Husband an Expat overseas

xylophone

The op can make a claim as a single person, but the husbands income still has to be declared as 'foreign income' when claiming for tax credits even if its not taxable in the UK because its still income that will benefit the household, along with any investments, savings or pensions.

I'm mystified!

http://www.hmrc.gov.uk/taxcredits/start/claiming/income-hours/other-income.htm
"When the Tax Credit Office works out your tax credits payments, they look at your income for the last tax year. A tax year runs from 6 April one year to 5 April the next. As well as what you earn by working you'll have to give details of other income. If you're claiming as a couple it is your joint other income that counts."

But the OP would not be claiming as a couple?

Clearly she needs to clarify this by writing to HMRC? http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=TC_tM5uswa0

notanewuser

ConfusedExpat wrote: »

Thanks to those who have provided helpful comments in response to my original post. I am better informed as a result and appreciate them.

To those who chose to attack and waste their time on this, I hope that their lives can be filled with more interesting things in the future.

We chose to move overseas when a former government deemed it fair to charge an income tax rate of 50%. We disagreed and instead of moaning about it, we did something about it and moved to Saudi and Dubai. As far as I understand it is not a crime to move overseas and return from time to time.

Enjoy 2013!

Yes, much much better to pay no tax anywhere, isn't it.

AFAIR, your husband can't move any cash into uk bank accounts without alerting HMRC.

Are you sure you've thought this plan out properly?

notanewuser

Bad luck. http://britishexpats.com/forum/showthread.php?t=733272

ConfusedExpat

Which is why I posted my question in the first place! You are quite right it is not clear!

Iif you are an expat who has satisfied the HMRC with a P85 that by their rules you are outside of the UK tax system you can send as much cash as you like into a UK bank account, the remittance is not subject to any income tax. At least that is one point I am we'll aware of.

skintandscared_2

I pointed out quite a few posts ago that income earned and kept overseas would not be taxable, but funds remitted to the UK would.

I do not believe that the husband working overseas is not contributing anything towards his family in the UK. One poster said maintenance isn't counted - it's NOT maintenance, they haven't split up.

This thread saddens me on so many levels, not least because a husband and father is living on the other side of the world to his wife and children just to avoid paying tax. Too sad

ConfusedExpat

Not an accurate article, complete a P85 and get a response from the HMRC that agrees and you have no tax to pay.

Sorry:)

princessdon

To be fair they are returning for benefits (even if in kind due to University). They SHOULDN'T be allowed to Claim Tax Credits - but the system appears to allow this.

Although it does say if the OH is permanently overseas (I suspect OP's OH is due to return at some point, otherwise they'd have sold their home).

It stinks that OP's OH will be on AT LEAST £100K tax free probably more (assuming I know wages the way I do over there and that OP's OH was a 50% rate before leaving) and she can claim benefits and not be made to even look for work.

BUT ... It's not her fault. It's the legacy of Tax Credits from Labour that allow it. It IS changing under UC in some way as OP's savings, houses and investments will stop the claim, but it should have been introuduced well before now.

What I find funny about the support was that if a politician claims expenses over a high amount (Like IDS who spent £39 on brekkie) the "pro benefits" brigade go all out, but when someone has a vast amount of income and want's to "use a loophole" then it's fair game - their entitlement.

Mp's are entitled to expenses just like OP is entitled to claim despite being better of financilly than most of the UK whilst hardworking families struggle to pay bills to ensure they get money they don't need.

Both stink - but sadly both are permitted, whilst I personally wouldn't dream of claiming TC if I was that well off, it appears OP wants to.

One more thing though - you need to look at University because they will have different rules to HMRC and you may find that because your son wasn't living here 3 years prior that you may not get all the free education from being a "low income, single parent family" but is an overseas student. It's one to look at.

ConfusedExpat

A 6 hour flight to London is less time than my husband has spent driving from South of London to Cheshire in the past. So I think it better to be away for periods of time then having multiple short holidays in the year than to be 200 miles away working all week!

Personal,choice.

DuckEggGingham

skintandscared wrote: »

This thread saddens me on so many levels, not least because a husband and father is living on the other side of the world to his wife and children just to avoid paying tax. Too sad

Have to agree! It is on par with those you see on these threads asking if getting back with their 'ex' will affect their benefits. No difference between the attitudes at all really.

ConfusedExpat

I don't know why tax credits are being quoted, I don't know anything about them nor have I enquired. Also neither I nor my children have been anything other than resident in the UK according to HMRC rules. Only my husband is no longer resident, it is not crime to spend time in two or more countries despite comments above. My son will go to a UK university and pay home fees as he has been assessed as a home student, again following all the relevant rules.