When living overseas, understanding the difference between domicile and residence is critically important. Unfortunately, the two are often confused. The resulting tax implications can be significant and wide-ranging.
In 2021, the UK taxman collected GBP5.7 billion from inheritance tax (IHT). You shouldn’t think that, because you are an expat, this doesn’t concern you.
In recent research from Barclays Wealth, three in five (60 per cent) UK adults aged between 45 and 54 said they did not know if their investments would be subject to inheritance tax when they were passed on to family. Additionally, the survey found that a quarter (26 per cent) of respondents did not know if their property’s value would be considered separately to the rest of their financial assets for inheritance tax purposes.
