Bringing AUD to the UK

femalenomad

I'm new to this but need some information quite urgently. My partner and I have been working and living in the UK since 2003 and have indefinate leave to remain. We are about to inherit some money in Australia and would like to know if we are able to bring it here and perhaps use it as a deposit on a home as we are currently paying rent. Would there be tax implications?

tradetime

I doubt there would be tax implications, assuming the inheritance was subject to Australian tax, although the fact that you are resident here for tax purposes may complicate the issue if you had claimed any sort of exemption in Australia due to where you are living. That is just my speculative opinion though.

My most useful advice is the following:
http://search2.hmrc.gov.uk/kbroker/hmrc/contactus/search.ladv?raction=view&fl0=__dsid%3A&sm=0&ha=34&as=1&sf=&sp_scope=hmrc&sc=hmrc&nh=10&sr=0&cs=ISO-8859-1&tx1=&tx0=49659
Here you can contact the people who can give you a definitive answer, I have used HMRC helplines in the past for various enquiries and found them quite helpful.

dzug1

There are no UK tax implications other that once the money is invested here you are liable for tax on any interest it earns.

There may or may not be Australian tax implications.

femalenomad

Thanks for the help dzug1 and tradetime. Have property in Australia so have to pay full tax on that income and pay tax on earnings here of course. This raises another question for us, if we are here for another 5 years, is it better to rent or buy?

tradetime

femalenomad wrote: »

Thanks for the help dzug1 and tradetime. Have property in Australia so have to pay full tax on that income and pay tax on earnings here of course. This raises another question for us, if we are here for another 5 years, is it better to rent or buy?

Not sure which angle you are coming from with that question, if it's from a tax perspective, I do not believe there are any tax advantages in this country to buying, though if property were to substantially rise in value over the next 5yrs (Unlikely imho) then since is would be your primary dwelling there would be no tax due on the profit, not sure if you can claim anything back in Oz due to renting property here.

Cook_County

I assume you are both non-UK domiciled and paying UK tax on the remittance basis.

Asuming this is correct, you have no CGT exemptions so may pay UK CGT on any currency gain when you switch AUD to GBP and remit to the UK.

Once you have been resident 7 of 9 UK tax years you will presumably switch to the arising basis for UK tax?