Non Resident Capital Gains Tax
When you sell various assets, you may be interested in knowing that you may be responsible for paying taxes that refer to the valued value of this asset. If you are not a resident of the United Kingdom or the United States
What is Capital Gains Tax ?
The basic idea of capital gains tax is to pay profits on selling a non-stored asset. These assets can be anything from stocks to bonds to real estate. When the asset has a chance to appreciate to a point where it is well above the amount realized from the sale, you may be liable to pay capital gains tax to the government if the sale has been made.
Not all countries in the world levy capital gains tax, but in the United States, you may be responsible for paying capital gains on property, precious metals, stocks, and bonds. Even if you are not a resident, you will be responsible for paying some form of UK tax on capital gains.
How non residents are different from residents?
If you live overseas, you will still have to pay capital gains tax on any residential property in the UK, even if you are considered a non-resident for tax purposes. You will not have to pay capital gains tax on certain UK assets, such as your shares in UK companies unless you plan to return within five years of leaving the UK. Capital gains tax could be a real possibility for you if you consider selling a business overseas.
What are the issues involved being a non resident in UK and paying capital gains tax?
Although certain assets such as vehicles will not be subject to capital gains tax, it is essential to remember that the sale of an asset in the UK will result in the payment of a capital gains tax if appreciated. Include the non-taxable allowance if an asset has not been appreciated by more than £11,700 or £5,850 in trust. However, if you plan to sell a property whose value exceeds these considerations, you will be forced to pay the additional tax.
We can help with advice and assistance on capital gains tax and payments
If you would like to learn more about capital gains tax and how to avoid paying additional taxes, we can help you through the process of managing your capital gains tax information. Contact us today to learn more about capital gains tax and UK tax information. We are a team of tax professionals who can help you navigate the process of paying tax as a UK resident or non-UK resident.