Dividends - tax on payments to foreigner shareholders?

[ASB]

Residence and domicile is a complicated area, and it's harder than you think to lose your residency in order to get the tax result you want! Just a brief overview here:

Tax on overseas earnings from employment : Directgov - Money, tax and benefits

Acquiring a domicile of choice is pretty difficult.The difficulties with residence become trivial by comparison.

Robert Gaines Cooper

[Gonzo]

I am waiting with bated breath to see whether or not I will get told to do a 2010 / 2011 return.

It was already in the post when I wrote that.



HMRC have demanded a return for the 2010/2011 tax year, even though it was the second tax year where I spent 0 days in the UK.

My company was struck off during the 2010/2011 tax year so I was a Director for part of it. I suspect that might have something to do with it but don't know for sure.

[Gonzo]

It took me a while to track it down but the important information for non-residents is here:

HM Revenue & Customs: Self Assessment for Non-residents

Directors that receive remuneration or benefits for activities relating to the UK will be taxed in the UK but otherwise there is nothing to pay.

As for the OP as a foreign shareholder, the way I read it then you will get a 10% tax credit that is non reclaimable but the £95K is yours.

Remember, I am not an accountant.


<EDIT>

I had to come up with something to piss on the OP's chips - it doesn't seem that long ago that you could get 3 Singapore Dollars to the £. That should do it.

[Old Greg]

i would like to say that a share of stock is the smallest unit of ownership in a company. If you own a share of a company’s stock, you are a part owner of the company.

Richard, what led you to register and share this pearl of wisdom?

What line of business are you in?

[BlasterBates]

On the whole UK sourced income will be taxed in the UK even if you are non-resident unless you can claim tax relief under a double taxation treaty.

HM Revenue & Customs: UK allowances for non-residents

If you own foreign shares it is normal for foreign tax to be deducted.