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HMRC internal manual

Residence, Domicile and Remittance Basis Manual

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Domicile: Illustrative Scenarios: Mr B

B was born in Ontario, to married parents. His father was domiciled there at the time. As an adult B went to live in Massachusetts, where he intended to remain indefinitely. Many years later B’s circumstances changed and he left Massachusetts with no intention of returning there other than for infrequent holidays to stay with friends. B has been living in England for about four years but does not intend to remain here indefinitely, as he is hoping to settle in the Republic of Ireland when he retires from employment just over two years from now.

In proceedings before an English court B would be held to be domiciled in Ontario, on the basis that his domicile of origin there revived upon B’s permanent departure from Massachusetts, and will be operative until such time as he acquires a domicile of choice elsewhere. B has not acquired a domicile of choice in England in the last four years because he does not intend to remain here but intends to retire to the Republic of Ireland.

Although not relevant to the determination if B’s domicile for UK tax purposes (which would be decided under English law), it is interesting to note that a New Jersey court would likely decide that B is domiciled in Massachusetts until that domicile is superseded by another domicile of choice.

Once B is living in Ireland with the intention to remain there indefinitely, but not before that time, the English, Irish (and New Jersey court) would all agree that his domicile of choice is Ireland.

Refer to RDRM20080, RDRM22100 RDRM22300 and RDRM22320.