# Transfer Savings to USA



## felim (Nov 4, 2012)

Hi

I am UK citizen and married to a US citizen. We have been married for 7 years and lived in England. We are looking to move to the USA and would sell our home here and buy a house in USA. I'm wondering what would be the best way from a tax perspective to move proceeds of our house sale (maybe 200 thousand pounds). I have read on another post that if I move it in my name there'd be no tax due, is this true? If I moved it in my wife's name (US citizen) would she be taxed?


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## Bevdeforges (Nov 16, 2007)

Ooh, it all depends on so many things. 

Actually the transfer of the proceeds from the UK to the US shouldn't generate any taxes. What generates the taxes is the sale of the house and the determination of the capital gain on the sale. (Basically, the "profit" from the sale.)

If you sell the house in the UK while you are both still resident in the UK, then only the US citizen would declare the capital gain on the sale on their US tax return (your US spouse has been filing their US tax returns all these 7 years, right?). The first $250,000 of gain on the sale (or on the US citizen's portion of the gain) is free of tax.

If you get your US visa and are resident in the US when the house sells, then you file a joint return for that year - and you get the full $500,000 exemption on the gain.

But it's only the gain that is taxed either way. The proceeds transfer from bank to bank without generating any further taxes, though the transfer itself has to be declared by the bank (so they know where the money is coming from).
Cheers,
Bev


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## felim (Nov 4, 2012)

Thanks a lot. Very useful.


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