What not to forget when leaving the UK
by Alexander Beard, on Oct 20, 2015 5:26:09 AM
When moving overseas the more tangible issues people tend to face are arranging Visas, transport of possessions, arranging employment and selling property. There are however things that are often forgotten and can come back and haunt you in the future!
The three main areas that people should address before leaving the UK are cross border financial, tax and legal planning. Let’s look at some examples of each.
ISAs can be a great way for UK residents to save and invest for the future. Because of this many people will leave their money invested in an ISA when they leave the UK. What they haven’t thought about is if the country they are moving to will recognise the tax efficiency of an ISA. The majority of the time they don’t so advice needs to be taken on how best to manage your savings / investments when you leave the UK.
Moving to general tax, you may be leaving income producing assets behind in the UK. Many countries have double taxation treaties with the UK that define where you pay tax. By taking cross border tax advice, you can identify where the best places to pay your tax are and find out about tax compliance issues you may face. The USA is a good example where if you are non-compliant it could create significant problems.
Lastly, the legal implications of moving overseas are often highlighted when you leave property behind in the UK. You may well have a Will that clearly defines how your assets are dispersed on death. However, it may be your Will isn’t recognised in the country where you live, so it’s important you get advice on how to structure your estate planning. This could improve the speed of how your estate is distributed and help reduce the amount of death duty your beneficiaries may have to pay.
In summary, try to remember that when you move overseas there are things that may not seem important that need care and attention. At Alexander Beard, our cross border financial planning service can assist you. We regularly work with tax and legal service providers who operate in the cross border space. This allows us to coordinate a service that covers all your financial, tax and legal planning needs when moving overseas.
Managing Director - Expat and Emigration Division