You’ve been in the UK for 5 years –here are the key financial considerations you should begin thinking about
As an American living in the UK, almost nothing related to your financial affairs is easy. The consequences of seemingly simple decisions – such as how to pay for a new home or purchase a mutual fund – may create unnecessary tax charges and complexities. There are a number of key milestones that occur, from the time you arrive in the UK to the time you potentially approach and eventually reach retirement. Many of these changes will impact the appropriate wealth management strategies for American expats.
Understanding how rules will change for you over time will allow you to plan ahead and make prudent financial decisions. In this edition we will address some of the important financial considerations that a US person should be aware of once they are tax resident in the UK for more than 7 out of the last 9 years.
Upon arriving in the UK, most Americans are non-domicile for income tax purposes. Usually you can elect to pay tax on the remittance basis so that UK tax is only paid on foreign income or gains when they are brought into the UK.
Click here to see the article written by Andrea Solana.