I'm an ex-pat...will I have to pay capital gains tax on my inheritance? |
|
Source: Financial Mail Women's Forum, 25th July 2010 I live in Spain and have inherited a trust fund of about £90,000, which is made up of shares and unit trusts. The solicitors advise that the whole inheritance is subject to UK Capital Gains Tax. Is this correct? If I do have to pay, am I right in thinking that CGT is set at 18%, but a certain amount of the money is exempt? Wendy, Costa Brava The CGT treatment of assets within a trust will vary depending on the type of trust. Firstly, if this is a UK trust (which will be the case if any of the trustees are UK resident and if your uncle was UK resident), the trust will be liable to UK tax and this should be paid by the trustees from the trust assets. Unless this is a bare trust, which does not sound to be the case, the trustees will need to pay tax at 28% on any gains over the annual exemption of up to £5,050. - Lesley Collins, Chief Executive, Independent Women |
