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A query is made as to whether the re-deposit of cash into a bank account, after having been previously transferred, has tax implications for Personal Income Tax. The DGT responds that the mere operation of withdrawal and subsequent deposit does not constitute the acquisition of income.
Question posed: The tax treatment, for Personal Income Tax purposes, of the re-deposit of cash into a bank account in the United Kingdom is queried.
The performance of a withdrawal by transfer and a subsequent cash deposit into a bank account has no tax significance, as it is not included in the scenarios that determine the acquisition of income. However, the DGT cannot rule on the tax consequences regarding the origin of said money and indicates that the inquirer must prove its source.
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