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NHS surcharge double tax for immigration.

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nevilleturel
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NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 2:21 am

Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
I am applying for a family visa from India to come to the UK and need to pay the NHS surcharge.
I pay 400 GBP for every year in advance before coming to the UK. I will again pay towards NHS through NI tax when I work and draw a salary (as NI contributions include NHS payment for the year).
Isn't this double tax? and why is there no tax exemptions for people who already have paid their NHS contribution?

Thanks.

vinny
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Re: NHS surcharge double tax for immigration.

Post by vinny » Sun Aug 09, 2020 2:30 am

This is not intended to be legal or professional advice in any jurisdiction. Please click on any given links for further information. Refer to the source of any quotes.
We do not inherit the Earth from our ancestors, we borrow it from our children.

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 3:09 am

I am looking for advice not giving advice

vinny
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Re: NHS surcharge double tax for immigration.

Post by vinny » Sun Aug 09, 2020 3:26 am

nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
The linked document gives relevant information.
This is not intended to be legal or professional advice in any jurisdiction. Please click on any given links for further information. Refer to the source of any quotes.
We do not inherit the Earth from our ancestors, we borrow it from our children.

vinny
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Re: NHS surcharge double tax for immigration.

Post by vinny » Sun Aug 09, 2020 3:33 am

This is not intended to be legal or professional advice in any jurisdiction. Please click on any given links for further information. Refer to the source of any quotes.
We do not inherit the Earth from our ancestors, we borrow it from our children.

AmazonianX
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Re: NHS surcharge double tax for immigration.

Post by AmazonianX » Sun Aug 09, 2020 3:56 am

nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
I am applying for a family visa from India to come to the UK and need to pay the NHS surcharge.
I pay 400 GBP for every year in advance before coming to the UK. I will again pay towards NHS through NI tax when I work and draw a salary (as NI contributions include NHS payment for the year).
Isn't this double tax? and why is there no tax exemptions for people who already have paid their NHS contribution?

Thanks.
Note that the fees is set to increase in October 2020 to 625GBP/year so if able try and apply within the remaining window to get the 400/year rate.
You may want to read through an existing thread about the same line of thought as yours.

https://www.immigrationboards.com/gener ... 99009.html

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 5:21 am

vinny wrote:
Sun Aug 09, 2020 3:26 am
nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
The linked document gives relevant information.
this link does not work

secret.simon
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Re: NHS surcharge double tax for immigration.

Post by secret.simon » Sun Aug 09, 2020 5:27 am

nevilleturel wrote:
Sun Aug 09, 2020 5:21 am
vinny wrote:
Sun Aug 09, 2020 3:26 am
nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
The linked document gives relevant information.
this link does not work
It does. It takes you to Vinny's original post, where there is a further link to a fuller explanation of how the IHS works.
I am not a lawyer or immigration advisor. My statements/comments do not constitute legal advice. E&OE. Please do not PM me for advice.

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Re: NHS surcharge double tax for immigration.

Post by JB007 » Sun Aug 09, 2020 6:55 am

AmazonianX wrote:
Sun Aug 09, 2020 3:56 am
Note that the fees is set to increase in October 2020 to 625GBP/year so if able try and apply within the remaining window to get the 400/year rate.
You may want to read through an existing thread about the same line of thought as yours.
£624 NHS contribution with £470 for a child. From 31 March 2020, the NHS contribtion was made £0 for those the UK wants.

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Re: NHS surcharge double tax for immigration.

Post by JB007 » Sun Aug 09, 2020 7:01 am

nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
I am applying for a family visa from India to come to the UK and need to pay the NHS surcharge.
I pay 400 GBP for every year in advance before coming to the UK. I will again pay towards NHS through NI tax when I work and draw a salary (as NI contributions include NHS payment for the year).
Isn't this double tax? and why is there no tax exemptions for people who already have paid their NHS contribution?

