Thread: UK Banking for expats in the US
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Old 25th May 2008, 01:49 AM
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Quote:
Originally Posted by synthia View Post
Is the ISA account a retirement account that is sheltered from tax in the US? Because I think that as long as you don't make contributions or withdraw any of the interest, you won't be subject to tax in the US. I can't tell you why I think this is true, but probably it was discussed somewhere/time in some long rambling discussion with some expats. Anyway, you could contact the IRS and ask if it will be taxable, or consult an international tax accountant or lawyer who will know what the situation is.

If it is a retirement account, that shelter should be honored on both sides of the pond.
They're most probably taxable by the IRS, both interest and capital gains. That's if you care to let the IRS know you have them, that is.

The problem the OP has is that if he cashed in and brought the money over instead, he could not just transfer it to retirements accounts and thus it would be subject to the same taxation. So I don't really see any great gain for him.
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