Non-domiciled Investment Briefcase
Non-domiciled Investment Briefcase
The challenge
- To minimise tax liabilities
- To provide an accessible investment
- To maximise investment choice and potential
- To provide flexibility for the future
The offshore bond solution
- Client transfers offshore funds into Portfolio Account
- Taxed on the arising basis - avoids £30,000 remittance charge and retains personal tax allowances
- No tax within the bond except withholding tax
- Fully portable if client later moves abroad
- If client decides to stay in the UK, can put bond into Excluded Property Trust - protects the assets from UK inheritance tax, but allows full access
What are the advantages?
- Interest on an offshore bank account would be liable for UK income tax, even if accumulated, whereas a bond is deemed to be a non-income producing asset
- 5% tax-deferred allowance enables withdrawals without immediate tax; no UK income tax unless or until a chargeable event arises
- No capital gains tax liability on switches or cashing in; keeps annual allowance available for use elsewhere
- Open architecture gives huge choice of funds and cash deposits
Tools & calculators
- Get an illustration
- Product Guide
Related links
- Find out more about Portfolio Account
- Request an appointment with your regional specialist
- Request further information
- Talk to our Technical Helpline on 08457 11 12 13
