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Showing posts with the label non-domicile

Income Tax - "It's not on "

"...completely unjust...Some people are talking about taking this to the European court of human rights." - What's got some people so het up ? Torture ? Exploitation ? Censorship ?Oppression ?

No - the tax-man is planning to to make life harder for the 2,000 British millionaires who call Monaco, the tax haven , home. The Guardian reports :-

Until now, tax rules that allow "non-residents" 90 days a year in Britain have contained a crucial loophole: the taxman has not counted "travel days" entering and leaving the country, allowing businesspeople to commute in on a Monday, leave on Wednesday, and claim to have spent just one day in the UK.It has in effect allowed Britons to spend most of the year - up to 270 days - working in Britain, while claiming to be residents of tax havens such as Monaco and to avoid paying tax. That will change under a stricter enforcement of the rules to be unveiled today which has unnerved tax lawyers serving Britons in severa…

The tax-free rich

From the Sunday Herald journalist Iain Macwhirter ...According to the BBC business editor, Robert Peston, the top 50 UK-based billionaires paid just £15 million in tax last year on a combined fortune of £126 billion. In fact, most accountants say that for the modern rich - the 4000 Britons earning over £1 million a year - taxation has become largely voluntary, as there are so many ways of avoiding it. The man likely to take over Northern Rock this week, Richard Branson, is a champion in offshore tax farming... ...This impoverishment of the middle classes has been disguised by the boom in house prices which gave people an illusion of wealth, as they were "eating" their houses by equity withdrawal - another name for debt... ... As people find out more about the way banks have been manipulating the system to pay themselves stupendous bonuses, attitudes are hardening. British society is no longer in thrall to wealth. Only this time it's the middle classes, not just the workin…

Tax and the rich

The Treasury has admitted its plans to clamp down on super-rich non-UK domiciled taxpayers are being hampered by a lack of reliable data

A little more than 15,000 people are thought to have a combined wealth of £140 billion, and that includes £65 billion attributed to a small number of super-rich.

The combined taxable annual income of this latter group is estimated at about £1.9billion and "non-dom" rules allow these people to avoid a £600m tax bill. The Treasury has estimated that it is losing £1billion a year to the "non doms".