How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask bigduckontax Your Own Question
bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 3817
Experience:  FCCA FCMA CGMA ACIS
75394688
Type Your Tax Question Here...
bigduckontax is online now

I am not a UK resident nor domiciled in the UK. I left the

Customer Question

I am not a UK resident nor domiciled in the UK. I left the UK 17 years ago. I bought a flat in London over 25 years ago which is owned in the name of an overseas company. It is the only property I own in the UK. I sold this flat and I intend to use part of the proceeds to buy another flat as a gift to my son and daughter.
My son is a UK resident and my daughter is not a UK resident. Could you please advise me if there is any tax implication in this matter.
Submitted: 2 years ago.
Category: Tax
Expert:  bigduckontax replied 2 years ago.

Hello, I am Keith, one of the experts on Just Answer, and happy to help you with your question.

Firstly, when you left the UK did you complete a Form P85 and submit same to HMRC? If you did not then you should do so immediately. Fortunately there is no time limit for its submission, it is available on the net and can be filed on line. HMRC will then classify you as non resident.

Unfortunately, you do not own any property in the UK. Your flat in London is owned by an overseas company. On completion of the sale the company will be liable for Capital Gains Tax on the gain made between the selling date and the value as at 6 April 2015.

If the company then decides to buy a property for your children then this is not affected by UK taxation.

My answer takes no account of the taxation regime of the country in which the company is domiciled. This could have a dramatic effect and you should consult a trusted, local practitioner in the matter.

I do hope that I have been able to shed some light on the situation for you.

bigduckontax and other Tax Specialists are ready to help you
Expert:  bigduckontax replied 2 years ago.
Thank you for your support.

Related Tax Questions