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, Accountant
Category: Tax
Satisfied Customers: 4807
Type Your Tax Question Here...
bigduckontax is online now

My partner is moving to the Uk from the USA. He has sold his

This answer was rated:

My partner is moving to the Uk from the USA. He has sold his house in the USA. What are the tax implications of transferring the monies from the USA?
Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question. There are no tax implication in respect of the transfer. He should warn his bank of the incoming funds and their source to preclude any money laundering inquiries a large transfer might attract. On arrival in the UK the split year principle will apply. HMRC will split his arrival year into two portions one non resident and the second resident. I do hope that my reply has been of assistance.
Customer: replied 2 years ago.
I have spoken to a UK/USA tax accountant who says there may be tax implications!
There may be USA tax implications, but there certainly will not be UK ones, assuming the sale was before the date of arrival in the UK. If so then under the split year system then this would be a matter for the IRS. In any event under that Double Taxation Treaty between the UK and the USA, and, indeed, some individual States within the Union also, the same stream cannot be taxed in both jurisdictions. This is achieved by means of tax credits, the tax paid in one country being allowed as a tax credit against the liability in the other. Furthermore, if this was his sole or main domestic residence, as far as UK Capital Gains Tax (CGT) is concerned he would be entitled to Private Residence Relief (PRR) which is at 100% of any gain.
bigduckontax and other Tax Specialists are ready to help you
Customer: replied 2 years ago.
Okay, thank you for clarifying things.
Delighted to have been of assistance. Thank you for your support