# Bringing Money Back To The UK



## stevesamples (Feb 25, 2014)

Good Afternoon all

This is my first post of hopefully many.

In brief; 

What are the rules regarding transferring money home from your main salary? 

I would like to transfer £600 per month into my sister’s bank account. Is this feasible without having to pay any government taxes?

Thanks for your help


----------



## twowheelsgood (Feb 21, 2013)

Yes, just transfer it using BACS or a local money exchange, assuming you are paid in Dirhams into a UAE bank, there is no reason why not at this end.

At that end however, she would need to be careful that it wasn't going to be considered as 'income' from an overseas source so you would need to stay within UK Gift limits, so she doesn't get a tax bill.

Most people transfer money back home usinga variety of means and as longa s you are resident here, and non-resident in the Uk for tax purposes, there isn't a problem.


----------



## arabianhorse (Nov 13, 2013)

Why sisters account. If you're non resident for tax then put it in your account.


----------



## vantage (May 10, 2012)

i think gift limit in UK is around £3,600 per annum...


----------



## arabianhorse (Nov 13, 2013)

vantage said:


> i think gift limit in UK is around £3,600 per annum...


Are we talking inheritance tax implications here?

Coz it only crystallises if one dies within a certain time frame after making said gift
Your sister will not be liable for tax and neither will you unless you have assets above a certain threshold


----------



## stevesamples (Feb 25, 2014)

Good Afternoon Gentlemen 

My annual salary will be paid into my own HSBC account. I will have a direct debit set-up for an amount of £600 to be paid into my sister’s account each month. 

She will be living in the UK and not the UAE. 

Thanks for clearing this up for me


----------



## twowheelsgood (Feb 21, 2013)

arabianhorse said:


> Are we talking inheritance tax implications here?


No, nothing to do with IHT but is a £3,000 a year limit on how much money you can give away before they are liable for tax, so as the OP wants to send £600 a month to his sister, she will get taxed on most of it.


----------



## vantage (May 10, 2012)

stevesamples said:


> Good Afternoon Gentlemen My annual salary will be paid into my own HSBC account. I will have a direct debit set-up for an amount of £600 to be paid into my sisters account each month. She will be living in the UK and not the UAE. Thanks for clearing this up for me


If you want her to get it tax free, keep it out of the banks.
Take her home a wad of cash each year.....

She will be taxed on everything over 3,600, so effectively on 50% of what you send.


----------



## vantage (May 10, 2012)

arabianhorse said:


> Are we talking inheritance tax implications here?


No. Separate issue.


----------

