I'm filling in my self assessment tax return and I want to know where I should put my 'overseas scrip dividend' from Vodafone: overseas withholding tax 1034.09 GBP; cash equivalent 9306.78 GBP. Thank you This is how it was summarised in the FT - I think it was called a return of value.
'' xxxxxxxxx will shortly return £54bn to its investors following the disposal of its 45 per cent stake in xxxxxxx xxxxxx The transaction is complex and involves retail investors receiving cash and shares in xxxxxxx xxxxxxxxxxxxxx. There is also a share consolidation. ''
I'm filing online. When I spoke to a technical officer today on the HMRC SA helpline, she said that because it's a Vodafone matter that an inspector would call me back. I have no faith that I will receive a call-back from HMRC hence my search for advice elsewhere. I received the overseas scrip dividend as part of a return of value as a result of the xxxxxxx / xxxxxxx deal in Feb/March this year.
Thanks for all your help. Wonderful to know you worked for HMRC and have seen it all before - appreciated your example of Asda/Walmart.
So on the ' Dividends from foreign companies' page
'Amount of income arising or received before any tax taken off'
I should put 10,340.87 GBP which is the sum of the cash equivalent
and the overseas withholding tax
For 'foreign tax taken off or paid' I should put 1034.09 GBP
For 'special withholding tax and any UK tax taken off ' I put zero
What do I answer to the question
'Do you wish to claim foreign tax credit relief?'
If the answer is 'yes' then for the next question, what is the percentage?
And finally, do I answer yes or no to the question
Does this dividend qualify for UK dividend tax credits?
This seems to be the end of the relevant page on the SA online return.
Thank you, Felicity
Thank you so much for all your help. I will fill in the page with confidence! Felicity