Tax on off shore accounts

[Eneukman 1]

As most of you from the UK will know, those bastards in Brussels are doing their best to mess up the tax free intrerest available on accounts held in the Isle of Man and the Channel Islands.

 

As I understand the position, my Isle of Man bank will be obliged to deduct withholding tax from my interest unless I can send them a letter from an accountant here certifying that I do not have to pay income tax in Thailand. Can anyone recommend a reliable accountant who can give me an appropriate letter?

 

The tax rate for this tax year isn't too bad but it seems as though this will increase to something outrageous like 35% in a year or two.

 

Alan

[BigRobo 0]

My offshore accounts pay my interest gross. It is up to me to declare any interest to the Inland Revenue.

 

I thought all offshore accounts worked like this, so I dont understand why you are having a deduction at source.

[SunnyValentine 173]

I have received a letter from my Channel Islands Bank recently that - as I reside in Thailand, therefore outside EU - they won't deduct any taxes. I understand the regulation as only for EU countries residents. (I am holder of an EU Passport, but have reported my Thai permanent address to the Bank by an informal letter one Year ago.)

So what is your bank's problem?

 

Sunny

[JohnnyK 28]

Alan,

I have offshore too and its only if you live in the EU.

Show them something that says you don't live in the EU anymore and you should be fine.

[OnMyWay 0]

I don't mean to hijack the thread, but has anyone from the US here had success in offshore accounts?

 

Hub

Hub,

 

when I saw you posting in a topic with "accounting" in the title i was scared. I mean, no decent, self-respecting "Accountant" would buy a BG a $35 swimsuit!

[neil324 0]

Anyone know some good offshore accounts from the UK, ive been looking and the best rate i could find was about 4.20% with abbey national international base rate tracker which is linked to the UK base rate, is this the best you will get or is there better

[JohnnyK 28]

Anyone know some good offshore accounts from the UK, ive been looking and the best rate i could find was about 4.20% with abbey national international base rate tracker which is linked to the UK base rate, is this the best you will get or is there better

My experience is they are all pretty much samesame, the difference is in the service. Only differences I have found are bound up with amount on deposit, for how long and how often you want interest paid out to you.

[Soi7 1]

I wish I had that problem

[Eneukman 1]

If I wish to request my interest to be paid without deduction of tax in future, I have to complete a "Self Certified Exemption Form" giving the reason for being excluded from the European Union Savings Tax Directive.

 

This gives me 4 options -

 

1. I am resident in the UK but my offshore interest is only liable to tax in the UK if that interest is remitted. There is more on this exemtion but it doesn't apply to me as I'm no longer resident in the UK for income tax purposes.

 

2. I attach a Tax Exemption Certificate issued by the tax authority in the country in which I am permanently resident.

 

3. I attach a letter from my accountant/solicitor confirming I am exempt from paying tax in my EU member state. Doesn't apply to me as my income in the UK is liable to tax.

 

4. I benefit from income tax in my country of residence. Please give further details.

 

Having read this again, it may well be that I have been reading too much into this. They still have a correspondence address for me in the UK so I think I will advise them of my address here in Thailand and claim exemption on the grounds that I am no longer resident in the UK.

 

Alan

[SunnyValentine 173]

Having read this again, it may well be that I have been reading too much into this. They still have a correspondence address for me in the UK so I think I will advise them of my address here in Thailand and claim exemption on the grounds that I am no longer resident in the UK.

 

I think that's what you should do. And in case they still want more papers or cut taxes, just change banks. Abbey International in Jersey made no problems for me.

 

Sunny

[Eneukman 1]

I think that's what you should do. And in case they still want more papers or cut taxes, just change banks. Abbey International in Jersey made no problems for me.

 

Sunny

Letter written. I'll post it tomorrow afternoon.

 

The letter from Nationwide was actually written when I was still living in the UK so hopefully once they accept that I'm now living in Thailand, there won't be a problem.

 

Alan

[Bazle 1,480]

Brits interested in offshore bank accounts might find this article of some interest - basically a comparison of charges:

 

http://www.thisismoney.co.uk/saving-and-ba...99&in_page_id=7

[Eneukman 1]

Nationwide International in the Isle of Man have now confirmed to me that as I am no longer living in the EC, I can get my interest paid without deduction of tax.

 

Wonder how long it will take those overpaid wankers in Brussels to try to tax non-residents in the EC as well?

 

Alan

[jacko 8,813]

Nationwide International in the Isle of Man have now confirmed to me that as I am no longer living in the EC, I can get my interest paid without deduction of tax.

 

Wonder how long it will take those overpaid wankers in Brussels to try to tax non-residents in the EC as well?

 

Alan

Or perhaps for the overpaid wankers in your chosen country of residence to tax you on any earnings outside of the country????

Wow....a way for Thailand to boost their tax coffers without upsetting any Thais!!!

[Blazer 0]

Hub,

 

This may be something you're interested in.

 

http://www.hsbc.com.hk/hk/personal/bank/ibc/default.htm

[roderick17 0]

The flag in my nic repesents Vanautu a well know offshore finance centre and tax haven in the South Pacific. If you want advice about setting up an Investment

account in sunny vanuatu or tax issues generally PM me

 

 

James

[Tengotodo 52]

I am a CPA in the US and if you pay me enough...I can make you millions!!