Docklands Solicitor

If you own property abroad you should be aware that after your death, your estate may be subject to both taxation under English IHT rules as well as the taxation of rules of the country where the property is situated.



The treatment of the property for taxation purposes depends on whether you are domiciled outside the UK.



Domicile in relation to IHT may be established differently to domicile for other purposes. There are two anti-avoidance rules that are relevant:



1. If you have been resident in the UK for 17 of the last 20 years you are deemed to be domiciled in the UK for IHT purposes

2. If you were previously domiciled in the UK but die within three years of obtaining domicile in another country, you will still be considered to be domiciled in the UK for IHT purposes.



You should therefore seek the advice of an experienced Will Writer/Solicitor when drawing up your Will and considering Inheritance Tax provisions.

Labels: abroad, country, domicile, inheritance tax, property