TAX FREE SAVING - ISA's and Expat's

August 10, 2015 ProACT Sam Orgill

How does an ISA work for Expat's

Build Up Your ISA

A UK tax resident can saving £15240 per year into an ISA.

This can be invested in bank deposits, national savings, shares, funds, corporate or government bonds. They can also be used for life or sickness insurance and pay out tax free sums to beneficiaries.

Hold On to your ISAs

The investments grow free of income and capital gains taxes. Withdrawals can be made at any time penalty free.

When you leave the UK and pay tax overseas you can keep the ISA but not add any new capital to it; unless and until you return to the UK as a tax resident.

Hold onto your ISA for Tax Free Savings

Transfer Options

Transferring ISA's becomes more complicated, because an ISA provider can have its own conditions that limits their suitability to you. But in theory you can transfer your ISA to another at any time for access to more appropriate savings options for you. Holding funds that grow in value, rather than pay interest can often lead to big tax savings, up to 30% for Cyprus tax residents.

Living and Working Abroad - Top Tips for Tax Free Saving ISA's

So you are an Expat what happen's?

1. Hold the ISA for Tax Free Savings in the UK.

2. You may have a tax liability in your country of residents.

Ask the ProACT Expat Experts how your country of tax residence affects your ISA.

3. Keep the shelter as long as it meets your needs, for a rainy day, supplement income, gift to grandchildren or children.

4. Top up you ISA savings if you return as a UK tax resident.

5. If you die your spouse or civil partner can inherit your ISA within the ISA shelter, make sure you specify this when you Make a Will

Ask the ProACT Expat Experts to Review your Will to keep the tax benefits of the ISA for your Widow.

6. The lump sum value of your ISA on death is income and capital gains tax free. But the ISA is part of your Inheritance Tax calculation and must be declared in full in probate tax clearance.

Ask the ProACT Expat Experts to Review your Inheritance Tax Liability on first and second death, and the liability to your Widow or family.

Thank You,

Sam Orgill

ProACT Partnership - Tax Saving Experts

Look Forward Never Back : A Daily Pursuit of Perfection in What We Do

TAX - BUSINESS - WILLS & ESTATES - IMMIGRATION - PROPERTY SERVICES

ProACT Private Client Expatriate Advice Services for professionals, business and the retired

living and working abroad, relocating overseas, investing offshore.

OFFICE TEL: +357 26 819 424 - Cyprus Time Monday to Friday 8am -2 pm

RECEPTION TEL: +44 1753 27 2116 FAX: +44 1753 27 2001 -

ProACT CONNECTIONS - Get Social * Click the Link - Stay Connected

Free Newsletter for Expats http://www.proactpartnership.com/free-newsletter-tax-saving-tips