Payments from the USA

[retired_member16]

Are there any issues tax wise from receving payments of over £10000 from the US?

Is it best to break it down to smaller payments not totalling more that £10k each to avoid detection ?

[mat]

Ive got a banana boat if you want to borrow it?

[woopwoop]

It'll be recorded and might flag a couple of things, but as long as you're not doing anything bad with the money you should be ok.

You won't get taxed just because you are transfering the money overseas. I've sent >£10k the other way (UK>US) without any tax.

But you'd have tax issues in The UK if it's a purchase / service fee. So if a profit's being made on whatever you're selling.

There could be a tax strategic way of recieving these funds as separate, smaller amounts - just depends on what you're selling and the profit made, and how much you want to reduce your tax liability.

[Darren]

Originally Posted by mat

Ive got a banana boat if you want to borrow it?

LOL sorry that tickled me.

[retired_member16]

Originally Posted by woopwoop

It'll be recorded and might flag a couple of things, but as long as you're not doing anything bad with the money you should be ok.

You won't get taxed just because you are transfering the money overseas. I've sent >£10k the other way (UK>US) without any tax.

But you'd have tax issues in The UK if it's a purchase / service fee. So if a profit's being made on whatever you're selling.

There could be a tax strategic way of recieving these funds as separate, smaller amounts - just depends on what you're selling and the profit made, and how much you want to reduce your tax liability.

So if I make a profit, I may be liable for tax. I thought that might be the case.

Thanks

[badger]

Ok course, anything you "gain" is an income and therefore liable to taxation - be that £1 or £1,000,000.

As this global network economy becomes more rife however, the inland revenue are struggling to keep up. Ebay "at home" businesses are their biggest nightmare.
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Best to speak with an accountant as the US has a double tax treaty with you UK so, if its taxed at source, you may ok.

Aside from that, be careful what you write on a public available forum.

Nice drop of income though, whatever it was for