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Spending five years in France for tax reasons
gadgetmind
Posts: 11,130 Forumite
This looks like a wizard wheeze.
Take your 25% lump sum from your pension, buy a £20k annuity with some of the remaining pot, then clear off to France for five years and get the rest of the pot at less than 7% tax.
http://www.sykesanderson.com/Service_France/articles/french-tax-uk-pension-draw-down.asp
You probably only even have to spend one year in France as you'll then have the lot in your back pocket so can go globe trotting anywhere other than blighty for the next four years.
Take your 25% lump sum from your pension, buy a £20k annuity with some of the remaining pot, then clear off to France for five years and get the rest of the pot at less than 7% tax.
http://www.sykesanderson.com/Service_France/articles/french-tax-uk-pension-draw-down.asp
You probably only even have to spend one year in France as you'll then have the lot in your back pocket so can go globe trotting anywhere other than blighty for the next four years.
I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
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Seems legit.Thinking critically since 1996....0
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Cyprus might also work and tax is just 5% there on pension income. There is also no tax on income from interest and dividends. No capital gains on shares either.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
Yes Cyprus looks good, do you know how Malta does it's taxation on pensions?:cool:0
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Malta seems to be 15%
http://www.euroconsulta.com/residence/malta-retirement.htm
Compare and contrast with the way HRMC treats pensioners as a source of tax income.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
No doubt at some stage the Brutish ( pun iintended ) Government will try and tie up thi sloop hole.
6 % from an annuity, to generate 20 000 GBP seems a little optimistic, especially at age 55.
Still the 25% tax free could be a nice way to invest in property in France, whilst teh health remains and snag one of those nice places in the country needing work, which over 5 years would be a nice little project.
Does anyone know the laws regarding this scheme for spanish tax law ( more sunshine, prefferable food and wine and better fishing )0 -
6 % from an annuity, to generate 20 000 GBP seems a little optimistic, especially at age 55.
Annuity rates keep moving which quickly makes such articles out of date.Does anyone know the laws regarding this scheme for spanish tax law ( more sunshine, prefferable food and wine and better fishing )
Dunno, but the Spanish are more than a little left-leaning and corrupt. Cyprus is looking like the best option so far, particularly as you'd only need to be resident for 183 days.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
Why on earth would I voluntarily tell any foreign government about my financial affairs ?
Getting your money without the deduction of tax is not the same as being compelled to then tell all and sundry about it in the hope of being taxed at a lower rate.0 -
I'm not sure what you're on about, TBH.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0
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