Tax exiles under threat following Court ruling

clock

Thousands of tax exiles could face hefty bills after the Court of Appeal upheld the right of HM Revenue and Customs to retrogressively tax a businessman who has lived in the Seychelles since 1976.

The court ruled that despite abiding by the rules to spend less than 91 days per tax year in the UK, Robert Gaines-Cooper had not ‘cut his ties' with the country and was therefore still liable to pay tax. Gaines-Cooper may now have to pay a tax bill of £30m, for the years from 1993 to 2004. The crux of the Revenue's old guidance on whether someone was resident in the UK for tax purposes - known as IR20 - was whether they spent, on average, fewer than 91 days in the country each year. However, the Appeal Court judges ruled it had always been the case that any would-be tax exile firs...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

MPS Watchlist - Issue 4 - Out Now!

MPS Watchlist - Issue 4 - Out Now!

Professional Adviser
clock 07 October 2025 • 1 min read
'It's the details that matter': Why UK smaller companies demand a closer look

'It's the details that matter': Why UK smaller companies demand a closer look

'It is like a finger pointing away to the Moon'

Eustace Santa Barbara
clock 03 October 2025 • 4 min read
Robo-advisers 'relegated to the history books' as JP Morgan drops Nutmeg brand

Robo-advisers 'relegated to the history books' as JP Morgan drops Nutmeg brand

To launch JP Morgan Personal Investing

Jen Frost
clock 01 October 2025 • 2 min read