Wise foreign investors look to UK for tax planning

The UK's tax system uses the connecting factors of domicile, residence and ordinary residence to determine an individual's liability to income tax, capital gains tax and inheritance tax (IHT). An individual who is domiciled, resident and ordinarily resident in the UK is 'fully connected' with the UK and will be liable to income tax on their world-wide income, capital gains tax on their world-wide gains, and IHT on their world-wide estate. Both UK and foreign income and gains are liable to tax in the year of assessment in which they arise, regardless of whether they are remitted into th...