Frequently Asked Questions

Will the US Internal Revenue tax my 25% cash lump sum when I take benefit?

The UK/US Double taxation Treaty effective January 2004, covers this point where you should seek the advice of your US tax adviser. If you have become a US citizen then the lump sum is subject to US taxation. If you are a Green Card holder or work permit resident then the Inland Revenues practice notes state that under the treaty the cash lump sum should not be assessed for US taxation.

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