The Book-keepers Forum (BKF)
The Book-keepers Forum (UK) -> VAT, Payroll & Tax -> Tax Taken Off Foreign Dividends
Post Info TOPIC: Tax Taken Off Foreign Dividends
Don Tax


Expert

Status: Offline
Posts: 1716
Date:
Tax Taken Off Foreign Dividends
Permalink Closed

Hi peeps. Can someone confirm what I can reclaim on a dividend voucher showing Gross £116.87 and Swiss Withholding Tax Paid £40.90

As this is the only foreign dividend I have the option of using the core tax return page 3 Box 6 and the Revenue note above the box reads :

Tax taken off foreign dividends (the sterling equivalent).

Great.  On the face of it, I can reclaim 35% tax.

 

The helpnote on the tax software states :

Only a 10% tax credit will be given on these dividends.

If the dividend payment has been received in a foreign currency, you must convert both it and the tax credit to pounds sterling.

 

These last two statements appear to be contradictory.    Can anyone confirm that I should only reclaim £8.44 or other amount.

Many thanks.

Edit: 20% taxpayer

 

 

 

 



-- Edited by Don Tax on Thursday 23rd of January 2014 01:25:20 PM

__________________
FoxAccountancyServices


Expert

Status: Offline
Posts: 2021
Date:
Permalink Closed

Hi Tim

You enter £75.97 on the UK dividends page, where it asks for foreign divs under £300. You put in the tax, and then when you go to the tax calc, you will see the gross dividend has been reduced to give you some tax saving.. under £300 and you only get a tax credit, no double taxation relief per se

 



-- Edited by FoxAccountancyServices on Thursday 23rd of January 2014 06:22:34 PM

__________________
Don Tax


Expert

Status: Offline
Posts: 1716
Date:
Permalink Closed

Oh yes! Thank you very much. Doh.

There was some controversy about the supplementary foreign pages allowing equivalent relief a few years ago where the core Return did not.

Ta Michelle.


__________________
FoxAccountancyServices


Expert

Status: Offline
Posts: 2021
Date:
Permalink Closed

I was confused myself about that one, so phoned HMRC to verify. Its not something you come across often if you work with small businesses! LOL



-- Edited by FoxAccountancyServices on Thursday 23rd of January 2014 08:41:48 PM

__________________
Don Tax


Expert

Status: Offline
Posts: 1716
Date:
Permalink Closed

And you know if I'd only tried no claiming 35% the software would have gone to red alert

....... and right again - he inherited the investments after bereavement.





__________________
Page 1 of 1  sorted by
 
Quick Reply

Please log in to post quick replies.
The Book-keepers Forum (UK) -> VAT, Payroll & Tax -> Tax Taken Off Foreign Dividends
Tweet this page Post to Digg Post to Del.icio.us
Members Login
Username 
 
Password 
    Remember Me  
©2007-2024 The Book-keepers Forum (BKF). All Rights Reserved. The Book-keepers Forum (BKF) is a trading division of Bookcert Ltd. Registered in England Company Number 05782923. 2 Laurel House, 1 Station Rd, Worle, Weston-super-Mare, North Somerset, BS22 6AR, United Kingdom. The Book-keepers Forum and BKF are trademarks of Bookcert Ltd. This forum is a discussion forum only. There will usually be more than one opinion to any question and any posting should not be viewed as a definitive solution. No responsibility for loss occasioned to any person acting or refraining from action as a result of any posting on this site is accepted by the contributors or The Book-keepers Forum. In all cases, appropriate professional advice should be sought before making a decision. We reserve the right to remove any postings which are offensive, libellous, self-promoting or engaged in covert marketing. We will not notify users of removals. The views expressed in the forum posts are those of the individual and do not necessary reflect or agree with those of The Book-keepers Forum. Any offensive or unsuitable posts will be removed by the moderators. Any reader of this forum can request for a post to be looked into by sending an email to: bookcertltd@gmail.com.

Privacy & Cookie Policy  About