Chapter 13

Question 1

What are the 3 types of domicile and how do you get them

Answer 1

Of origin - born with fathers domicile (or mothers if unmarried)

Of dependency - as child under 16 domicile changes with that of whom they are legally dependent

Of choice - as adult can change permanent home by :
Leaving home and severing all ties and
Settling permanently in a new country

Question 2

What are the 3 tax free benefits for employees who work abroad

Answer 2

Cost of board and lodgings paid by employer

Return trips home paid by employer

For absences of over 60 days or more traveling expenses for 2 visits for a spouse and minor child

Question 3

What are RBCs charges

Answer 3

30,000 if resident for 7 out of last 9 years

60,000 if resident for 12 out of last 14 years

Question 4

If you are domiciled and resident how is each one taxed
IT
CGT
IHT

Answer 4

IT: worldwide income

CGT: worldwide gains

IHT: worldwide assets

Question 5

If you are non- domiciled and resident how is each one taxed
IT
CGT
IHT

Answer 5

IT: worldwide income but can elect for remittance basis

CGT: worldwide gains but can elect for remittance basis

IHT: UK assets only

Question 6

If you are domiciled and non resident how is each one taxed
IT
CGT
IHT

Answer 6

IT: UK income only

CGT: none except for UK property

IHT: worldwide assets

Question 7

If you are non domiciled and non resident how is each one taxed
IT
CGT
IHT

Answer 7

IT- UK income only

CGT: none except for Uk property

IHT: uk assets