Thanks.
Some countries charge immigrants higher taxes than a citizen and won't give full access to their healthcare system.

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Re: NHS surcharge double tax for immigration.

Post by JB007 » Sun Aug 09, 2020 7:21 am

vinny wrote:
Sun Aug 09, 2020 2:30 am
See also The Immigration Health Surcharge.
I never realised the money raised from this health charge was being used to fund Scotland via the Bartnett formula, even though the majority of immigrants want to live in England.
https://www.telegraph.co.uk/news/uknews ... dmits.html

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 10:18 am

JB007 wrote:
Sun Aug 09, 2020 7:01 am
nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
I am applying for a family visa from India to come to the UK and need to pay the NHS surcharge.
I pay 400 GBP for every year in advance before coming to the UK. I will again pay towards NHS through NI tax when I work and draw a salary (as NI contributions include NHS payment for the year).
Isn't this double tax? and why is there no tax exemptions for people who already have paid their NHS contribution?

Thanks.
Some countries charge immigrants higher taxes than a citizen and won't give full access to their healthcare system.
These are relative comparisions they dont work directly. its not i have the choice to go anywhere i want.
there is a difference between being tax responsible and tax burdended. this is a case where the gov is recovering more than it shoudl from an imigrant for the miss use of the system. Who pays NHS charges for 3 years in one go in one paymetn in UK? and then again gets NI contribution which include NHS payments for evert single one of those 3 years. So far sorry to say the only argumetns i get are about the flaws of an system that were not fixed for years but the compensation for not fixing them is falling on future immigrnats among other people some of which are coming to the Uk or retuning to UK after a long time.
I am not against paying it at all, even though I use alternative helath care and not main stream helth care I woudl like to pay my taxes. but paying without instalments and twice! when the hell did that become ok?

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 10:20 am

secret.simon wrote:
Sun Aug 09, 2020 5:27 am
nevilleturel wrote:
Sun Aug 09, 2020 5:21 am
vinny wrote:
Sun Aug 09, 2020 3:26 am
nevilleturel wrote:
Sun Aug 09, 2020 2:21 am
Hi, I have a query regarding and NHS surcharge. And would really appreciate relevant information.
The linked document gives relevant information.
this link does not work
It does. It takes you to Vinny's original post, where there is a further link to a fuller explanation of how the IHS works.
Sorry but the link does not work, it brings me back to my own post. if the link talk avout what IHS and why it is, i do know that. Its a double tax on immigrants that i want to ask about.
So far in all my inquiry i only get right winged sentiments things like pay it or dont come. I dont get how there is no tax rebate on this or even exemption fron the NHS contribution of NI tax that I will pay once i start drwaing a salary in UK. its double tax.
hence i pay NHS and NI relative to my income like everyone else + the NHS surcharge that is alredy taken from me in one down payment.

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 10:30 am

I am just wondering if there is a rebate or a loop hole. there has to be a way this double tax is addressed in the rules. I am just wondering if anyone has any info along these lines.

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Re: NHS surcharge double tax for immigration.

Post by CR001 » Sun Aug 09, 2020 10:32 am

nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate or a loop hole. there has to be a way this double tax is addressed in the rules. I am just wondering if anyone has any info along these lines.
There is no rebate or loophole.
Char (CR001 not Casa)
In life you cannot press the Backspace button!!
Please DO NOT send me a PM for immigration advice. I reserve the right to ignore the PM and not respond.

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Sun Aug 09, 2020 10:35 am

CR001 wrote:
Sun Aug 09, 2020 10:32 am
nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate or a loop hole. there has to be a way this double tax is addressed in the rules. I am just wondering if anyone has any info along these lines.
There is no rebate or loophole.
Really! how did they get away with such extortion?

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Re: NHS surcharge double tax for immigration.

