Untaxed Income

abby.windy

Hi, I have some foriegn income which remains untaxed.


I want to pay all that is outstanding voluntarily and do the right thing.

Dazed_and_confused

Is the interest more than £2,000 each tax year?

as I never realised the profits

Are you saying that if you deposited say 1,000 rupees earning 6% then when the fixed deposit is renewed after a year it renews with 1,000 rupees. Or does it renew with 1,060 rupees?

abby.windy

1. Yes, interest is greater than £2000 pa.

xylophone

See


https://www.litrg.org.uk/tax-guides/migrants/residence-and-domicile/how-are-foreign-income-and-gains-taxed

Dazed_and_confused

1). It look like you should be completing the Foreign Income page on the Self Assessment return then.

2). Not sure how you come to the conclusion that you haven't realised the profits? In year two (assuming it renews at 6%) your interest will by 63.6 rupees, not 60.

I suggest you have a read of the notes which accompany the Foreign Page of the Self Assessment return and the link xylophone provided as a start and decide if you feel engaging an accountant is the best way forward?

You are likely to have to pay less overall if you come forward to HMRC rather than them find out and investigate your returns.

abby.windy

Also, I am a resident in UK (settled)

abby.windy

1. Can you please suggest if there will be a penalty if declare this myself? If so how much

BoGoF

Where are you domiciled?

abby.windy

BoGoF wrote: »

Where are you domiciled?

settled in UK

abby.windy

Can you please advise if the accountant will charge for each last year that needs tax to be paid? I've been told by someone they charge £340 for each year. So 340 x 9 will be a lot of fees.

Dazed_and_confused wrote: »

1). It look like you should be completing the Foreign Income page on the Self Assessment return then.

2). Not sure how you come to the conclusion that you haven't realised the profits? In year two (assuming it renews at 6%) your interest will by 63.6 rupees, not 60.

I suggest you have a read of the notes which accompany the Foreign Page of the Self Assessment return and the link xylophone provided as a start and decide if you feel engaging an accountant is the best way forward?

You are likely to have to pay less overall if you come forward to HMRC rather than them find out and investigate your returns.

abby.windy

Also, does it make sense to file amendments to last year return (2017-2018) now?