RE1730 - Non-residents: foreign dividends paid in the UK

Total relief from tax is due in respect of certain classes of income payable in the United Kingdom to an individual who is not resident in the United Kingdom. The individual must be the beneficial owner of the securities or other sources of the income. The classes of income on which total relief is due are

• the interest or dividends on any securities of any state or territory outside the United Kingdom
• the interest, dividends or other annual payments in respect of the stocks, funds, shares or securities of any body of persons not resident in the United Kingdom.

Claims to relief are normally dealt with by the receiving office.

Arrangements may be made in certain cases for any later payments of interest, dividends and other annual payments to be made without deduction of tax. The arrangements are made by the receiving office.

Relief may also be due where the source of the income is held in the names of trustees who are resident in the United Kingdom and a beneficiary or annuitant of the trust is not resident. The relevant instructions are in TM1310.