Comments on: Why not just abolish the domicile rule? http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/ Richard Murphy on tax and corporate accountability Fri, 09 Jan 2009 00:59:35 +0000 http://wordpress.org/?v=2.6 By: Tax Research LLP http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-300221 Tax Research LLP Mon, 03 Dec 2007 15:57:15 +0000 http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-300221 Peter Transit is exceptionally unlikely to trigger this - you do not officially enter the country. But let me be candid, I have little concern about exposing the tax abusers of the Isle of Man to UK tax, afterall, the UK provides most of its funds. Richard Peter

Transit is exceptionally unlikely to trigger this - you do not officially enter the country.

But let me be candid, I have little concern about exposing the tax abusers of the Isle of Man to UK tax, afterall, the UK provides most of its funds.

Richard

]]> By: Peter Verstage http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-300162 Peter Verstage Mon, 03 Dec 2007 14:31:48 +0000 http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-300162 OK then what about someone living in the Isle of Man who has 4 meetings a month in Paris? The only way to travel from the Isle of Man to France is via the UK. He neither lives nor works in the UK, nor does he have any UK source of income. Is it really fair that he should be treated as UK tax resident, both in terms of his worldwide income and his estate being liable to UK inheritance tax? OK then what about someone living in the Isle of Man who has 4 meetings a month in Paris? The only way to travel from the Isle of Man to France is via the UK. He neither lives nor works in the UK, nor does he have any UK source of income. Is it really fair that he should be treated as UK tax resident, both in terms of his worldwide income and his estate being liable to UK inheritance tax?

]]> By: Tax Research LLP http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-295645 Tax Research LLP Fri, 30 Nov 2007 10:56:53 +0000 http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-295645 Peter 4 meetinsga month in the UK? You're working here So you should pay tax here, with full credit for that paid elsewhere This is universally considered fair. What is the problem with that? Richard Peter

4 meetinsga month in the UK? You’re working here

So you should pay tax here, with full credit for that paid elsewhere

This is universally considered fair. What is the problem with that?

Richard

]]> By: Peter Verstage http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-289818 Peter Verstage Tue, 27 Nov 2007 09:45:25 +0000 http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-289818 Many of the points you make about the domicile rules are valid. But simply abolishing the concept would lead to more anomolies: for example, as from next April anyone attending an average of 4 meetings a month in the UK involving an overnight stay will become UK tax resident under the 90 day rule, and without the domicile rule would become liable to UK tax on their world wide income. I'd be interested in you views on whether this would be "fair" and if not how you would propose to deal with this anomoly. Many of the points you make about the domicile rules are valid. But simply abolishing the concept would lead to more anomolies: for example, as from next April anyone attending an average of 4 meetings a month in the UK involving an overnight stay will become UK tax resident under the 90 day rule, and without the domicile rule would become liable to UK tax on their world wide income. I’d be interested in you views on whether this would be “fair” and if not how you would propose to deal with this anomoly.

]]> By: Graeme Pietersz http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-288515 Graeme Pietersz Mon, 26 Nov 2007 14:15:55 +0000 http://www.taxresearch.org.uk/Blog/2007/11/26/why-not-just-abolish-the-domicile-rule/#comment-288515 Even if it did have an effect on the housing market, so what? Does anyone think London house prices are in danger of going too low? It always amazes me that people seem to think that: 1) A poor foreign worker living a single room (in a tatty building in a cheap area) that most British people would refuse to live in is somehow over-crowding the country, but, 2) A rich foreigner who buys a mansion in central London is not. Even if it did have an effect on the housing market, so what? Does anyone think London house prices are in danger of going too low?

It always amazes me that people seem to think that:

1) A poor foreign worker living a single room (in a tatty building in a cheap area) that most British people would refuse to live in is somehow over-crowding the country, but,

2) A rich foreigner who buys a mansion in central London is not.

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