1. As a UK resident, HMRC will get first dibs on capital gains taxes. Overview here: https://www.gov.uk/capital-gains-tax. Short version is that after a £3,000 annual tax-free allowance, it's likely 24%. Note that your original cost basis applies, so if you bought the stocks in the US before moving, that's still the basis you use, it doesn't reset when you move. You could split the sales across the tax years, so get the £3,000 tax-free in 2024-25 before 05Apr, then again for 2025-26.
You'd be able to claim a Foreign Tax Credit on your US taxes, which in most scenarios would mean there's no US tax due.
You should also be able to offset the losses from the gains.
I don't think there's any impact from the changes to the non-dom regime starting 05Apr25 - capital gains are sourced to your country of residence, so these are UK-source gains, regardless of where the stocks/companies are located.
2. I did use Wise for this back in 2019 and it wasn't an issue. They asked a few more questions, had to use a wire to Wise rather than ACH, but it all worked fine.
Agree that the cheapest option is usually Interactive Brokers, but if you only use them for currency transfers they get grumpy about it (the cheap currency conversions are meant to be to facilitate investing, not just moving money around). I did get a warning once, when I was moving money for a house purchase (at least they didn't shut me down! At the time, I only had some small investments with them, and the transfers were much bigger than what I had invested). But if you've got more substantial investments with them, it might be an option. Or burning bridges - but as one of the few brokers willing to work with US citizens overseas, that would feel like short-term thinking to me.
You'd be able to claim a Foreign Tax Credit on your US taxes, which in most scenarios would mean there's no US tax due.
You should also be able to offset the losses from the gains.
I don't think there's any impact from the changes to the non-dom regime starting 05Apr25 - capital gains are sourced to your country of residence, so these are UK-source gains, regardless of where the stocks/companies are located.
2. I did use Wise for this back in 2019 and it wasn't an issue. They asked a few more questions, had to use a wire to Wise rather than ACH, but it all worked fine.
Agree that the cheapest option is usually Interactive Brokers, but if you only use them for currency transfers they get grumpy about it (the cheap currency conversions are meant to be to facilitate investing, not just moving money around). I did get a warning once, when I was moving money for a house purchase (at least they didn't shut me down! At the time, I only had some small investments with them, and the transfers were much bigger than what I had invested). But if you've got more substantial investments with them, it might be an option. Or burning bridges - but as one of the few brokers willing to work with US citizens overseas, that would feel like short-term thinking to me.
Statistics: Posted by tubaleiter — Tue Feb 18, 2025 12:56 am — Replies 3 — Views 342