Tax on NZ income
Hi all, I've received a letter from HMRC saying that I've been flagged up as having to pay tax on worldwide income. I'm from New Zealand originally and have a bank account there. I am working full time in the UK and pay tax using PAYE.
I bought a property in New Zealand in 2014, lived there for about seven months, then started renting it out and moved to the UK in 2015. I paid tax on the rental in New Zealand. I then sold the property in 2022. I co-owned the property with an ex. After the sale, I put some of the proceeds in term deposits. The gain was over $200k in NZD, and my ex and I split the remainder after covering each of our original investments such as the deposit. I've never transferred anything to the UK.
I didn't realise that the UK would have any claim over this until the letter arrived - so now I'm worried I'm due for a huge tax bill. I was wondering if anyone has any advice, will I have to pay penalties as well?