‘Non-dom’: The tax scheme tarnishing UK finance minister | Malay Mail

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LONDON, April 9 — UK finance minister Rishi Sunak is under pressure after it was revealed that his wealthy Indian wife is sheltered from paying tax on foreign earnings to his Treasury after claiming non-domiciled status. The “non-dom” scheme has become a controversial issue in British...

LONDON, April 9 — UK finance minister Rishi Sunak is under pressure after it was revealed that his wealthy Indian wife is sheltered from paying tax on foreign earnings to his Treasury after claiming non-domiciled status.

Murty, whose Infosys shareholding makes her richer than Queen Elizabeth II, has reportedly earned £54.5 million in dividends from her stake in her father’s company since 2015.The status was introduced in 1799 by prime minister William Pitt the Younger to allow wealthy plantation owners in British colonies to shelter their income from taxation back home.

The government generally considers a person’s domicile to be the country that their father considered their residence when the claimant was born. This comes with a £30,000-a-year charge for those who have lived in Britain for at least seven of the last nine tax years, and £60,000 for those who have been resident for 12 of the last 14 tax years.

 

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