The tax regime for non-UK domiciliaries (non-doms) was changed significantly on 6 April 2017. All non-doms should review their UK tax position.
To encourage non-UK domiciliaries and offshore trustees to invest in the UK, the Government introduced provisions allowing investments into qualifying companies to be made from overseas income or gains without triggering a UK taxable remittance.
The receipt of benefits or distributions from an offshore trust by a UK resident beneficiary can result in a UK tax charge. Trustees should also be aware of exposure to UK taxes on UK assets.
If you are non-UK domiciled but resident in the UK for a sufficiently long period of time, you will be treated as deemed UK domiciled. As a result, all of your assets, income and gains outside the UK will fall within the scope of UK tax.
Many spouses and civil partners are under the impression that anything they gift to the other, whether during their lifetime or on death, is fully exempt from inheritance tax (IHT). However, there is an anomaly which can have serious IHT consequences for some couples (spouses and civil partners are referred to as ‘married couples’ and ‘spouses’ below for brevity).