance in INTM161040 and that the remaining two partners could make a claim for relief for the full amount of foreign tax paid in Spain (provided they have sufficient UK liability and we have done the full calculation in the case of a marginal tax rate).

But my question is, does the relief claim have to be apportioned in any particular way to the two remaining partners, or could just one partner make the claim for the full amount paid in Spain if it is advantageous to do so, for example if one partner is taxed at higher rate on all the profits, but the other partner is taxed at basic rate?

The HMRC adviser couldn't see anything that prevents this, but just wondered if anyone else knows of any restrictions? 

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