UK tax on Investment Managers and non-resident investors
How Investment Manager Exemption identifies if overseas investors are liable to tax on transactions conducted by a UK Investment Manager.
The Investment Manager Exemption
One of the key components in the UK’s continuing attraction for non-resident investors (including hedge funds) is their ability to appoint UK-based investment managers without creating a risk of UK taxation for themselves. HM Revenue and Customs (HMRC) is committed to maintaining this environment by offering the Investment Manager Exemption.
Through a series of qualifying tests, the Investment Manager Exemption ensures that:
- overseas investors are not charged to UK tax in relation to investment transactions conducted on their behalf
- any fees received by a UK resident investment manager for services performed for the non-resident are fully chargeable to UK tax
Who to contact for further advice
If you have a question about the Investment Manager Exemption you can contact HMRC in writing:
CTIS Business International
Alternatively you can contact HMRC by phone.
Telephone: 03000 561 430