u/Scared_Assumption545

How to report UK income?

Trying to get my head around filing for my SFOP...

I understand I report the total PAYE/income tax paid. I have pension contributions (matched by my employer), student loan repayments, national insurance contributions and a couple of salary sacrifice payments so what value do I need to provide? Is the value I am reporting before all of these, even though I know the US doesn't recognise things like national insurance contributions? Just a bit confused on how the numbers will look if I only report I've paid PAYE/income tax as my wages will look more than what I actually received after these other contributions?

I am thinking of including pension contributions to build up basis for when I do withdraw in the future, assuming this includes my contribution and whatever is matched?

The 'specialist' I've hired can't answer these questions well and the communication hasn't been great - so I would also be open for recommendations for a US/UK tax specialist who could help with our SFOP filings, also dealing with a house sale next year which might be complex.

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u/Scared_Assumption545 — 4 days ago

How much might I owe to the IRS and how does this affect future planning as a UK/US citizen?

I have read countless threads and articles online and the information is so overwhelming, so apologies if this has been answered elsewhere in the subreddit.

I am in the process of completing my SFOP with a UK-based company and haven't had particular clear responses on my many questions. I feel I have a tricky situation as I received some inheritance from my late Mum from her employer's death in service benefit, also hold a cash ISA, savings account and premium bonds; my employer is the NHS so the pension I pay into isn't the same as a SIPP. My brother also receives PIP and I am supporting completing his SFOP as he is unable to do so himself.

I know I already pay tax on my income so that cancels out, but how does it work with regards to savings interest/premium bond winnings/inheritance/PIP payments? I also will still be paying back loans for my uni tuition fees and maintenance loan from my income - I don't know how UK student loans get reported?

The idea of having to pay any money on inheritance I got from my mother who is a UK citizen is too infuriating to think about. I also hope to buy a house with my partner (UK citizen) next year once the sale of her house is sorted - I don't fully understand what happens with getting a mortgage as a UK/US citizen. We also plan to open a LISA each to help with funds but I feel it might not be worth the hassle for me?

I've ruminated on the idea of revoking our citizenship but we have family still in the US and the process of doing it really doesn't seem worth the stress. The stress of trying to plan for my future is just as bad though.

Thank you in advance!

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u/Scared_Assumption545 — 6 days ago