Domicile Rules

The tax rules on domicile are complicated, whether you are a UK resident but also non- UK domiciled, or if you currently have a UK domicile but are looking to change it and become ‘non -UK domiciled’.

In certain circumstances a change of domicile can bring tax benefits. However careful consideration needs to be given to the tax treatment resulting from such a change.

Here’s how we can guide you through the domicile maze.

If you are non-UK Domiciled but residing in the UK you need to consider the following areas

• The ‘Remittance basis of assessment ‘
• When the ‘Remittance basis’ charges of £30,000, £60,000 and £90,000 will apply and to whom
• Capital Gains tax on both UK and non UK assets
• The ‘Worldwide basis of assessment’ and when it can be beneficial
• When the rules on deemed domiciled for income tax came into effect
• Inheritance tax planning including the effect of the UK ‘deemed domiciled’ rules for IHT
• Advising on Will writing for each relevant territory
• Income tax planning including investment opportunities.

If you have a UK Domicile and wish to become non-UK Domiciled you need to consider the following areas:

• How to persuade the tax authorities that you are ‘non-domiciled,’ even after you have permanently left the UK
• How to permanently remove yourself from ‘UK domicile’ status
• Inheritance tax on UK assets and non-UK assets
• Arranging Wills for each relevant territory
• Trust and estate planning

Our experts can provide advice to help you to mitigate your tax liability; establish domicile status; and avoid potential tax related pitfalls when arriving in, or departing the UK. Please contact us for further advice.