Sold Overseas Property? Report to HMRC the Right Way
Sold my property back home When and how do I Report it to HMRC? What taxes do you need to pay if you sell your property abroad depends on your living status in UK. There are different rules if you are a ● UK resident ● Non UK resident ● Temporary Non-resident or ● If you are domiciled outside UK. UK RESIDENT According to HMRC Website if an overseas property is sold Capital Gains Tax will need to be paid on the gains if the seller is a UK resident. You might also have to pay taxes in the country where you sold the property, in that case you can claim a relief. You can either apply before you are taxed or you can even apply after you are taxed on your foreign income. How to apply for the relief visit the website here. UK NON- RESIDENT If you are Non UK resident but living in UK for work you won`t have to pay any Capital Gains Tax on the sale of the property abroad. TEMPORARY NON- RESIDENT You are considered temporary non-resident if you return to UK within 5 years of moving aboard ( and you lived in UK for at least 4 in 7 years as a UK resident before moving abroad ) If you are non- resident in UK but return to UK within 5 years of selling the property then you have to pay Capital Gains Tax. If after returning you are still domiciled outside UK you won’t be paying any tax on the gains from the sale of foreign property. IF YOU ARE DOMICILED OUTSIDE UK. Domiciled outside UK means if you are UK resident( you are considered a resident if you lived for 183 days in UK in the tax year or you rented, owned the home in UK and lived in it for at least 91 days) but your main home is outside UK. If you are non- domiciled and your income is less than £ 2000 and you don’t bring it to UK you don’t have to report it to HMRC. However, if the income is more than £ 2000 you must report them to HMRC in the Self-Assessment. To summarise, you will have to report and pay tax on your gains from the sale of foreign property if you are UK resident or you are non-domiciled but your gains were more than £2000. You need to report gains in the annual self-assessment tax return. You will have to report the gains in the ‘foreign’ section of the tax return. Make sure you have already done all your Capital Gains Tax calculations and you have all the relevant records such as document that has date and the sale price at which the property was sold. If you do not usually fill in the self-assessment tax return you can register for self-assessment in the tax year after the sale was made. The deadline for registering for self-assessment is 5 Oct. the deadline for submitting your self-assessment tax return in the paper form in 31 Oct ad deadline for submitting online is 31 Jan . WE CAN HELP YOU Calculating the capital gains tax can be tricky and there are various reliefs which might apply to you and it can lower your tax bill we at Taxaccolega have a team of expert accountants and we will be very happy to help you. Don’t hesitate to call us at 020 8127 0728 or email us at [email protected] CTA Box See How Much You Can Save CALL NOW Take the stress out of UK taxes and accounting today — speak with a top-rated Taxaccolega chartered accountant for personalised advice tailored to your business or personal needs. Book a free Consultancy Related Posts ID Verification × ID Verification Form For Companies House From 18 November 2025, UK law will require all company Directors and Persons with Significant Control (PSCs) to verify their identity with Companies House. Companies House will issue a personal code to PSCs. Taxaccolega (ACSP) can help collect data and assist. Please answer the questions and upload documents. Personal Details Fornames * Last Name * Date of Birth *
I am a taxi driver can I apply for a grant through Self Employment Income Support Scheme?
I am a taxi driver can I apply for a grant through Self Employment Income Support Scheme? If you are a taxi driver, registered as ‘Self Employed’ with HMRC (you are not eligible for the grant if you work through a limited company) and your business is adversely affected by the Covid -19 from July 2020 onwards you should go ahead and apply for the second grant government is offering. You can get this grant even if you are on a work visa. To be eligible you should have traded in the tax year 2018/19 and must have submitted your tax return for that year on or before 23 April 2020, you must also have continued trading in the tax year 2019/ 2020 and you intend to continue trading in the tax year 2020/2021. You need to take a quick action as the deadline to apply for the grant is 19 Oct 2020. What Documents do I need to apply for the loan? To be eligible for the grant you need to prove that your business was adversely affected by the Covid-19. As a taxi driver you might be eligible for the SEISS second grant because your business has been adversely affected by Covid-19. This may be mainly due to added costs, for example buying a protective shield, hand sanitisers and also due to decrease in the income as the number of customers have decreased even after the restrictions of the lockdown were eased. However, you should have proper records to prove this to HMRC. You should have your bank statements as a proof that there is a decrease in income or an increase in the costs incurred, if you had applied and were given any other grants or loans because you were struggling in your business you should have a proof for that. For example, bank showing the loan received in the account or a letter confirming that the loan will be given. If you are applying because you were showing symptoms of Covid and you wanted to self-isolate or because of the high risk and vulnerable situation the taxi drivers were at you decided to self-isolate and therefore the business was affected