UK residents and offshore tax
Reducing UK taxes by using your non UK domicile status
Offshore Tax
Written by Administrator   
If you're a non UK domiciliary there are lots of potential tax saving opportunities available to you, aside from just the benefit of the remittance basis. This article looks at the tax planning options available for non UK domiciliaries.
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Checklist for non UK domicile
Offshore Tax
Written by Administrator   

Obtaining specific information on what you need to do to establish non UK domicile status can be difficult. We've devised a simple checklist that goes through some of the factors you should be considering to establish non UK domicile status

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Non Resident and Offshore Tax Planning Book
Offshore Tax
Written by Administrator   

 

Becoming non-resident is one of the most effective ways to avoid and minimise UK tax. In many cases, those who choose to move their assets offshore and become non-resident achieve huge savings on their taxes. It is extremely important, however, to ensure that before taking such a major step you are aware of all the dangers and pitfalls that go hand-in-hand with such rewarding tax benefits.

This tax guide is designed to help the following groups of people:

  • Those interested in attaining non-resident status to avoid income tax and CGT in the UK.
  • Anyone currently living abroad or planning to live abroad for most of the year.
  • Those currently working or planning to work outside the UK.
  • Those interested in minimizing tax using offshore companies and trusts.
  • Any foreign nationals currently living in the UK, wishing to use their status to minimize tax.

What Information is Contained in the Guide

Non-Resident & Offshore Tax Planning is jam-packed full of clear examples and unique tax planning advice. Subjects covered include: Non Resident and Offshore Tax Planning Book

  • Full and comprehensive explanation of terms "Domicile" and "Non Resident".
  • How becoming non-resident could save you a fortune in tax.
  • Detailed explanations of how to avoid UK tax on your income from rents, dividends, pensions and employment.
  • How you could completely escape capital gains tax both in the UK and abroad.
  • Pitfalls to negotiate when avoiding UK capital gains tax.
  • How to avoid inheritance tax by losing your UK domicile.
  • How to use your spouse to slash your tax bill
  • How to remit income free of UK tax
  • How foreign nationals can escape UK taxes altogether.
  • Dedicated areas of advice for investors in overseas property.
  • How you could claim tax free lump sums whilst working abroad.
  • How Double Tax Relief works and how to make the most of it.
  • How to avoid tax everywhere by becoming a "Tax Nomad".
  • Tax advantages and disadvantages of offshore trusts and companies.
  • How to save tax with double tax treaties.
  • and much more...

About the Author

The Author of Non Resident and Offshore Tax Planning is our site Editor, Lee Hadnum. Lee is a rarity among tax advisers having both legal and chartered accountant qualifications. After qualifying a prize winner in the Institute of Chartered Accountants exams, he also went on to become a chartered tax adviser (CTA).

Ordering Information

We use Worldpay's renowned secure payment server to process payments. Worldpay is part of the Royal Bank of Scotland Group. All customers will receive a complimentary electronic copy of our comprehensive tax guide 'How to Save Tax 2007/2008' - worth £19.95. You will have the option at checkout of receiving a free electronic copy to read immediately.

What does the book cost?

The printed book costs £24.95. Postage and Packaging is only £1.50 no matter how many items you order. Click here to order

You can also order by telephone on 0845 111 0743 Mon-Fri 9am-5pm (Please quote reference: WealthProtectionReport)
 
Reducing UK tax by using your non domicile status
Offshore Tax
Written by Administrator   

Most people that non Uk domicile status allows many wealthy foreigners to avoid UK income tax , capital gains tax and Inheritance. This  is because by and large they're entitled to claim the remittance basis for overseas income and gains so that only income or proceeds actually brought into the UK are taxed. Similarly for UK Inheritance tax purposes it's only their UK estate that is subject to UK tax.

However the benefits to non domiciliaries are actually much wider than this. Find out exactly what other tax benefits they can claim in this article.

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How having non UK ordinary residence status can save UK tax
Offshore Tax
Written by Administrator   

When you're looking at your UK tax status, you'll need to consider not only your residence status and your domicile status (these are the most well known) but also your ordinary residence status. Ordinary residence is in many cases hard to 'pin down' but it can have a significant impact on your UK tax liability.Some of the main cases where ordinary residence can be important include:

 - If you're ordinary resident in the UK you'll be subject to capital gains tax even if you're non resident
 - Many of the anti avoidance provisions apply if you're either UK resident or ordinary resident
 - If you're UK resident but non UK ordinary resident you can claim the remittance basis on foreign earnings
 - Interest payments on UK Government securities (ie gilts) are exempt from UK income tax where you are not UK ordinarily resident.
 - if you're non UK ordinarily resident you can obtain interest from UK banks and building societies free of UK income tax
 - If you're UK resident but not ordinarily resident and a citizen of another commonwealth country you can claim the remittance basis of tax (ie only taxed when overseas income is brought into the UK) for overseas investment and trading income

This article looks at how having a non UK ordinary residence status can save UK taxes - even if you're otherwise a UK resident and how you would go about losing UK ordinary residence status.

 

 

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How the CGT charge is calculated for non UK domiciliaries selling overseas assets
Offshore Tax
Written by Administrator   
If you're subject to the remittance basis of tax as a UK resident, non UK domiciliary, this will also apply to any capital gains that you realise on the disposal of overseas assets. In this case you're not just taxed in the UK on the proceeds remitted to the UK. The calculation of the CGT charge is more complex than this, and this article lets you know exactly how to calculate the CGT charge on the disposal of overseas assets when you're a non UK domiciliary.
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When is domicile relevant in determining your UK income tax or CGT liability
Offshore Tax
Written by Administrator   

The advantages of non UK domicile status are well known. Briefly you can obtain the remittance basis of tax for overseas income and gains, and Inheritance tax is only charged on your UK estate.

Actually establishing your tax domicile status with the Revenue though is something else. Although there are sections in the updated tax return to enter details of your domicile they won't consider it unless it is relevant in determining a UK income tax or capital gains tax liability. You therefore need to be sure as to when domicile is relevant in determining a UK liability before you complete the tax return. This article gives you all the information you need so you can determine whether your domicile status is important in assessing your tax liability. 

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Planning for the end of the non UK domicile rules
Offshore Tax
Written by Administrator   
Non UK domicile status has some significant UK tax advantages, in terms of the remittance basis as well as Inheritance tax. Any members of this site will be well versed in how to make use of this very advanatgeous tax status. However, some people are concerned that the benefits of non UK domicile status may at some point be reversed by the Government. This article looks at what you could do now to ensure you don't lose out due to any rule changes.
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Establishing a non UK domicile in 2007
Offshore Tax
Written by Administrator   
Non UK domicile status can be very advantageous in terms of reducing UK taxes. However actually deciding when you are, and when you aren't a UK domiciliary is by no means clear cut. There have been a couple of recent Commissioners decisions that have covered this and this article looks in detail at one of them (as well as looking the legislation and revenue practice) to ascertain when you can establish yourself as a non UK domiciliary in 2007.
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