Residence of individuals

The tax residence of an individual has long been relevant in determining liability to income tax and capital gains tax (CGT). As is explained in Practice Note: Introductory guide to residence and domicile for UK tax purposes before 6 April 2025 [ARCHIVED], those resident in the UK are taxable on their worldwide income and gains. Non-residents, by contrast, are taxable only on certain sources of UK income, and their capital gains are in general free from tax.

Before 6 April 2025, tax residence was not relevant to inheritance tax (IHT); rather, domicile was the key factor determining liability to IHT—see Practice Note: Domicile for UK tax purposes before 6 April 2025 [Archived] However, since 6 April 2025, liability to IHT is based on residence in the UK. For more information, see:

Prior to 6 April 2013, ordinary residence applied as a distinct concept from residence and domicile for UK tax purposes. The concept of ordinary residence was removed and replaced with references to residence from 6 April 2013. But under transitional rules, ordinary residence continues to apply to certain individuals who were resident in the UK for

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Latest Private Client News

Private Client weekly highlights—16 October 2025

This week’s edition of Private Client highlights includes: (1) Re AB, a decision concerning the obligation to provide position statements to the public in the COP; (2) HMRC issues policy paper on the Tax Treatment of Cryptoasset Exchange Traded Notes; (3) Ellis v Ellis, a contentious probate case in which the court rejected an argument that it depart from the general rule that costs follow the event; (4) Maile v Maile, in which a claim for proprietary estoppel claim failed because the statements relied on were too vague; (5) EDPS v SRB, which concerned whether pseudonymised data must always be treated as personal data under the GDPR; and (6) the Ministry of Justice announces its intention to reform weddings law following recommendations of the Law Commission.

Question of the week: A client has received a gift of funds from his aunt. His brother has received the same amount. The brothers have agreed between themselves to use the funds for her care if she requires it and they have drawn up a Deed to document this. Will the terms of the Deed override their Wills (their Wills leave their respective estates to their wives)?

This Q&A considers whether, if a client has received a gift of funds from his aunt. His brother has received the same amount. The brothers have agreed between themselves to use the funds for her care if she requires it and they have drawn up a Deed to document this. Will the terms of the Deed override their Wills (their Wills leave their respective estates to their wives).

OPG publishes guidance on investigatory limits and alternative remedies

The Office of the Public Guardian (OPG) has published guidance, outlining the circumstances in which it cannot investigate concerns and the alternative courses of action available. The guidance clarifies that the OPG can only investigate concerns relating to individuals appointed to make decisions under a lasting power of attorney, enduring power of attorney, deputyship or guardianship arrangements. It sets out three scenarios where the OPG lacks investigative jurisdiction: (1) where concerns involve individuals who are not attorneys, deputies or guardians; (2) where the donor or protected person is deceased; or (3) where the donor or protected person retains mental capacity to make their own decisions. For each scenario, the guidance directs complainants to alternative remedies, such as contacting local authority social services, the police (via the non-emergency number), or, for estate-related matters, executors of wills or the Probate Service.

Obligation to provide position statements to the public in the COP (Re AB)

Private Client analysis: Mr Justice Poole clarified the approach to be taken towards provision of position statements and skeleton arguments to public observers in the Court of Protection in proceedings covered by a Transparency Order. He laid down a relatively comprehensive set of guidelines both as to substance and procedure. The principles in Cape Intermediate Holdings Ltd v Dring [2019] UKSC 38; [2020] AC 629 are to the fore. Provision of position statements promotes the open justice principle, especially in a time when it may be difficult for an observer to understand court proceedings without them. This must be balanced against any countervailing factors, for example risk of harm and proportionality. Written by Adam Stewart-Wallace, barrister at Ten Old Square.