off shore tax declaration

Yes.

and will i need to declare the funds

You will need to convince the recipient bank as to the legitimacy of the funds.

Given that you will be repatriating the funds there seems little advantage in the transaction anyway other than deferring the payment of some tax.

Yes, the interest is taxable in the UK, normally by reference to the date(s) of payment. I assume it will be paid gross?

The opening of the account does not need to be disclosed to the IR.

Unless you want trouble. The Inland Revenue receives details of all substantial transactions through UK banks. They will certainly scrutinise anything substantial that also passes through a CI account.

Oops, I meant British banks not UK banks

Yes, the interest is taxable in the UK, normally by reference to the date(s) of payment. I assume it will be paid gross?

The opening of the account does not need to be disclosed to the IR.

What's the difference?

In message , Doug Ramage writes

From July next year (a date which may slip) a 'retention' tax at 15%, rising to 35% in due course, will be deducted from CI & IOM accounts held by EU residents, 75% of which will be sent to the Revenue of the country of residence, although the account holder can opt instead for the deposit taker to advise the IR of the gross amount of interest paid. The OP's dosh should be out of the account by then of course.

Not much, but Guernsey is British but not part of the UK.

Any idea how they propose to determine which customers are "EU residents"? Will it be based on the nationality of the account holder, or simply on the address that they have on record? If, as I suspect, they base it on the latter, there seems to be a huge loophole there just waiting for everyone to jump through.

Chris

ISTR reading somewhere that it may be by tax documents. So if you claim to be UK resident, you would be asked to produce an appropriate certificate from the Inland Revenue.

In that case I can see major problems in getting such documentation from the tax authorities in countries that don't issue such certification.

Chris

In message , Chris Blunt writes

Their 'Know your customer' rules for Money Laundering are now more strict than here and a retrospective exercise has been conducted.

It isnt nationality, its residence.

In message , Chris Blunt writes

Like where? The EU Savings Tax Directive is pan European (and a bit beyond) and is being adopted throughout Europe, albeit with some local variations and all have signed up to it.

I was thinking about developing countries such as where I live in the Philippines. The tax office here is absolute chaos and its difficult enough to get even straightforward regular transactions carried out. I'm quite certain that if I were to ask for some obscure tax certificate which they'd never heard of to show my overseas bank I'd get nothing but blank looks. I'm sure there are dozens of countries like that.

If, on the other hand, its was simply a question of satisfying the offshore bank of my residence status, then that would make things a lot easier.

Chris

In message , Chris Blunt writes

It is the latter.