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taxadvisor.uk
taxadvisor.uk, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 7107
Experience:  FCCA - over 40 years experience as a qualified accountant (UK based Practitioner)
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I have a question about tax on foreign investment income,

Customer Question

i have a question about tax on foreign investment income
JA: Which tax year is this for?
Customer: 18/19
JA: Anything else you want the Accountant to know before I connect you?
Customer: how much does this service cost?
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Customer: i am uk based?
Submitted: 6 months ago.
Category: Tax
Customer: replied 6 months ago.
I have a modest amount of foreign interest and dividend income which has had tax withheld at source. I am not sure if i can /should claim foreign tax credit relief in order to minimise my tax liability
Expert:  taxadvisor.uk replied 6 months ago.

Hello and welcome to JustAnswer. I am here to help you. I am reviewing your question and will respond to you shortly.
Many thanks

Expert:  taxadvisor.uk replied 6 months ago.

Thank you for your question.

As this foreign interest and dividend is subject to UK tax, you should claim foreign tax credit relief against your UK tax under double tax agreement by completing the Foreign section of your tax return.

If interest earned and dividend income are within the personal savings allowance and dividend allowance then no FTCR would be available.

My aim is to give you a professional service. I hope this is helpful and answers your question.

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Customer: replied 6 months ago.
Its the rate of FTCR i dont know and cant find
Customer: replied 6 months ago.
Net £ Tax £ Gross £
Spain Interest 1,760.00 -413.00 2,173.00
Spain Dividend 20.00 -5.00 25.00
US Dividend 1,829.01 -577.86 2,406.87
Expert:  taxadvisor.uk replied 6 months ago.

Thank you for your reply.

The FTCR rate per Double taxation agreement between UK and Spain and UK and USA is 15%.

I hope this is helpful.