Sorry for yet another post on this topic but I'm going round in circles and close to having to appoint a zeirish I feel. Any help appreciated.
I'm still NPR (until 15th April 2026) and this year I've remitted around £11,000 to Japan. I also started receiving 2 UK pensions (totalling £2500 before year end) on top of savings interest (around £8000). This is almost my £11000 and as I understand it the above 2 sources would be taxed at misc (pension) and marginal income tax rates. My marginal rate is low.
On top of this I also have a USS (university pension) lump sum payment (£7000) – which I'm not sure how to classify – retirement income or something else? I also have a small capital gain from a mixed bond/equity fund sale in the UK of £1400 and a teacher's pension (TPS) total of £3500 which I believe is UK taxed only based on the tax treaty.
My main questions are:
a) which (if not all) of the above constitute foreign income remitted to Japan?
b) The above is higher than my £11,000 remitted. Can I choose the cheapest to offset first eg retirement income or is it pro-ratad across all eligible income sources?
c) Is my pension lump sum actually retirement income or something else? It is based on years of service, a DB scheme, and according to at least one zeirishi website I came across, similar to the Japan Private Teachers' Mutual Aid Pension scheme. I have discussed this before in previous threads.
d) Should my TPS pension be included in the total remitted?
Sorry for all the questions. I'd like to avoid a zeirishi if possible.
Thanks.
by steford