Effective date of update: April 2025 

The remittance basis of taxation will be eliminated for non-domiciled individuals, shifting to a residency-based system. Those who are within their first four years of tax residency in the UK will have the option to avoid taxation on foreign income and gains. 

Regarding inheritance tax, the evaluation of domicile status will be replaced with a residency-based approach. Individuals who have been UK tax residents for 10 out of the last 20 years will have their estates subject to UK inheritance tax on their global assets, whereas previously, they might have been considered non-domiciled and only taxed on their UK assets.