GM Tax

Spring 2024 UK Budget changes

The UK budget announced by Jeremy Hunt yesterday included amendments to the Capital Gains Tax higher rate from 28% to 24% and changes to the taxation of non-domiciled individuals.

Capital gains tax

The higher rate for Capital gains tax is moving from 28% to 24% from 6 April 2024 .

Non-domicile and remittance basis changes

The government will abolish the remittance basis of taxation for non-UK domiciled individuals from 06 April 2025, the chancellor has announced.

The beneficial tax regime will be replaced with a simpler residence-based regime, which will take effect from 6 April 2025. Individuals coming to the UK who opt into the regime will not pay UK tax on foreign income and gains for the first four years of tax residence.

Existing non-domiciled UK tax resident individuals who have been UK tax resident for less than four years will be eligible to opt into the new scheme and will benefit from relief until the end of their fourth year of tax residence. However, under the new system, regardless of where an individual is domiciled, anyone who has been tax resident in the UK for more than four years will pay UK tax on any newly arising foreign income and gains, as is the case for all other UK tax residents.