Non-domicile

Non-domicile status is given to people who were either not born here or whose parents spent most of their lives in another country.

A UK 'resident' for tax purposes is anyone, of any nationality, who spends more than half the year (strictly 183 days) in the UK for any reason - work is a common one.

By itself that would normally make them liable for UK income tax on their worldwide income. The anomaly, however, is that the same individual could simultaneously be 'non-UK domiciled' because their 'permanent legal home', as the tax rules put it, is not the UK.

MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
MoneyWeek

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.