Non-dom and SIPP?

Marlboro187

Hello,

I am non-dom claiming remittance basis. I have no UK earnings. I repatriated c. £30k of capital gains into UK this tax year, on which I will have to pay capital gains tax.

Question I have is the following - can I contribute some of this £30k into SIPP in order to decrease the tax charge I have to pay? (roughly £6k). 

Thank you

MallyGirl

you would be limited to £3,600 gross contributions because you have no UK earnings. Whether you can contribute at all with the non-dom status is beyond my knowledge

DRS1

You can pay £3600 gross to a SIPP if you are UK resident and have no taxable earnings.
I don't think that contribution will impact the tax you pay on the remitted gain as that is CGT not income tax.

Marcon

DRS1 said:

You can pay £3600 gross to a SIPP if you are UK resident and have no taxable earnings.
I don't think that contribution will impact the tax you pay on the remitted gain as that is CGT not income tax.

As a non-dom, OP is a UK resident so can make a gross contribution of £3,600.

There can be an interaction between pension contributions and CGT - best article I could find covering the situation was this: https://www.finura.co.uk/news/making-pension-contributions-to-reduce-capital-gains-tax/ albeit it won't immediately help OP.

Marlboro187

Much appreciated! Apologies if this is a wrong forum to ask this, but is it possible to get a recommendation of a tax advisor who can help with me non-dom matters as this and who can do this for a relatively lower fee? (most of the quotes I got are ridiculous relative to a potential £3-4k tax bill).

poseidon1

Marlboro187 said:

Much appreciated! Apologies if this is a wrong forum to ask this, but is it possible to get a recommendation of a tax advisor who can help with me non-dom matters as this and who can do this for a relatively lower fee? (most of the quotes I got are ridiculous relative to a potential £3-4k tax bill).

I afraid there is no such thing as a 'cheap tax advisor' for non dom matters. It is a relatively small universe of practitioners in that field, typically mid to top tier chartered accountancy practices. 

However you may find the thread below of interest ( another non dom seeking advice ), the eventual outcome in his case indicated he eventually tracked down specialist advice the cost of which suited his circumstances  and details of which he was happy to share ( see especially his posts on the 19th and 20th November)  - 

https://forums.moneysavingexpert.com/discussion/6567550/offshore-money-offshore-etf-traded-on-lse-remittance#latest

Marlboro187

Thank you. I might be blind, but I could not find the name there. I've messaged the OP but no response yet - if you have it handy and could PM me that would be highly appreciated!

poseidon1

Marlboro187 said:

Thank you. I might be blind, but I could not find the name there. I've messaged the OP but no response yet - if you have it handy and could PM me that would be highly appreciated!

He did not mention the name of the firm merely the hourly charge rate ( £250 per hour). 

I see that the OP's last post on the forums was mid January, so he may no longer be active for the moment. I don't know if DMs are notified direct to OPs private emails in some fashion ( I have never used the system).