The UK tax authority (HM Revenue and Customs or HMRC) issued a consultation document setting out proposed changes to the UK’s tax system for non-domiciled individuals (non-doms). The HMRC announcements cover a broad range of measures, confirming an intention to remove the “remittance basis” of taxation for non-doms who have resided in the UK for more than 15 years, and removing the possibility to shelter UK residential property from UK inheritance tax through the use of offshore structures.
There are two key points to note for those with financial holdings in Switzerland: (1) there are future implications with the introduction of the common reporting standard (CRS) by Switzerland in 2018; and (2) non-dom UK taxpayers will have the opportunity to restructure foreign bank accounts and holdings between 6 April 2017 and 5 April 2018 for greater tax UK efficiency in what appears to be a one-time offer for all non-doms (regardless of how long they have been UK resident).
Read a September 2016 blog report prepared by the KPMG member firm in Switzerland: The UK’s changes to the tax rules for non-doms
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.