UK INDIVIDUAL TAX
Domicile

Domicile is an important concept in UK taxation.

You are domiciled in the state where you consider your long term home to be. This is determined by origin, choice or dependency.

DOMICILE OF CHOICE
In order to establish a domicile abroad you need to be seen to treat that location as your permanent long term home, and you need to actively maintain that home. Otherwise you'll be regarded as someone who has no intention of living there and your domicile will be regarded as your country of birth.

DOMICILE OF DEPENDENCY
A domicile of dependency applies only to children and to women married before 1974.

DEEMED DOMICILE
You will become deemed domiciled in the UK from the beginning of the UK tax year in which you became resident in the UK, for all or part of seventeen out of twenty consecutive UK tax years. Deemed domicile only applies to Inheritance tax.

WHERE AM I DOMICILED?
Domicile is a concept that has legal implications as well as for tax. Under UK law, an individual is broadly regarded as domiciled in the country, province or state which he or she regards as a permanent home and has longer-term connections. What this means in principle is that your domicile of origin i.e. where you were born is quite difficult to change. Non UK domicile status currently gives the potential for advantageous tax planning.