you should provide the dates you stopped working. How Can I apply for the Loan? You can apply for the loan online yourself, tax agents are not allowed to apply on your behalf as it’s a busy period and the online service might be slow it`s better to have things ready before you go online to apply: ● Make sure you have your Self- Assessment Tax payer reference (UTR) ready. UTR is the ten digit number which you can find on your previous tax returns or any payment reminders from HMRC. ● You should also have your Government Gateway ID with you ● Your bank details This grant is to support the self-employed who are struggling financially. This grant doesn’t have to be returned. An individual can use this to start a small business. HMRC will do its working to see if you are eligible and how much needs to be given to you by looking at your trading and no trading profits for the last 3 years. If you think you are given less than you are eligible for you can contact tax agents and they can deal with it. For more information on how much you will get go to HMRC website: https://www.gov.uk/guidance/how-hmrc-works-out-total-income-and-trading-profits-for-the-self-employment-income-support-scheme If you need any help relating to tax and accounting services such as filling and submitting your self-assessment tax return, registering your new businesses and making annual accounts do not hesitate to call us at 020 8127 0728 or email us at [email protected] and we will be happy to help you. CTA Box See How Much You Can Save CALL NOW Take the stress out of UK taxes and accounting today — speak with a top-rated Taxaccolega chartered accountant for personalised advice tailored to your business or personal needs. Book a free Consultancy Related Posts ID Verification × ID Verification Form For Companies House From 18 November 2025, UK law will require all company Directors and Persons with Significant Control (PSCs) to verify their identity with Companies House. Companies House will issue a personal code to PSCs. Taxaccolega (ACSP) can help collect data and assist. Please answer the questions and upload documents. Personal Details Fornames * Last Name * Date of Birth *
Why You Must File a Self Assessment Tax Return in the UK
Why You Must File a Self Assessment Tax Return in the UK 3 Reasons You need to fill in Annual Self-Assessment Tax Return You need to fill in the self-assessment tax return and pay income tax in the following cases: 1. YOU ARE SELF EMPLOYED If you are running a business and you get an income through dividends you will have to submit annual self-assessment tax return. The reason is that since this income is not taxed at source like your wages you will need to declare this in your annual self-assessment tax return and pay the tax on it. 2. INCOME If your income is more than £100 000 per year before tax or if your annual income from savings or other investments such as shares is £10 000 or more before tax. 3. FOREIGN INCOME You are a UK resident and you have a foreign income. There is an exemption to this rule: if the foreign income is in the form of dividend and it is less than £300 you don’t have to declare it. So If you have any foreign income you should first establish if you are UK resident, or a UK non- resident. You will also have to figure out where you are domiciled. This will help determine the tax implications on your foreign income. 4. YOU SOLD AN ASSET AND YOU PAID CAPITAL GAINS TAX If you have sold an asset and which was worth £49,200 or more in the tax year 2020/2021 or your asset might be valued less but you made a gain of £12300 which is the threshold and also In case you sold the asset and it made a loss but there are other gains as well and the net that means (gain – loss)is more than the exemption of £ 12, 300. In all the cases you will have to register for the Self-Assessment tax return and pay CGT. 5. IF YOU ARE A TRUSTEE If a trust is established with some income generating assets such as shares and you are appointed its trustee you need to declare it in the self-assessment tax return. This is not an exhaustive list and there are many other cases in which you might need to fill in your self-assessment tax return. By filing the self-assessment tax return you are telling HMRC that you have some untaxed income on which you are supposed to pay tax. You can also register for self-assessment if you have any reliefs to claim. It is always a good idea to submit your self-assessment tax return early. In this way it can be processed quickly and if you are to get any relief you can get it quick. There is also a less chance that you get a penalty. Once you have submitted and paid early you will have a much better idea of your finances and cash flows as well. We at Taxaccolega, can help you with your self-assessment tax returns. Simply call us at 020 8127 0728 and we can sort out the things for you. In case you have some untaxed income in the tax year 2019/ 2020 , the deadline to submit the self-assessment tax return in Jan 2021 and you must have registered for self-assessment latest by 5 Oct 2020 otherwise you can get penalties. CTA Box See How Much You Can Save CALL NOW Take the stress out of UK taxes and accounting today — speak with a top-rated Taxaccolega chartered accountant for personalised advice tailored to your business or personal needs. Book a free Consultancy Related Posts ID Verification × ID Verification Form For Companies House From 18 November 2025, UK law will require all company Directors and Persons with Significant Control (PSCs) to verify their identity with Companies House. Companies House will issue a personal code to PSCs. Taxaccolega (ACSP) can help collect data and assist. Please answer the questions and upload documents. Personal Details Fornames * Last Name * Date of Birth *