Jump to content

Tax Migrants.. To The Isle Of Man! (why?)


ham

Recommended Posts

The other big market must be wealthier retirees from the UK and Ireland. You don't have to be thousands of miles from your children and grandchildren, crime rates is very low, a good lifestyle, no CGT and IHT. Don't have to have work but there are quite good opportunities for pastimes.

 

Indeed and also people starting families. Some friends of mine came from the US because they wanted to raise a family here for the above reasons.

Link to comment
Share on other sites

  • Replies 30
  • Created
  • Last Reply
1. Is saving tax enough of a justification to move to the Isle of Man?

2. What is the effect on the local population of rich people moving here primarily for tax reasons?

3. What are these tax migrants going to be doing while they are here to keep themselves earning in the manner to which they have become accustomed?

4. Anything else anyone wants to throw in on the subject...

1) Who needs a justification? It's fantastic here, much much better than in the UK. There are many more wannabe migrants, but for the main part they need to have an income and moving away from their employment isn't an option for most people. Yes the tax savings are sufficient justification for the very wealthy, but they can also go to the Channel Islands, Switzerland etc., so it's more than tax, the Isle of Man is what the UK should be instead of what it is.

 

2) Wealthy people pay for services. Bankers, lawyers, restaurants, handymen, window cleaners.... they create employment and pay tax!

 

3) Running their companies in the UK. By telephone, email, video conferencing etc. Flying across regularly .....

 

4) We need more of them.

Link to comment
Share on other sites

3) Running their companies in the UK. By telephone, email, video conferencing etc. Flying across regularly .....

 

Careful on that one - that can bring them back into UK tax net. That's what they shouldn't be doing because if he habitually carries on trade in the UK or habitually travels for work purposes to the UK then there is no benefit for him being here (for a tax point of view) because he will be assessed resident. See HMRC v. Shepard.

Link to comment
Share on other sites

I think a lot of the attraction is it simplifies tax affairs for them.

 

Basically, if you are single, mega rich and earning over £500k a year, all you need to do over here is write the government a cheque for £100k. No need to fill in a return or declare where the income is coming from. No need to pay a fortune to a team of accountants to try to limit your tax liabilities, just one straight forward payment.

 

Not quite as simple as that. The Isle of Man tax Assesor still requires a declaration of worldwide income and he also asks for evidence to make sure that these people are actually resident here. The Treasury have their international agreements etc in place and won't simply take the cash without asking questions.

Link to comment
Share on other sites

I understand that a large private bank in London has seen 5% of its HNW clients leave the UK since the introduction of the new tax. May be coincidental with the financial sector collapse, but that is a very large figure; pity we couldn't pick up 5% of that 5%.

Link to comment
Share on other sites

I posed a similar question to this in another thread, but thought perhaps it could provoke a lively enough response to warrant its own thread, so here goes..

UK top rate of tax to be raised to 50% for the top earners.. some of them are taking great umbrage and have been loudly announcing that they would take themselves and their wealth out of the UK. Isle of Man has been recognised by some as a potential place to move to, but..

 

1. Is saving tax enough of a justification to move to the Isle of Man?

2. What is the effect on the local population of rich people moving here primarily for tax reasons?

3. What are these tax migrants going to be doing while they are here to keep themselves earning in the manner to which they have become accustomed?

4. Anything else anyone wants to throw in on the subject...

 

They are not necessarily here.

I have met several people recently who said coyly that they've got a house on the island but most of the time they are elsewhere.

The IOM Government doesn't seem to check up on the number of days people spend off the island.So you could be working and sunning yourself somewhere else while your money is paying a nice low rate of tax here on the windswept isle.

Link to comment
Share on other sites

I think a lot of the attraction is it simplifies tax affairs for them.

 

Basically, if you are single, mega rich and earning over £500k a year, all you need to do over here is write the government a cheque for £100k. No need to fill in a return or declare where the income is coming from. No need to pay a fortune to a team of accountants to try to limit your tax liabilities, just one straight forward payment.

 

Isnt this accusing the government of corruption?

Link to comment
Share on other sites

I understand that a large private bank in London has seen 5% of its HNW clients leave the UK since the introduction of the new tax. May be coincidental with the financial sector collapse, but that is a very large figure; pity we couldn't pick up 5% of that 5%.

 

 

You must be joking

Link to comment
Share on other sites

I understand that a large private bank in London has seen 5% of its HNW clients leave the UK since the introduction of the new tax. May be coincidental with the financial sector collapse, but that is a very large figure; pity we couldn't pick up 5% of that 5%.

 

 

You must be joking

 

I can see where this is heading. Paging Ans!

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

  • Recently Browsing   0 members

    • No registered users viewing this page.

×
×
  • Create New...