Offshore Investments

UK Non Domiciles - Escape The £30,000 Levy!

There are ways you can use offshore investments to avoid paying the £30,000 levy imposed by the Chancellor

What is the Current Issue for Non Doms?

Non Domiciled residents do not pay tax on their overseas income or gains as long as it is not bought into Britain.

From April, Non Doms who have been resident in the UK for more than 7 years will no longer be able to benefit from this perk unless they pay a £30,000 annual levy.

If this applies to you, offshore bonds are an effective way to avoid this.

The Benefits of an Offshore Bond

Saving the £30,000 Annual Levy

As Offshore Bonds are classed as a non-income producing asset they are not assessed for the £30,000 levy in relation to offshore income.

Virtually Tax-Free Growth

Investment in an Offshore Bond grows free of year-on-year Income Tax and Capital Gains Tax, though small amounts of withholding tax may be payable on certain investment funds.

Tax Efficient Yearly Withdrawals

Each year withdrawals of up to 5% of the original investment can be taken from most offshore bonds without an immediate tax liability and is particularly beneficial for higher rate taxpayers. The 5% withdrawal can be taken each year for 20 years, or accumulated over a number of years.

FREE NON-DOMICILE SERIES

If you wish to find out more about the issues around Non Domicile I've prepared a SPECIAL SERIES on NON DOMICILE that I can send you FREE of charge. Just register your details below and you'll receive the first part very soon.

 

Helen

Helen Blackburn BA (Hons) CertPFS