Post by seagul » Sun Aug 09, 2020 11:54 am

nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate
Yes there is, which unfortunately is only limited to theory only for NHS workers. However, given the present resurrection of virus it might soon be practically implemented.

https://commonslibrary.parliament.uk/re ... /cbp-7274/
The opinion expressed as above is neither a professional advice nor contesting/competing to other member's opinion/advice.

secret.simon
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Re: NHS surcharge double tax for immigration.

Post by secret.simon » Sun Aug 09, 2020 2:05 pm

nevilleturel wrote:
Sun Aug 09, 2020 10:35 am
Really! how did they get away with such extortion?
A case of demand and supply. If there are people who are willing to move to the UK irrespective of the cost of the visa, they can keep increasing the price.
nevilleturel wrote:
Sun Aug 09, 2020 10:18 am
So far sorry to say the only argumetns i get are about the flaws of an system that were not fixed for years but the compensation for not fixing them is falling on future immigrnats among other people some of which are coming to the Uk or retuning to UK after a long time.
It is not the flaw of an old system. It was specifically introduced very recently (since 2014) to deter immigration.

As the Freemovement article (linked to by Vinny below) states;
Although not part of the “hostile environment” as such, the IHS was among a wider package of changes brought in by the Immigration Act 2014 to reduce “pull factors” attracting migrants to the UK. It was very much part of the government’s aggressive obsession with reducing net migration; a quest since revealed to be based on dodgy numbers.
You may also not have realised that if you pay IHS for a first visa and then change your visa type partway through the first visa (such as by switching from a PBS visa to a family dependent visa), the IHS that you have already paid for the first visa is not credited across to your new application. You have to pay the full IHS all over again for the new application.

It is worth noting that in some recent years (between, I think, 2015-18), the immigration fees have increased 25% year-on-year as well.

A family of four (two parents and two children) would easily be set by by about £40,000 over their entire immigration journey, keeping today's immigration fees in mind. And that is not factoring in any immigration fee increase.

You have mentioned that you are applying for a family visa. If your partner/sponsor is a British citizen, perhaps you can ask them to raise these questions (about double taxation) with their MP (probably in September or later, as the Commons is on its summer recess).

I have reposted Vinny's links below for you to click through and read.
vinny wrote:
Sun Aug 09, 2020 2:30 am
See also The Immigration Health Surcharge.
vinny wrote:
Sun Aug 09, 2020 3:33 am
Also : What is the Immigration Health Surcharge?
nevilleturel wrote:
Sun Aug 09, 2020 10:20 am
So far in all my inquiry i only get right winged sentiments things like pay it or dont come.
While this is almost certainly not what you want to hear, the advice is correct. Like it or lump it. This is what is. It is the reality on the ground that you would have to deal with if you plan to move to the UK.

If you feel so passionately about it, you may want to look at alternatives like Canada or Australia or even continental Europe, which are far more inviting towards immigrants at the moment.
nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate or a loop hole. there has to be a way this double tax is addressed in the rules. I am just wondering if anyone has any info along these lines.
The UK, unlike other countries (like India for instance), does not allow displacement of taxes by other payments to the government (such as by investing in government bonds).

As CR001 has said above, there is no rebate or displacement of tax liabilities as regards IHS.
seagul wrote:
Sun Aug 09, 2020 11:54 am
nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate
Yes there is, which unfortunately is only limited to theory only for NHS workers. However, given the present resurrection of virus it might soon be practically implemented.

https://commonslibrary.parliament.uk/re ... /cbp-7274/
To the best of my knowledge, even that is being worked on and and not implemented yet. Keep in mind that as this policy was forced onto the government by opposition pressure in the Commons, it is likely to take the narrowest possible interpretation of the policy during implementation.

Keep in mind that a Prime Ministerial announcement does not create law. Only a Statutory Instrument signed by a Minister would (in this case of immigration policy). And there is oft many a slip betwixt cup and lip. Or in more regular parlance, Mind The Gap between the ministerial announcement and the law.
I am not a lawyer or immigration advisor. My statements/comments do not constitute legal advice. E&OE. Please do not PM me for advice.

