In the 2014 Autumn statement, the Chancellor announced an increase in the annual charge paid by non-domiciled individuals resident in the UK who wish to retain access to the remittance basis of taxation. The charge paid by people who have been UK resident for seven out of the last nine years will remain at £30,000. The charge paid by people who have been UK resident for 12 out of the last 14 years will increase from £50,000 to £60,000. A new charge of £90,000 will be introduced for people who have been UK resident for 17 of the last 20 years.

The Treasury has now launched a consultation on whether a non-dom’s claim to pay the charge should apply for a minimum of three years. It says the aim is to reduce opportunities for non-doms to arrange their tax affairs with the aim of not paying the charge on a regular basis. The government believes it is fair to ask those individuals who claim the remittance basis to commit to paying the charge for a minimum period when they have been resident in the UK for at least seven out of the previous nine years.

The consultation closes on 16 April 2015.