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My sister lives in usa & has dual us/uk citizenship. She may soon inherit some money - about £40k - can she put this in a UK savings account?

by alderman 17 December 2009 |

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Interest on savings, if invested, plus UK pension income, alsl paid into UK account, will exceed UK personal allowance

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manzanilla posted
Why on earth would she want to do this? She is retired and living in America. It doesn't make any sense for her to keep her savings in sterling account.
And she will have a lot of problems opening a UK based account as she doesn't live here - she won't get past the money laundering regulations.
If she is desperate to keep the money in Sterling, she needs to go to a decent bank in the US that will let her have a Sterling account - but she can expect to get aprox zero interest on the money.
Tell her to convert it into dollars and take it back home.
re the tax issue, see my reply to your other question. She won't have to pay tax in the UK but will have to in the US.
manzanilla
Posted on 17 December 2009 | Love 2 loves Report
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MikeGG1 posted
Alderman
She will probably be able to invest in existing accounts or possibly in new accounts with the same provider, just as long as she has a correspondence address in UK. Maybe yours?
Failing that, she could open an Offshore account in Isle of Man. They are within the British Sort Code system, but do not have the same identity regulations as UK Onshore. I say IOM because their compensation scheme is similar to ours so £50,000 is covered whereas the Channel Isles are still restricted to €20,000 (Euros) as far as I am aware.
This all presumes that she wants to keep the money in Sterling, possibly as a currency hedge or to spend when she is over here on holidays. Otherwise, get it transferred electronically with the pension transferred less frequently than monthly to reduce transmission costs.
The long arm of the Taxmen stretches worldwide these days, even in so-called tax havens, so IRS should be informed of any income if she is a US Tax Resident.
Mike
Posted on 17 December 2009 | Love 2 loves Report
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peepobaby posted
Its rather funny that someone in the US would want to put money in the UK. are people in the US panicking that much? my sense is not, only the british panic.
Posted on 27 December 2009 | Love 0 loves Report

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