Domicile is a uniquely British concept that has been ‘exported’ to most Commonwealth countries, including Cyprus.
Read our guide on the four classes of UK domicile and what steps to take to find out if you are still UK domiciled whilst living overseas.
HMRC state in their manual that “an individual might genuinely believe he or she is domiciled in a particular territory, but objective analysis of the facts could prove that belief to be wrong.
This can result in their estates being liable to UK inheritance Tax (IHT) @ 40%. It is domicile not residence which determines whether you are liable to UK Inheritance tax. Living abroad does not necessarily protect you. There are three…