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Re: NHS surcharge double tax for immigration.

Post by JB007 » Sun Aug 09, 2020 3:05 pm

secret.simon wrote:
Sun Aug 09, 2020 2:05 pm
To the best of my knowledge, even that is being worked on and and not implemented yet.
It has been implemented. The links are in this thread on the Tier 2 board.
https://www.immigrationboards.com/uk-ti ... 03839.html

secret.simon
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Re: NHS surcharge double tax for immigration.

Post by secret.simon » Sun Aug 09, 2020 3:25 pm

JB007 wrote:
Sun Aug 09, 2020 3:05 pm
It has been implemented. The links are in this thread on the Tier 2 board.
https://www.immigrationboards.com/uk-ti ... 03839.html
Thank you for the links. I was not aware of that Draft Statutory Instrument.

It is of course a Draft at this stage and is an affirmative SI (will require both Houses to approve it before becoming law), so I agree with you that the earliest that it will kick in is October.

It is interesting to note that the SI is drafted very narrowly to only include the people working on an NHS sponsored visa (and their dependents)

Other migrants who work for the NHS will not be covered by the exemption, nor will those who work for companies who provide non-medical contracted-out services (such as cleaning, etc) to the NHS.
I am not a lawyer or immigration advisor. My statements/comments do not constitute legal advice. E&OE. Please do not PM me for advice.

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seagul
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Re: NHS surcharge double tax for immigration.

Post by seagul » Sun Aug 09, 2020 3:31 pm

Due to a recent nationwide protest over the pay rise issue where thousands of NHS staff has been singled out might lead to the quicker implementation of this IHS exemption.
https://www.google.com/amp/s/www.bbc.co ... s-53664749
The opinion expressed as above is neither a professional advice nor contesting/competing to other member's opinion/advice.

secret.simon
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Re: NHS surcharge double tax for immigration.

Post by secret.simon » Sun Aug 09, 2020 3:37 pm

I would not put up too most store by those protests. Remember all those Brexit protests and other protests that used to bring Westminster to a regular stop in the last Parliament? How effective were they?

At the end of the day, the government is more susceptible to political pressure (from the opposition and in some cases even from their own backbenchers) than it is from public protests.
I am not a lawyer or immigration advisor. My statements/comments do not constitute legal advice. E&OE. Please do not PM me for advice.

nevilleturel
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Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Mon Aug 10, 2020 3:00 am

secret.simon wrote:
Sun Aug 09, 2020 2:05 pm
nevilleturel wrote:
Sun Aug 09, 2020 10:35 am
Really! how did they get away with such extortion?
A case of demand and supply. If there are people who are willing to move to the UK irrespective of the cost of the visa, they can keep increasing the price.
nevilleturel wrote:
Sun Aug 09, 2020 10:18 am
So far sorry to say the only argumetns i get are about the flaws of an system that were not fixed for years but the compensation for not fixing them is falling on future immigrnats among other people some of which are coming to the Uk or retuning to UK after a long time.
It is not the flaw of an old system. It was specifically introduced very recently (since 2014) to deter immigration.

As the Freemovement article (linked to by Vinny below) states;
Although not part of the “hostile environment” as such, the IHS was among a wider package of changes brought in by the Immigration Act 2014 to reduce “pull factors” attracting migrants to the UK. It was very much part of the government’s aggressive obsession with reducing net migration; a quest since revealed to be based on dodgy numbers.
You may also not have realised that if you pay IHS for a first visa and then change your visa type partway through the first visa (such as by switching from a PBS visa to a family dependent visa), the IHS that you have already paid for the first visa is not credited across to your new application. You have to pay the full IHS all over again for the new application.

It is worth noting that in some recent years (between, I think, 2015-18), the immigration fees have increased 25% year-on-year as well.

