Reforms to the Taxation of Non-Domicile

Topic Author:

Claire Turner


Topic posted on:

9:36 GMT 10.12.15

Post Author Date

Legislation will be introduced in Finance Bill 2016 to bring the current rules relating to persons treated as deemed domiciled in the UK broadly into line with the proposed changes for Income Tax and CGT.

The amended section will provide that an individual will become deemed domiciled for IHT purposes if they have been resident in the UK for at least 15 out of the previous 20 tax years rather than 17 out of the 20 tax years ending with the tax year in question.

The legislation will also introduce a separate rule to provide that an individual born in the UK with a UK domicile of origin who has acquired a domicile of choice elsewhere will become deemed domiciled for IHT purposes if at any time they are resident in the UK and have been resident in the UK in at least one out of the two previous tax years.

If you would like to discuss this further, please contact a member of the Beavis Morgan personal tax team on 020 7417 0417.

Claire Turner

09:36 GMT 10.12.15