UK and International Tax news
Consultation On The Taxation Of Non Doms
Tuesday 21st June 2011
HM Treasury has recently published a consultation document on its plans to reform the taxation of non-domiciled individuals (“non doms”). It has confirmed that it wants to ensure that non doms make a fair tax contribution, as well as encourage them to invest in the UK and simplify the current tax rules for them.
The consultation provides details on the package of reforms that were announced in the March 2011 Budget, in particular, the proposed increase in the existing £30,000 annual charge to £50,000 for non doms who claim the remittance basis in a tax year and who have been UK resident for 12 or more of the 14 years prior to the year of claim, to permit non doms to remit overseas income and capital gains tax free to the UK for the purpose of commercial investment in UK businesses, and to make technical simplifications to some aspects of the current remittance basis rules to remove undue administrative burdens.
The consultation will close on 9 September 2011. A summary of responses will be published in the autumn. Draft legislation will be published for comment later in 2011 with a view to including final legislation in Finance Bill 2012.
If you would like further details on the consultation, please contact Keith Rushen on 0044 (0)20 7486 2378.Contact Us