Freddy David, managing director of financial services company HBFS, told a seminar held in London recently: “Non-doms are facing unparalleled confusion over their finances in light of the intense uncertainty of a possible Brexit”.
The ongoing debate around the UK’s membership of the EU is leaving hundreds of non-doms in limbo, says HBFS. The HBFS seminar was attended by private client and tax experts to discuss the possible outcomes of the Government’s consultation on the Reforms to the taxation of non-domiciles.
Mr David added: “As a result of the delays over the Government’s consultation, non-doms are being kept in the dark and have been given no reassurances about their financial futures.
“The political uncertainty around Brexit is a considerable stress. What is clear from our seminar, is that there will be restrictions, and so advisers of non-doms should be aware of the necessary steps that non-doms should be taking in order to mitigate financial loses”
The wealth manager is calling on professionals in the wider industry to think carefully about Financial Planning procedures for their clients – particularly in light of the chances of a leave vote increasing in recent times.
The outcome of the Government’s consultation was originally expected to be announced earlier this year but has faced continual delays, says HBFS. Industry experts at the HBFS’ seminar have now said that the proposed changes are not likely to be announced until the autumn.
HBFS believe the government intends to treat any individual who has been resident in the UK for at least 15 out of the last 20 tax years as UK domiciled for tax purposes, which could create “huge additional costs” for people who only previously had to pay the remittance based charge.
HBFS provides investment advice to national and international clients including board directors of multi-national companies with offshore investments and trusts. It was founded in 1977 as a family business.