The Financial Times quotes Catrin Harrison on IHT Budget changes and the impact on wealthy UK expats
As reported by the Financial Times, some wealthy UK individuals are considering a strategic approach to avoid inheritance tax by living abroad for ten years and then returning to the UK for up to nine years.
The UK's foreign income and gains (FIG) regime exempts certain wealth sources from UK taxation for four years for individuals who have been non-resident for ten years.
Individuals are said to be contemplating a cycle of moving abroad and returning to the UK to minimise tax liabilities. This regime, along with similar schemes in Italy and Spain, is influencing the mobility of wealthy individuals.
Catrin Harrison, Private Client Partner, shares her thoughts with the Financial Times on this 'apparent' trend and confirms that this is not something she is seeing clients planning to do and that is very "niche".
Speaking more broadly, Catrin implies that many non-doms are considering popular destinations such as Milan, due to Italy's €200,000 annual charge on foreign income, and the UAE, which is emerging as a financial hub.
Read the full piece in the Financial Times here.
