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Taxation: Overseas Residence

Volume 459: debated on Monday 30 April 2007

To ask the Chancellor of the Exchequer (1) how many people claimed non-domicile tax status in the UK in each of the last five years for which records are available; (133685)

(2) what estimate he has made of the tax forgone by the UK as a consequence of use of the remittance basis by those not domiciled in the UK;

(3) what estimate he has made of the average length of residence in the UK of those claiming non-domicile status;

(4) what methodology is used to estimate the economic benefits to the UK from the retention of the domicile laws on taxation;

(5) what estimates he has made of the economic benefits to the UK from the retention of the domicile laws on taxation;

(6) what investigations have been carried out looking into non-domicile status in each of the last five years; and if he will make a statement;

(7) how many people qualified for non-domicile tax treatment in the UK in each of the last five years for which records are available.

To ask the Chancellor of the Exchequer what assessment he has made of the effect on the economy of non-domiciled residence tax status; and if he will make a statement. (133972)

No overall figure for the number of individuals with non-domicile tax status is available.

Estimates of the tax foregone in the UK as a consequence of the use of the remittance basis by those not domiciled in the UK are not routinely made. Information is not held on overseas income and gains that do not give rise to a tax liability in the UK.

Information on the average length of residence is not routinely collected. A small sample survey in 2004 suggested that the majority of non-domiciled individuals who had already left the UK spent no more than five years here.

No estimates have been made of the economic benefits to the UK from the retention of the domicile laws on taxation.

HMRC carry out investigations into non-domiciled status where this may be relevant to a taxpayer's UK tax liability. Such investigations may occur to verify information given to HMRC by individuals completing self-assessment tax returns or making other claims for non-domicile status; as a result of third-party disclosure; or because of the outcome of other HMRC enquiries. No information is available on the number of investigations undertaken.

Information on how many individuals qualify for non-domicile tax treatment in the UK is not available. Some 112,000 individuals indicated non-domicile tax status through their SA returns in 2004-05.

To ask the Chancellor of the Exchequer how many people (a) employed by and (b) contracted to supply services to HM Treasury claim non-domicile tax treatment. (134096)

HM Revenue and Customs is statutorily debarred from disclosing to third parties information relating to the tax affairs of individuals or public and private sector bodies. Treasury Ministers do not have access to such information.