A family of four (two parents and two children) would easily be set by by about £40,000 over their entire immigration journey, keeping today's immigration fees in mind. And that is not factoring in any immigration fee increase.

You have mentioned that you are applying for a family visa. If your partner/sponsor is a British citizen, perhaps you can ask them to raise these questions (about double taxation) with their MP (probably in September or later, as the Commons is on its summer recess).

I have reposted Vinny's links below for you to click through and read.
vinny wrote:
Sun Aug 09, 2020 2:30 am
See also The Immigration Health Surcharge.
vinny wrote:
Sun Aug 09, 2020 3:33 am
Also : What is the Immigration Health Surcharge?
nevilleturel wrote:
Sun Aug 09, 2020 10:20 am
So far in all my inquiry i only get right winged sentiments things like pay it or dont come.
While this is almost certainly not what you want to hear, the advice is correct. Like it or lump it. This is what is. It is the reality on the ground that you would have to deal with if you plan to move to the UK.

If you feel so passionately about it, you may want to look at alternatives like Canada or Australia or even continental Europe, which are far more inviting towards immigrants at the moment.
nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate or a loop hole. there has to be a way this double tax is addressed in the rules. I am just wondering if anyone has any info along these lines.
The UK, unlike other countries (like India for instance), does not allow displacement of taxes by other payments to the government (such as by investing in government bonds).

As CR001 has said above, there is no rebate or displacement of tax liabilities as regards IHS.
seagul wrote:
Sun Aug 09, 2020 11:54 am
nevilleturel wrote:
Sun Aug 09, 2020 10:30 am
I am just wondering if there is a rebate
Yes there is, which unfortunately is only limited to theory only for NHS workers. However, given the present resurrection of virus it might soon be practically implemented.

https://commonslibrary.parliament.uk/re ... /cbp-7274/
To the best of my knowledge, even that is being worked on and and not implemented yet. Keep in mind that as this policy was forced onto the government by opposition pressure in the Commons, it is likely to take the narrowest possible interpretation of the policy during implementation.

Keep in mind that a Prime Ministerial announcement does not create law. Only a Statutory Instrument signed by a Minister would (in this case of immigration policy). And there is oft many a slip betwixt cup and lip. Or in more regular parlance, Mind The Gap between the ministerial announcement and the law.
Thanks for the info and the links. To be honest I am quite shocked. 10/12 years ago when i was living in the UK it was not like this. There were some values and fare policy that the UK stood for.
IF the governemnt want to slow down immigration they would have have shut down visa catogeries, insted they want to make profit and feed their treasury from it. its exploitative, even though the UK has a long history of funding gov ambitions by the sweat of other countries.
I have to come to the UK as I am coming as a parent. I have no choice. I am just wondering how it will be in 2.5 years when i have to renew my visa at this rate.
I do feel passionately about this but raising any complains is counter productive in this situation.

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Casa
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Re: NHS surcharge double tax for immigration.

Post by Casa » Mon Aug 10, 2020 11:44 am

Just for clarification, the Tier 1 (General) application route closed on 6 April 2015 and the Tier 1 Entrepreneur Visa route was closed to new applicants on 29 March 2019.
(Casa, not CR001)
Please don't send me PMs asking for immigration advice on posts that are on the open forum. If I haven't responded there, it's because I don't have the answer. I'm a moderator, not a legal professional.

nevilleturel
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India

Re: NHS surcharge double tax for immigration.

Post by nevilleturel » Mon Aug 10, 2020 12:13 pm

Thank you for all your answers and information on the topic.
I think I got a bit carried away with my sentiments on this matter.
It's just a big payment at once and it affects how I spend the 6 to 7 months initially in the UK. obviously its known but not everyone that has to come to the UK is wealthy.
Also on the 1st of Jan 2021 UK is going through a big transition and leaving the EU so future laws including immigration I believe are going to get an overhaul.
Just hope for the best.

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